Infotech The government wants to end export aid for oil in 2025, gas in 2035

The government wants to end export aid for oil in 2025, gas in 2035

The government proposes to end in 2025 export financing guarantees for oil projects in 2025, and gas in 2035, according to a report to parliament presented on Monday, October 12.

The government is also proposing to ban, as of January 1, 2021, this support for “Extra-heavy oils, shales and tar sands”, as well as “Thermal power stations degrading the electricity mix of the recipient country”.

The end of public support for oil exploration and exploitation projects from 2025 could cost “Up to 1,800 jobs given the growing demand from several Gulf oil companies to establish multi-billion euro credit lines with European export credit agencies”, according to the report Total, BP, Shell … the false promises of oil groups on their CO2 emissions

For gas, “The situation will be reassessed regularly” by 2035 “To set the deadline most suited to climatic and industrial issues, by guaranteeing a period of at least four years between the decision to end eligibility for export support and its effective implementation”.

“This last measure would have the biggest impact on employment, with around 3,000 jobs lost”.

“Anecdotal” measures according to Friends of the Earth

“This is the first time that an exporting country has presented a strategy for its exports to fight against global warming”, said the Minister of the Economy Bruno Le Maire at a press conference at the National Assembly. He recalled the ambition of the recovery plan for France to become “The first major European low-carbon economy”.

The NGO Friends of the Earth denounced in a press release measures “Anecdotal” who “Do not force French industrialists active in the hydrocarbons sector to change their economic model”.

The outstanding under guarantee of oil and gas projects amounted to May 31, 2020 to 2.7 billion euros, according to the government, or 4% of total export guarantees. Regarding the entire export support system, the report defends a “Climate bonus” for sustainable projects led by French companies.

Oil, pesticides … Environmentalists fear a return to the “world before”

The classification carried out by the European authorities “Will be the yardstick to judge the eligibility of bonus projects, with the exception of the naval sector” for which “A transitional ad hoc methodology is proposed”, indicates the report.

“The defense, shipbuilding and aeronautics sectors represent three-quarters of outstanding credit insurance”, recalls the government.

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