The secretary general of oil manufacturer group OPEC has stated the police26 environment top in Glasgow was “definitely a wake-up call.”
Speaking to CNBC at the ADIPEC energy market online forum in Abu Dhabi, Mohammad Barkindo was asked if the offer ultimately reached in Glasgow– that included a late compromise on language associated to coal– was a success.
“I wouldn’t call it a failure,” Barkindo informed DanMurphy “I think the U.K. presidency did an extremely good job in bringing back Paris on track in Glasgow.”
“It’s not a mean achievement to rebuild the consensus of Paris in Glasgow if you follow the fractures we saw after the withdrawal of the United States,” he included.
The Paris Agreement, embraced in 2015, intends to “limit global warming to well below 2, preferably to 1.5 degrees Celsius, compared to pre-industrial levels.”
The job is substantial, and the United Nations has actually kept in mind that 1.5 degrees Celsius is thought about to be “the upper limit” when it pertains to preventing the worst repercussions from environment modification.
The POLICE OFFICER26 offer looked for to develop on this and avoid the worst impacts of environment modification, although it dealt with stumbling blocks associated with the phasing out of coal, nonrenewable fuel source aids and financial backing to low-income nations.
India and China, both amongst the world’s greatest burners of coal, demanded a last-minute modification of nonrenewable fuel source language in the pact– from a “phase out” of coal to a “phase down.” After preliminary objections, opposing nations eventually yielded.
For his part, Barkindo was broadly favorable about the result. “I believe John Kerry and his group together with [Alok] Sharma, the president of police26, did a splendid task in restoring that agreement that was fractured after Paris,” he stated.
“Because without that consensus, it would have been impossible to get the Glasgow climate pact.”
Looking forward, Barkindo was company in his belief that nonrenewable fuel sources would be necessary in the years ahead.
“There is no doubt, there’s no contest on this scientific fact that oil and gas will continue to play a prominent role in the global energy mix for the foreseeable future,” he stated.
His remarks echoed those of BP CEO Bernard Looney, who informed CNBC on Monday: “It may not be popular to say that oil and gas is going to be in the energy system for decades to come but that is the reality.”
Oil market
When it pertains to the oil market more broadly, Barkindo worried that it had actually been struck by both low costs and falling financial investment for a variety of years.
“We have actually not recuperated from the 2014-2016 depression, where we saw for 2 successive years almost 25% approximately yearly contraction [in investment], and after that Covid came in 2015 with about 30% contraction in the market,” he stated.
“With all the challenges of accessing capital, the industry needs to wake up … and face reality.”
This truth would seem one progressively hostile to nonrenewable fuel sources. In a speech at police26, for instance, the U.N. Secretary General Antonio Guterres left the world in no doubt regarding his views on the matter.
“Our addiction to fossil fuels is pushing humanity to the brink,” he stated. “We face a stark choice — either we stop it, or it stops us.”
Guterres included that it is time to state “enough.”
“Enough of brutalizing biodiversity, enough of killing ourselves with carbon, enough of treating nature like a toilet,” he stated. “Enough of burning and drilling and mining our way deeper. We are digging our own graves.”
— CNBC’s Matt Clinch and Sam Meredith added to this report.
