Press Release

Oil Change International Reaction to the Establishment of the UN Loss and Damage Fund

November 30, 2023

Unprecedented, countries finalized the creation of a fund to compensate countries for loss and damage caused by the climate crisis on the first day of the UN Climate Change Conference.

For Immediate Release

In reaction to today’s announcement about the historic establishment of the United Nation’s loss and damage fund, David Tong, Global Industry Campaign Manager, Oil Change International, said:

“Unprecedented, countries finalized the creation of a fund to compensate countries for loss and damage caused by the climate crisis on the first day of the UN Climate Change Conference.

“So far, governments’ contributions to the loss and damage fund are dwarfed by their approximately USD 200 billion in planned subsidies for carbon capture and storage (CCS). Subsidies for CCS are subsidies for fossil fuels, because most captured carbon is used to produce more oil and gas. Instead of paying their fair share to clean up their mess, rich polluting countries are offering a lifeline to the fossil fuel industry in the form of billions in handouts for CCS, fueling more loss and damage.

“For this COP to be a success, the negotiators must focus on securing an agreement to massively scale up renewable energy, end all new fossil fuel expansion, and commit to a fast, fair, full, and funded phase out of all fossil fuels”

Key Findings from OCI’s CCS Briefing Today:

Governments have spent over $20 billion – and are planning up to $200 billion more – of public money on Carbon Capture and Storage (CCS), providing a lifeline for the fossil fuel industry.

The majority of CCS is used to expand fossil fuel extraction. 79% of the world’s CCS operating capacity sends captured CO2 to produce more oil (via Enhanced Oil Recovery)

Many of the largest projects in the world operate far below their stated capacity. They are designed only to capture a fraction of the emissions of the plant they serve.