FOSSIL FUEL EXIT STRATEGY

Press release

Fossil Fuel Exit Strategy finds that existing coal, oil and gas production puts the world on course to overshoot Paris climate targets. The report analyses global renewable energy potential, and finds that every region on Earth can replace fossil fuels with renewable energy to keep warming below 1.5ºC and provide reliable energy access to all.

10 June 2021 - The world already has more than enough renewable energy potential to comfortably make the transition away from fossil fuels while also expanding energy access for all, finds new analysis by Dr Sven Teske and Dr Sarah Niklas from the Institute for Sustainable Futures, University of Technology, Sydney.

Fossil Fuel Exit Strategy shows clearly through detailed modelling that, even if no new fossil fuel projects were built from today onwards, carbon emissions from existing projects are still far too high to stay on course towards meeting the goals of the Paris Agreement. Modelling in the report demonstrates the world would produce significantly more fossil fuels than it can afford under a 1.5ºC climate goal by 2030, leading to 66% more emissions in 2030 than is compatible with 1.5ºC. Therefore, the world needs to actively wind down existing coal mines and oil and gas wells while increasing renewable energy.

The report shows that this transition is not only required but completely feasible. The world simply doesn't need any more fossil fuels. In fact, all regions have enough renewable energy to provide energy access to all using existing technologies.

This suggests that it is possible to meet the twin challenges of phasing out fossil fuels and increasing electricity access at the speed required through scaling up renewable energy, according to Fossil Fuel Exit Strategy: An orderly wind down of coal, oil and gas to meet the Paris Agreement.

This report comes shortly after the International Energy Agency’s Net Zero by 2050 Roadmap that states clearly the world needs to stop investing in and expanding fossil fuels. The Fossil Fuel Exit Strategy report goes further by finding that it is also necessary to begin phasing down existing coal mines and oil and gas wells to have a chance of preventing catastrophic climate change.

Rebecca Byrnes, Deputy Director for the Fossil Fuel Non-Proliferation Treaty Initiative, said: “This report shows that a practical pathway exists where there are no new fossil fuel projects, existing projects are phased out, emissions are kept within a 1.5°C budget and energy access becomes universal, all while using existing and increasingly cost-competitive technologies. The hurdle is no longer economic nor technical; our biggest challenges are political. A cleaner future is within reach and, while international cooperation is essential for innovation and investment, nation-states can and should act now to regulate fossil fuel production decline”

The report, which builds on existing research on fossil fuel overproduction and renewable energy potential, analyzes fossil fuel phase out pathways that will be necessary to remain within a 1.5°C trajectory and compares this to a feasible scale up pathway for renewable energy. It does this while excluding technologies that are uncertain or require unreasonable amounts of land use, such as bioenergy with carbon capture and storage (BECCS), unlike scenarios provided by the IPCC and IEA . 

Associate Professor Sven Teske, Research Director at the University of Technology Sydney: “National governments must establish binding limits for the extraction volumes for coal, oil and gas. A just transition for workers from the fossil to the renewable energy industry is essential. Any new investments in coal, oil and gas projects are not in line with the Paris agreement and would most likely be stranded due to favourable economics for renewables – especially solar and wind. The combination of renewable energies, storage technologies and renewable fuels such as hydrogen and synthetic fuels will provide reliable energy supply for industries, future travelling as well as for buildings. The fossil energy industry must be wound down.”

Tzeporah Berman, International Program Director at Stand.Earth and Chair of the Fossil Fuel Non-Proliferation Treaty Initiative: “This new report shows clearly that we have more than enough fossil fuels above ground and under production and that we have the technology and renewable energy capacity to more than meet the world's energy needs. Fast tracking a wind down of oil, gas and coal and focusing on expanding renewable production and infrastructure is not only possible, but it will save lives.”

Sanjay Vashist, Director of Climate Action Network South Asia: "There are no more excuses to further delay accelerated uptake of renewable energy and ending the age of fossil fuels. At a time when renewable energy has emerged as a reliable and cost effective alternative, to continue to expand the fossil fuel sector is a criminal waste of money that will have devastating climate and humanitarian consequences, especially on the poorest of poor and most vulnerable people of the global South. G7 leaders must set an example and shut down coal plants in their countries immediately and assist the developing world in leapfrogging to renewable energy with technological and  financial assistance.”

Iman Bashir, Programme Assistant at Power Shift Africa says: “It is clear renewables provide an opportunity for Africa to not only power its future in a safe and sustainable manner, but also a chance to gain a strong footing as a global clean energy leader. The report provides irrefutable proof that Africa can power its economic development using renewable energy pathways and leapfrog the exploitation of fossil fuels through a combination of national policy and international support.”

Ilan Zugman, 350.org's Director for Latin America says: "For oil, gas and coal companies, this conclusion will probably be unwelcome, but it makes no sense to ignore it. There is no time anymore. We need public policies that promote clean energy infrastructure and financing, as well as access for all. And this must not happen in parallel to the expansion of fossil fuels, but rather by replacing them. The era of fossil fuels must end now so that the future is in the hands of humanity and not in the hands of this industry."

Frode Pleym, leader of Greenpeace Norway: “We've known for a long time that the world has found far more oil and gas than we can ever use. This report emphasizes the urgency of the climate crisis. But it's also encouraging to see it's still possible to reach our climate commitments, without relying on risky and problematic technologies such as carbon capture and biofuels, if oil producing countries such as Norway start a just transition away from fossil fuels.”

Mitzi Jonelle Tan, Convener, Youth Advocates for Climate Action Philippines & Fridays For Future Philippines: “My country has had the most number of extreme weather events for the past 20 years. I grew up with thunder and howling winds banging on my doors and windows. The current level of warming is already hell for us in the Global South. With all the destruction and devastation we have faced, expanding and supporting the dirty rotten fossil fuel industry when it will clearly put us past the 1.5°C limit is a death sentence to the most marginalized people. Global North countries have a historical debt to pay to the countries in the South that they have overexploited and that begins with an end to expansion of fossil fuel production, a phase down of existing production, and supporting renewable energy transition especially in the global south. With this report, it is even clearer to everyone that world leaders have no excuse. We must act now, the science and the people are united in calling for justice.”

Truls Gulowsen, chair of Friends of the Earth Norway: “Another expert report shows us that we have the technology required to phase out fossil fuels, and phase in cleaner, more efficient energy, without destroying enormous areas and worsening the parallel crisis of biodiversity loss. What we lack, as always, is political will, with Norway looking increasingly isolated globally in its seemingly unending faith in the continued profitability of petroleum. Norwegian politicians need to start telling the truth about the need for a just transition of the oil and gas industry; if not, we risk an unprecedented economic crash in addition to ever-worsening, more catastrophic climate change.”

The report’s main findings include:

• Even if fossil fuel expansion ended overnight, too many fossil fuels are already under production in existing coal mines and oil and gas wells to remain within a 1.5°C budget. 

• To keep warming to below the temperature goal of 1.5ºC there must be both an end to expansion of fossil fuel production, and a phase down of existing production.

• The world has more than enough renewable energy resources that can be scaled up rapidly enough to meet the energy demands of every person in the world.

• The report shows that, by 2030, even without any new coal, oil or gas projects, the world would produce 35% more oil and 69% more coal than is consistent with a 1.5°C pathway.

• Every continent in the world has enough renewable energy potential to provide 100% renewable energy access to its population.

• As the cost of renewables has dropped, economic potential for renewables has grown alongside technical potential. Even when taking into account environmental safeguards, land constraints and technical feasibility, solar and wind energy could power the world more than 50 times over.

• Continuing to expand the fossil fuel sector will only lock in further infrastructure that will become stranded assets, with devastating climate and humanitarian consequences.

The report was produced by the Institute for Sustainable Futures, University of Technology, Sydney and conducted in cooperation with the Fossil Fuel Non-Proliferation Treaty Initiative. The full report is available below and a suite of report graphics, animations and charts can be downloaded here.

About the Fossil Fuel Non-Proliferation Treaty Initiative

The Fossil Fuel Non-Proliferation Treaty Initiative is spurring international cooperation to end new development of fossil fuels, phase out existing production within the agreed climate limit of 1.5°C and develop plans to support workers, communities and countries dependent on fossil fuels to create secure and healthy livelihoods. Cities such as Vancouver and Barcelona have already endorsed the Treaty with more considering motions to endorse. Hundreds of organizations representing thousands more individuals join the call for world leaders to stop fossil fuel expansion. 

For more information on the Initiative, please visit the website, explore our Campaign Hub and view the introduction video.