As climate summit nears end, fossil fuels — and the oilpatch — loom large over deal proposals
Oilpatch gets both warm welcome and hostile reception at COP28
As the curtains are set to close on COP28, the oil and gas industry remains firmly in the crosshairs as nations deliberate whether an agreement can be reached to phase out fossil fuels.
Throughout the two-week climate summit, environmental activists have unleashed a torrent of criticism toward the oilpatch, not only because the industry is a major contributor to global warming, but also because of the sector's large presence at COP28.
There are at least a few thousand oil and gas representatives attending the climate summit in Dubai, according to one estimate.
"This COP28 has been quite captured by a significant number of fossil fuel lobbyists," said Dean Bhebhe, an environmental campaigner with a group called Don't Gas Africa.
"Just recently we held the largest global day of action, pushing back to end fossil fuels fast, fair and forever."
The conference is being held in OPEC territory and, for the first time, the oil cartel has had its own pavilion space at the climate conference. Sultan Ahmed al-Jaber, who is leading the talks on behalf of the U.A.E., is also chief executive of the country's national oil company, ADNOC.
Throughout the climate summit, environmental activists have held demonstrations, which often target the oil and gas industry with signs saying "End fossil fuels," among many others.
The criticism isn't lost on representatives from the Canadian oil and gas sector who are attending the conference, although they have no role in the actual climate negotiations.
"Clearly, we hear that voice. It's saying, we shouldn't be here," said Kendall Dilling, president of the Pathways Alliance, which represents the major oilsands producers in Alberta.
"The combustion of the products that we produce creates the lion's share of the emissions," he said. "We have to come and be a huge part of the solution."
It's not just environmental campaigners, but leading UN officials too, who are wanting the sector's fate to be sealed.
"We must accelerate a just, equitable transition to renewables. The science is clear: The 1.5-degree limit is only possible if we ultimately stop burning all fossil fuels," said UN Secretary General Antonio Guterres in a speech during the opening days of the summit
"Not reduce. Not abate. Phase out — with a clear timeframe."
Despite the criticism facing the oilpatch, COP28 organizers have rolled out the red carpet for everyone to be a part of the summit. To tackle climate change, the message from organizers is it will take a co-ordinated effort.
This is Dilling's first time attending a UN climate conference, and he says he wishes the industry had been at these summits a decade ago.
"I'm really proud of the industry and where we're at today and our commitment to move forward, but if we could have started that 10 years ago, of course it would have given us that much further running room to tackle this very, very important challenge," he said.
Representatives from nearly 200 countries are weighing whether consensus can be reached on main priorities at COP28, including a desire to triple the amount of renewable energy and double energy efficiency around the globe by 2030.
There's also a push to phase out fossil fuels by 2050, which would be historic, experts say, since never before has an agreement from a UN climate conference referenced fossil fuels.
"Being an oil and gas executive here is interesting, but I have found that all of the conversations that I've been in have been very welcoming," said Rhona DelFrari, chief sustainability officer at Calgary-based Cenovus Energy, who is attending her third UN climate conference.
A proposal to completely phase out fossil fuels by 2050 likely isn't realistic, said DelFrari, because oil is used to create so many products such as plastics, clothing and life jackets.
"People often only think about oil being used for gasoline in your vehicle. but it has many more uses, so there is always going to be a need for it," she said, pointing out that Cenovus is the third-largest asphalt producer in North America.
A preliminary agreement released on Monday was disappointing for some environmental advocates because the phrasing wasn't as strong as they had hoped. The text calls upon countries to take actions that "could" include "reducing both consumption and production of fossil fuels."
That type of language will only mean a small step forward by countries to tackle global warming, not a historic leap, said Catherine Abreu, founder and executive director of the advocacy group Destination Zero and a member of Canada's Net-Zero Advisory Body.
"What we're seeing instead is this kind of watered down menu of compromises," she said.
Abreu said she hopes the final agreement on Tuesday is more assertive in phasing out fossil fuels by 2050.
Pledges made so far at the summit by countries, such as tripling nuclear energy and curbing methane emissions, will make a difference in tackling climate change, but only by a third of what is needed to stay on track to limit global warming to the crucial 1.5 degree Celsius threshold above temperatures before industrialization, the International Energy Agency said on Sunday in a report.
Currently, the world is consuming more oil now than ever before and commodity experts forecast global demand to continue increasing for at least the next few years. Canadian oil production is expected to increase in 2024.
The federal government has made several announcements during COP28, including stricter methane rules for the oil and gas industry and a cap on the sector's total emissions.