Asia discusses IEA call to halt new investment in oil, gas and coal | Business and Economy News


This week the International Energy Agency outlined a path to zero net emissions, but some Asian nations and companies backed down.

Asian energy officials on Wednesday disputed a call from the International Energy Agency (IEA) for no new investment in oil, natural gas and coal for the world to achieve net carbon emissions for the world. 2050, considering this approach too narrow.

The IEA, which has previously defended the oil and gas industry, this week set out a path to zero net emissions that suggested stopping new investments in oil, gas and coal supplies, removing coal-fired power plants in economies. advanced in 2030 and ban sales of new cars with internal combustion engines in 2035.

Energy companies in Australia, the largest per capita carbon emitter among the richest nations in the world, and officials in Japan and the Philippines said there were many ways to reach net zero, although the IEA said its route was “the most technically feasible cost – effective and socially acceptable.”

Akihisa Matsuda, deputy director of international affairs at Japan’s Ministry of Economy, Trade and Industry, said the government has no plans to stop investments in oil, gas and coal immediately.

“The report provides a suggestion on how the world can reduce greenhouse gas emissions to zero by 2050, but it does not necessarily agree with Japanese government policy,” he said.

“Japan needs to protect its energy security, including a stable supply of electricity, so we will balance this with our goal of being carbon neutral by 2050.”

Japan was the third largest carbon emitter in the region in 2019, after China and India, according to the BP Statistical Review of World Energy.

“No one size fits all”

Australia’s main oil and gas industry and mining lobbyists said there was “no type” for decarbonisation.

“The IEA report does not take into account future negative emissions and offsetting technologies from outside the energy sector, two things that are likely to happen and allow for the vital and necessary development of oil and gas fields,” says Australian Petroleum Production and Exploration Association Executive President Andrew McConville said.

Australia’s largest independent gas producer, Woodside Petroleum, said it still intends to make a final investment decision for a $ 11 billion investment to develop a new gas field in Western Australia by the end of 2021.

“For its part, Woodside works with its customers, all of them in countries that have opted for zero net, to ensure that we can supply them with the energy they seek to achieve their decarbonisation paths,” a spokeswoman for Woodside.

Australia on Wednesday pledged A $ 600 million ($ 464 million) in taxpayer funds to build a new gas-fired power plant to back up wind and solar energy, which Energy Minister Angus Taylor he said it was a pragmatic move.

In the Philippines, where coal will be the dominant energy source for years even after the ban on new coal-fired power plant proposals, Energy Secretary Alfonso Cusi said the energy transition should be “neutral in terms of fuel and technology “.

Reducing oil, gas and coal funding without regard to efficiency and competitiveness “would delay the Philippines’ aspiration to join the ranks of middle-high-income countries,” he said.

As the world moves toward renewable energy, coal demand is expected to be strong in the coming decades, as some countries continue to build new coal-fired power plants, said Hendra Sinadia, executive director of the Indonesia Coal Mining Association.

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