The world is under threat from a “suicidal” model of capitalism that leads to war, fascism and the potential extinction of humanity, Colombia’s president said as he convened 57 governments to tackle the climate crisis.
Gustavo Petro accused fossil fuel interests of taking ever more desperate measures to block the transition to green energy. “There is a lethal force and economic inertia in this obsolete form of energy, fossil fuels. Make no mistake, that form of capital has the potential to commit suicide, taking humanity and (other) life with it,” he said. “The question to be asked is whether capitalism can really adapt to a non-fossil energy model.”
Colombians are set to vote next month to elect a new leader, with Petro, who was elected the country’s first leftist president in 2022, barred by the constitution from seeking a second consecutive term. The world is in a dangerous position, said the former economist and guerrilla. “We are moving towards barbarism, and barbarism is a precursor to fascism and fascism itself.”
Activists demonstrate outside a conference against the destruction of the Amazon. Photo: Ivan Valencia/AP
The world’s first conference on the transition away from fossil fuels will be held in the Colombian coastal city of Santa Marta. Two days of talks between government ministers and senior officials began on Tuesday, preceded by four days of civil society discussions and academic workshops.
Some countries have already begun developing roadmaps to phase out fossil fuels. Colombia released a draft plan last week, and on Tuesday, France became the first developed country to release a national roadmap to phase out fossil fuels. The roadmap includes a schedule to eliminate coal from the nation’s power grid by 2027, eliminate dependence on oil by 2045, and phase out fossil gas by 2050.
France’s climate envoy, Benoît Faraco, said the plan is more advanced than the country’s national plan under the Paris Agreement. For decades, much of France’s electricity has been provided by nuclear power, but this will be supplemented by an increase in renewable energy. “This process made us realize that we wanted to become an electrical superpower,” Faraco said. “We want to become the power Saudi Arabia of Europe, selling green electronics to the UK, Ireland, Germany and other countries.”
Activists protest in Santa Marta on Monday. Photo: Ivan Valencia/AP
As countries embark on detailed discussions on timetables for action and promotion of low-carbon technologies, one key message has emerged from developing countries and financial experts: That is, tackling debt must be a central pillar of any global platform to combat climate change.
“There are many fossil fuel producing countries in the Global South who are being forced to expand fossil fuel production just to meet their debts,” said Tsepola Berman, founder and chair of the Fossil Fuel Treaty Initiative.
“The global South is experiencing a growing debt crisis. It is impossible for countries to even imagine a transition to fossil fuels when fiscal space is so limited.”
In Africa alone, debt has doubled in the past five years to more than $1 trillion. Rising interest rates imposed by central banks to curb inflation that contributed to the fossil fuel crisis are adding to the burden, while soaring fuel and food prices are placing further demands on stricken economies.
The conference brought together representatives from dozens of countries to try to make progress on the impasse at the UN’s Cop summit. Photography: Raul Arboleda/AFP/Getty Images
Susana Muhammad, Colombia’s former environment minister and current special envoy for the Fossil Fuel Treaty Initiative, said countries struggling to pay interest on their debts would not be able to afford imports such as medicines, fertilizers and technology without revenue from fossil fuel exports. “In order to maintain each country’s economy, dependence not only on fiscal revenue but also on trade balances is a problem,” he said.
Many participants from the Global South spoke of similar issues. This is because high debt repayments are eating into foreign exchange reserves, and high interest rates are making it difficult to borrow money to invest in renewable energy. “I cannot stress enough how important it is that this is discussed,” Muhammad said.
Several civil society activists called for debt forgiveness. Lidi Nakpil, coordinator of the Asian People’s Movement on Debt and Development, said: “We welcome the high-level delegation in Santa Marta’s recognition that a just transition is impossible while countries in the Global South remain shackled to predatory, unsustainable and illicit debt. Much of the debt our people are being forced to pay does not benefit them and is actually harming people and the planet, including high debt levels.” It comes from fossil fuel projects. ”
The conference will not produce new cash commitments to help developing countries escape the debt trap and finance a “just transition” to a low-carbon economy, but it could generate new ideas for financial reforms to stimulate investment.
The Santa Marta conference is being touted as the world’s first national climate change summit focused on the green energy transition. Photography: Raul Arboleda/AFP/Getty Images
Leo Roberts, acting associate director for energy transition at think tank E3G, said: “Santa Marta is definitely not the place to come up with big new numbers on financing the transition away from fossil fuels, but it is a place where we can talk about, for example, subsidy reform to take the $1.5 trillion[a year]in fossil fuel subsidies and repurpose them elsewhere.”
Nick Robbins, senior director of finance and private sector at the World Resources Institute think tank, said countries should also work to “cut off the financial oxygen to fossil fuels”, including through reforms to banking regulations. This should include preventing fossil fuel industries from assessing their own climate risks, he said.
