A newsletter from POLITICO for leaders building a sustainable future.
| | | | |  | | By Jordan Wolman | With help from Steven Overly
| | |  U.S. climate envoy John Kerry is defending the COP28's president over controversial comments about fossil fuels. | Joshua A. Bickel/AP Photo | COP DANCE — You can say this much for John Kerry: He's standing by his man at the U.N.'s global climate summit. The chief U.S. climate diplomat, who has consistently backed the controversial choice of Sultan al-Jaber to lead COP28, found himself on the defensive again amid reports that the oil executive questioned the need to phase out fossil fuels. Kerry told POLITICO about al-Jaber’s reported November comments that “maybe it came out the wrong way” and could use a “clarification,” Anne McElvoy, Peter Snowdon and Zack Colman report. “Look, he's gotta decide how he wants to phrase it, but the bottom line is this COP needs to be committed to phasing out all unabated fossil fuel,” Kerry said. Al-Jaber bashed the media’s portrayal of his past statements and reiterated his support to limit global warming to 1.5 degrees Celsius above pre-industrial temperatures. Kerry hasn’t wavered in supporting al-Jaber, who is CEO of the United Arab Emirates’ state-owned oil company, even as recent reports exposed the COP28 host nation’s willingness to use its perch as a way to expand its energy ambitions. Al-Jaber unveiled the fruits of his negotiating efforts over the weekend with a new alliance of 50 companies pledging to cut pollution, but U.N. Secretary-General António Guterres was among those pooh-poohing the initiative as one that falls short of what is required to meet net-zero targets. Something to pay attention to: Kerry and others at COP28 are increasingly inserting the word "unabated" into discussions around whether to phase out or phase down fossil fuel production and use. Some environmentalists see that word choice — which suggests reliance on unproven and unscaled technologies such as carbon capture — as a way for oil producing nations to shift the focus away from the need for absolute emission reductions. A new plan: Kerry also revealed a new plan on Sunday for how to finance the green transition in developing countries through a carbon market, Sara Schonhardt reports. The Energy Transition Accelerator program would offer carbon credits to companies if they pay into a system that’s intended to help pay for the shift to cleaner energy in low- and middle-income countries.
| | TICK TECH — Are buzzy climate technologies like carbon capture, electric vehicles and green hydrogen the keys to continuing society as we know it while saving the planet, or unproven catastrophes-in-waiting? Marcene Mitchell, the World Wildlife Fund’s senior vice president of climate change, sat down with our POLITICO Tech podcast to discuss that and other issues. Here’s an excerpt: I think sometimes there's kind of this savior syndrome around technology that it will just out-innovate our human problems. And I wonder if you see that happening with the climate debate right now. We do sometimes look at technology as a savior for decisions that we need to make as a human community. So we do have to be careful and smart about what technologies we develop and how we use these tools, because we have to think of AI and other technologies as tools and they're only as good as the hand that's guiding them. At the same time, we are in a crisis in climate, meaning our time is very short. So we need to do everything, everywhere all at once. And given that, technology and AI and other tools are a very, very important part of our toolkit. Listen to the full episode here with our Steven Overly.
| | OFFSET GUIDANCE — The Commodity Futures Trading Commission is out with proposed guidance for exchanges dealing with carbon offsets, a move that could help shore up the market beset by questions of integrity, Allison Prang and Declan Harty report. The proposal outlines factors exchanges should consider when listing derivatives contracts linked to voluntary carbon credits, including susceptibility to manipulation and safeguards against market disruptions and distortions. The CFTC also said exchanges should consider transparency, additionality and permanence — and show how emissions reductions or removals are calculated to make sure the credit is “robust, conservative and transparent.” A public comment period is now open through Feb. 16.
| | ANOTHER TERM — International Sustainability Standards Board Chair Emmanuel Faber will serve a second three-year term in that role, the organization announced Monday. Under Faber’s watch, the ISSB has published two standards for companies to disclose their carbon footprint and sustainability-related risks and opportunities. The standards have been endorsed by securities regulators around the world and will now need to be implemented in individual jurisdictions to be enforced. Faber’s new term will see him lead the board through the end of 2027.
| | GAME ON — Welcome to the Long Game, where we tell you about the latest on efforts to shape our future. Join us every Tuesday as we keep you in the loop on the world of sustainability. Team Sustainability is editor Greg Mott and reporters Jordan Wolman and Allison Prang. Reach us all at gmott@politico.com, jwolman@politico.com and aprang@politico.com. Sign up for the Long Game. It's free!
| | — Climate researchers say global carbon emissions are on target to hit a record this year. The Financial Times has that story. — The renewable energy industry is facing a make-or-break moment, according to the Economist. — Norwegian lawmakers have reached agreement on a deal to open the Arctic Ocean to seabed mineral exploration, the Associated Press reports. | | | | Follow us on Twitter | | | | Follow us | | | | |
