G7 states pumped $42bn more into oil and gas than renewables last year, analysis finds
Countries within the G7 have channelled $189bn into oil, coal and gas in the last year, despite promises of a green recovery, new analysis has revealed today.
Ahead of the UK hosted G7 summit in Cornwall next week, the analysis has also shown that between January 2020 and March 2021, the UK, US, Canada, Italy, France, Germany and Japan pumped $147bn into cleaner forms of energy.
The analysis from development charity Tearfund, the International Institute for Sustainable Development and the Overseas Development Institute found that their recovery could have been a near $200bn greener.
“Choices made now by the G7 countries will either accelerate the transition towards a climate-safe future for all or jeopardise efforts to date to tackle the climate crisis,” head of advocacy at Tearfund, Paul Cook, said.
However, as the pandemic grounded flights across the world, governments swooped in with support loans to hoist the airline industry out of financial ruin.
These lifelines, which were also offered to car industries, amounted to an eyewatering $115bn from G7 states alone – while 80 per cent of the money was given with no green strings attached.
In doing so, the analysis found that only one in every 10 dollars committed to the Covid-19 response in the G7 helped the “cleanest” energies, like renewables and energy efficiency initiatives.
Meanwhile, eight in every 10 dollars spent on non-renewable energy came without conditions and at times included measures to downgrade environmental regulations, according to the report.
Representing a tenth of the world’s population, the G7 are among the most polluting states in the world and have geared support towards the transport sector during stay-at-home orders.
“Investments in the transport sector remain significantly skewed towards fossil fuels and are at odds with G7 commitments to build back better,” the report said.
The authors added, however, that well-designed targets could be used as a catalyst for launching low-carbon societies.
In February, Italy extended its ban on fossil fuel fracking until September. While the UK and France set up policies that seek to end international support for fossil fuels.
The UK has also confirmed it will ban new petrol and diesel cars by 2030.
“These actions should serve as a precedent for other G7 countries,” the report added.