Countries must accelerate their transition off fossil fuels, not abandon urgent climate action, as they scramble to replace oil and gas supplies from Russia in response to the war in Ukraine, the steering group of the Net-Zero Asset Owners Alliance declared earlier this month.
The group of 71 investors, with combined assets of US$10.4 billion, urged an end to fossil fuel subsidies “that go against the pledges made by governments to get to net-zero emission,” Reuters reports.
“The world is still heading for an excess of fossil fuel-based energy use that will vastly exceed the carbon budgets needed to meet the 1.5°C Paris Agreement goal. This trend must be halted,” said the UN-convened investor group, one of the seven sector-specific alliances that make up the $130-trillion Glasgow Financial Alliance for Net-Zero.
“In the short term, using all available energy resources—including the immediate scaling of energy efficiency— to diversify energy supply must be a top priority for many countries, especially in Europe,” the alliance said. “These are viable steps towards energy system resilience, a greener economy, the provision of green jobs, and the protection of businesses and consumers against future price spikes in oil and gas.”