COP28
France and the United States have announced plans to propose a ban on private financing for coal-fired power plants during the upcoming United Nations Climate Change Conference (COP28), scheduled to take place from November 30 to December 12, 2023, in Dubai, United Arab Emirates.
This proposed ban is part of a broader effort to accelerate the transition away from coal, a major source of greenhouse gas emissions, and towards cleaner energy sources.
The move comes as the world faces an urgent need to reduce emissions in order to limit global warming to 1.5 degrees Celsius above pre-industrial levels, the goal set by the Paris Agreement.
The proposed ban on private financing for coal-fired plants is expected to have a significant impact on the global coal industry, as it would make it much more difficult for coal companies to raise the capital they need to build new plants or operate existing ones.
This could lead to a faster decline in coal consumption and a more rapid transition to cleaner energy sources.
In addition to the proposed ban on private financing, France and the United States are also expected to call on other countries to phase out coal power by 2035 in developed countries and by 2040 in developing countries. They are also expected to push for increased investments in renewable energy and energy efficiency.
The proposed ban on private financing for coal-fired plants is a welcome step towards addressing the climate crisis. It is essential to reduce emissions from coal-fired power plants if we are to have any chance of meeting the goals of the Paris Agreement.
Hopefully, this proposed ban will be adopted by other countries and will lead to a rapid decline in coal consumption worldwide.