OECD Ends Aid For New Coal Plants
The OECD has just finished off aid for the construction of coal plants following a request from the European Commission. Among the decisions that are being prepared for the next COP26, the signatory countries have decided to end the economic support that these types of plants continued to receive.
Specifically, the ban will apply to officially supported export credits and tied aid for new coal-fired power plants without operational carbon capture, use and storage (CCUS) facilities.
It will also be limited to existing coal-fired power plants, unless the objective of the equipment supplied is to reduce pollution or CO2 and the equipment does not serve to extend the useful life or capacity of the plant. The only exception, in this case, will be if the team is destined to adapt the plant to install a carbon storage system.
The ban will take effect once participants complete their formal internal decision-making processes, which are expected by the end of October 2021.
The participants in the Agreement are Australia, Canada, the European Union, Japan, Korea, New Zealand, Norway, Switzerland, Turkey, the United Kingdom and the United States.
The OECD has just finished off aid for the construction of coal plants following a request from the European Commission. Among the decisions that are being prepared for the next COP26, the signatory countries have decided to end the economic support that these types of plants continued to receive.
Specifically, the ban will apply to officially supported export credits and tied aid for new coal-fired power plants without operational carbon capture, use and storage (CCUS) facilities.
It will also be limited to existing coal-fired power plants, unless the objective of the equipment supplied is to reduce pollution or CO2 and the equipment does not serve to extend the useful life or capacity of the plant. The only exception, in this case, will be if the team is destined to adapt the plant to install a carbon storage system.
The ban will take effect once participants complete their formal internal decision-making processes, which are expected by the end of October 2021.
The participants in the Agreement are Australia, Canada, the European Union, Japan, Korea, New Zealand, Norway, Switzerland, Turkey, the United Kingdom and the United States.
