Global ambitions to tackle climate change are being under discussion by rising concerns about energy security. This is according to a new report by RBC. This is why oil and natural gas are going to be used for quite a while.
The Russian invasion of Ukraine has sent energy prices soaring. In effect, there are supply concerns for many commodities such as oil, natural gas and coal. Today, many countries grapple with energy security and affordability issues. On the other hand, there is less emphasis on climate change.
The report say countries like Canada now have to figure out how to produce more oil and gas. In the short term, the country is all the while trying to meet climate goals.
“Oil and gas will likely remain critical and contentious energy sources for longer than some think,” the report notes.
In the last few months, there has been a renewed push by countries like Canada and the United States for more oil and natural gas production. At the same time, some countries in Europe are investing in liquefied natural gas terminals to import more natural gas and also looking at coal and oil-fired electricity to reduce reliance on Russian gas.
Global demand for oil keeps rising and is expected to increase for several more years, according to the International Energy Agency.
The RBC report highlights how many governments around the world are also offering subsidies to offset high gasoline and power prices, including “usual climate leaders” such as Germany, California, and British Columbia.