Page 6 - AsiaElec Week 22 2022

AsiaElec COMMENTARY AsiaElec

G7 sets decarbonisation

goal for 2035

GLOBAL THE G7 has agreed to “predominantly decar- phase-out.
bonised electricity sectors by 2035,” as well as For Japan, the G7 commitment will be some-
ending government financing of international what tempered, with the government saying it
coal-fired power generation and the speeding will maintain its commitment to public sup-
up the phase-out of unabated coal plants by the port for oil and gas upstream developments,
same year. although it will choose its projects carefully, S&P
The G7 ministers said in Germany that Rus- Global Commodity said.
sia’s invasion of Ukraine was a major catalyst The G7 statement gave each country a get-out
for the faster phase-out of coal, as volatile gas clause, saying: “We commit to end new direct
prices and the search for alternative energy sup- public support for the international unabated
plies concentrated minds on non-carbon energy fossil fuel energy sector by the end of 2022,
sources. except in limited circumstances clearly defined
However, there is still a long list of issues to by each country that are consistent with a
be addressed on the road to decarbonisation 1.5C warming limit and the goals of the Paris
in order to reach net zero by 2050, with climate Agreement.”
finance being a key sticking point. For Japan, this means it can pursue upstream
The details of the deal are that G7 environ- developments that contribute to its national
ment, climate and energy ministers agreed to security, as well as for geostrategic interests such
make their power systems “predominantly” as reducing its dependency on Russian energy,
carbon-free by 2035. The governments of the S&P said. Japan’s public support for upstream
world’s seven largest economies did not commit investments will still be more selective, consid-
to increasing climate financing for developing ering aspects of the Paris Agreement among
countries. other factors.
The insertion of “predominantly” carbon-free US LNG export projects are a major target for
into the official communique could allow gov- Tokyo as G7 ministers agreed earlier in May to
ernments to continue with unabated coal, with phase out Russian energy use, including oil.
Japan the most likely to continue with some sort Canadian Natural Resources Minister Jon-
of coal. Tokyo has yet to commit to a full coal athan Wilkinson said he spoke this week – at

P6 www. NEWSBASE .com Week 22 01•June•2022