UN chief lashes out at mega-profits oil companies are 'raking in' at climate summit
Fossil fuels are not only the driving force behind climate change, our dependence on them also carries high economic and security-related costs. With that message, Secretary-General António Guterres of the United Nations addressed the climate summit in Turkey.
The outgoing UN leader was fierce about the record profits oil companies have been making since the Iran war. "Since the conflict began, the European Union alone has incurred more than 100 billion euros in extra import costs for fossil fuels, without a single additional molecule of fuel to show for it," Guterres fulminated on the second day of the summit.
According to the UN chief, the price of gasoline has risen by about 26 percent in 130 countries since the war, and that of diesel by 38 percent. "Families, businesses, and governments are paying the price for this. Meanwhile, nine oil companies are on track to rake in more than 95 billion euros in three months' time. That is more than a billion per day."
Dip, but also record profits
Guterres did not name the oil companies making large profits, but in recent months there has been much talk about the high prices at the pump that have led to substantial profits for oil producers. For example, last month it became clear that Shell recorded a multibillion-euro profit last quarter. BP also announced it had posted its highest profit in eighteen years.
It has long been clear that the Iran war severely disrupts global energy markets. Today, scientists calculated that there is even a slight dip in CO2 emissions from fossil fuels. Contrary to expectations from earlier this year, emissions from fossil fuels will likely be 1.9 percent lower this year. At the same time, the war was a reason for a remarkable record year for coal.
Guterres emphasized at the climate summit in Turkey that moving away from fossil fuels can no longer be a taboo. "Let us leave Antalya with clear follow-up steps," he urged the countries present. How host country Turkey views this is uncertain: President Erdogan praised this week the expected increase in domestic oil production.
Leaders absent
It has been very difficult for years at major climate summits to have discussions about phasing out the use of fossil fuels, which is the only way to curb global warming. The last country to host the summit, Brazil, therefore developed a kind of roadmap to phase out that use.
Although the UN chief praised that roadmap, it is questionable to what extent the conversation about phasing out fossil fuels will proceed differently this time than in previous years. The fact that, besides Prime Minister Jetten, world leaders such as President Xi of China and Indian Prime Minister Modi are absent reveals that the discussion about phasing out fossil fuels is not at the top of the priority list for several influential countries.