Balance approach critical in transitioning to renewable energy – President Ali

While transitioning from fossil fuels to renewable energy is key in tackling the climate crisis, President Dr Mohamed Irfaan Ali believes this target would not be achievable if global leaders continue to leave out key stakeholders, including petroleum producers and countries in the global transition discussions.

The head of state made the statement during a panel discussion held on Friday at the Clinton Global Initiative 2023 meeting, in New York.

He was part of a panelist that included former President of Costa Rica, Jose Maria Figueres Olsen; Chief Executive Officer of InterEnergy Group, Rolando Gonzalez-Bunster and Co-Founder of Renew Energy Global PLC, Vaishali Nigam-Sinha.

President Ali also decried the conversation of achieving net zero by eliminating petroleum-related activities, which is removing the balance from the conversation.

“I believe strongly that we need to have a constructive approach to this matter and the approach of locking out the stakeholders, including petroleum producers is not one that will lead to that constructive approach,” the president asserted.He added, “We have to get those in coal, those in petroleum to make some commitment along the line of research and development, technology, the carbon tax, and also look at the removal of subsidies. So, we need them in the room for that balanced conversation.”

President Ali explained Guyana is in a perfect position to speak on this issue since it plays a lead role in addressing climate change since it has one of the lowest deforestation rates in the world and is now a leader in energy.

The country has a forest the size of England and Scotland combined, but according to the head of state, it did not bring wealth into the country although it created tremendous value for the world.

“So, how are we going to ensure that in the transition, there is just reward for those countries who are keeping the environment, keeping the forest, and assuring that that forest contributes to the climate equation?” he questioned.

He believes Guyana can achieve 100 per cent renewables not only for itself but for the Caribbean and South American regions as well; however, fossil fuel will play an important role in achieving the significant milestone.

Meanwhile, five points were outlined by the president which must form part of the transition discussion. These include the role of petroleum producers in renewable, budget support for research and development, and incorporating newer technologies into the equation.

“As a newcomer to the petroleum industry, we are proposing and supporting a carbon tax and the removable of subsidies on petroleum producers. This balanced approach is critical and if we don’t pursue a balanced approach, then we’re not going to constructively tackle this problem,” President Ali stressed during the panel discussion. Another important aspect of the transition is that developing countries like Guyana find it hard to transition smoothly, as there is a lack of financing for these countries in the critical transition