Leaders from the Group of Seven, representing the world’s richest economies, on Tuesday supported temporary public investments in gas projects to help navigate an unprecedented energy crisis that’s contributing to inflation and leading to more coal use in power generation.
More than 20 European LNG projects have been announced or accelerated since March, with the potential to replace about 80 per cent of total imports from Russia in 2021, according to FTI Consulting. To be sure, the G-7 leaders said they still want gas projects to be consistent with international climate objectives. The LNG-import projects that have mushroomed across Germany all have announced options to handle climate-friendly hydrogen and green fuels in the future.
While the EBRD won’t finance gas exploration and production, projects that speed the switch from more polluting fuels like coal and oil are no longer off limits, he said.