G20 energy transition meeting: the outcome document emphasizes the use of low emissions

Despite the lack of consensus among members regarding the terminology of ‘green’ or ‘clean’ hydrogen, the final document states: “We aim to accelerate the production and use of hydrogen generated from zero and low-emission technologies, as well as to establish flexible and transparent global markets for it and its derivatives such as ammonia. We aim to achieve this by developing universally accepted and compatible certification schemes as well as mutually agreed and voluntary standardisation.”

“We recognize the need to explore, diversify, adopt and promote sustainable biofuels resulting from zero and low emission technologies and their derivatives such as hydrogen and ammonia. These play an important role in the energy transition, enhancing energy security and addressing greenhouse gas emissions,” the document said.

It highlighted that the members urged the rapid voluntary transfer on mutually agreed terms and the joint development and adoption of clean, sustainable and low-carbon energy technologies. These are generally capital-intensive and require low-cost financing from various sources.

The document states that the G20 is committed to enabling access to affordable finance for clean and sustainable energy technologies, both existing and innovative, as a support for the energy transition.

With regard to the role of multilateral development banks and financial institutions in scaling up their financing towards energy transition, the document emphasizes that in order to ensure a rapid energy transition, “we identify the need for international financial institutions and multilateral development banks to improve and create new mechanisms and products to promote access to affordable financing, comply with their mandates and governance structures, and increase the participation of private finance to this end.”

In the context of the adverse effects of the conflict in Ukraine on the global economy, the Chairman’s summary confirmed that the issue had been discussed. “We reiterated our national stand, as stated earlier on other platforms including the UN Security Council and the UN General Assembly.”

However, while acknowledging that the G20 forum is not meant to resolve security issues, it recognized that such issues could have a significant impact on the global economy.

The conclusion document released after the ministerial meeting stressed the need to respect international law and the multilateral system that maintains peace and stability, adding that any use or threat of nuclear weapons is unacceptable. It concluded, “Resolving conflicts by peaceful means, resolving crises, diplomacy and negotiation are important. We must ensure that there is no war in the present age.”

UPDATE: July 22, 2023, 08:14 PM IST