Export Credit Agencies: Fossil Fuel Exclusion Policies, Paris Alignment, and Role as Transformational Actors

9 Pages Posted: 12 Feb 2021

Date Written: February 12, 2021

Abstract

The decision of HMG to cease UKEF support for the fossil fuel energy sector is a signal achievement in global climate finance. It demonstrates the ambition of the UK – post-Brexit, and post-pandemic – to lead international on climate action. In order to deliver on that ambition important practical issues require consideration. First, how can the decision be implemented such as to maximise its credibility and impact, both domestically and internationally? A central issue to implementation is the imperative to avoid the regulatory displacement of finance from UKEF to other UK public finance entities, such as CDC group and PIDG. More ambitiously, if the UK and other similarly situated jurisdictions are to genuinely become a Paris aligned low carbon economy and society, there is a need to understand the role that GGR (greenhouse gas removal technologies) have to play in the process. A complex matter involving climate finance, but also moral hazard and innovation policy, GGR will be a central plank to going beyond ‘do no harm’ and delivering transformation.

Keywords: Climate finance, UKEF, export credit agencies, net zero, GGR, greenhouse gas removal technologies, COP26, Paris Alignment, regulatory displacement.

Suggested Citation

Ghaleigh, Navraj Singh, Export Credit Agencies: Fossil Fuel Exclusion Policies, Paris Alignment, and Role as Transformational Actors (February 12, 2021). Edinburgh School of Law Research Paper No. 2021/03, Available at SSRN: https://ssrn.com/abstract=3784752 or http://dx.doi.org/10.2139/ssrn.3784752

Navraj Singh Ghaleigh (Contact Author)

University of Edinburgh - School of Law ( email )

Old College
South Bridge
Edinburgh, EH8 9YL
United Kingdom

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
66
Abstract Views
336
rank
407,557
PlumX Metrics