Global North Countries Responsible for 70% of Oil and Gas Expansion: Report

This expansion threat comes on top of already existing extractions which would cause more than three and a half times the size of the remaining 1.5˚C carbon budget. 

A new report showed that four Global North countries, led by the United States (US), are responsible for nearly 70% of projected new oil and gas expansion from 2025 to 2035. An analysis by Oil Change International warned that if the expansion is allowed to proceed, it would lock in an unliveable future.

According to the report, if these four countries— the United States, Canada, Norway, and Australia— halted their plans for expansion, it would keep 32 billion tonnes of carbon pollution on the ground, which is equivalent to three times the annual emissions of all the world’s coal power plants combined. 

Need for Global North to Phase Out

At COP28, all the countries promised to phase out fossil fuels in an equitable manner. The report cited that the richest countries with the highest capacity should do so before 2035 and mobilise climate finance to enable a just transition in global South countries. 

Roumain Ioualalen, Global Policy Lead at Oil Change International, said, “Until the richest countries commit to ending fossil fuel production and use and deliver adequate climate finance on fair terms, global calls for fossil fuel phaseout will ring hollow to developing countries that are struggling to meet development, energy access, and climate resilience needs.”

Brazil, the COP30 host, is among the ten largest expanders of oil and gas to 2035 with expansion plans surpassing those of Saudi Arabia. This expansion comes at a time when Brazil aspires to be seen as a global climate leader. However, Brazil is an example of the difficulties faced by developing countries with oil and gas reserves when trying to balance poverty eradication, industrialisation, and climate goals.

Recommendations

The report also laid out recommendations in light of the Bonn conference and upcoming COP30. It said at COP30, countries must go further than the broad commitments to transition away from fossil fuels and adopt differentiated phase-out timings for the fossil fuels production and consumption.

The report called for rich countries to end fossil fuel extraction in the mid-2030s, and address the systemic barriers preventing developing countries from transitioning to renewable energy, including finance. 

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