New Law Requires U.S. Overseas Private Investment Corporation (OPIC) to Reduce Greenhouse Gas Emissions by 50 Percent
For Immediate Release
San Francisco, CA - December 22, 2009 -- As climate negotiations in Copenhagen ended with a whimper, new U.S. legislation passed last week
that requires the U.S. Overseas Private Investment Corporation (OPIC) to phase
down greenhouse gas emissions from financed projects by 30 percent in 10 years and by 50 percent in 15 years.
OPIC’s new requirement to phase down greenhouse gas emissions,
included in H.R. 3288, comes just months after the Group of Twenty (G-20) Pittsburgh
Communiqué, in which the leaders of these major economies committed to phase out fossil fuel subsidies over the medium term.The G-20
Pittsburgh Communiqué states that inefficient
fossil fuel subsidies encourage wasteful consumption, distort markets, impede
investment in clean energy sources and undermine efforts to deal with climate
change. Many countries are reducing fossil fuel subsidies while preventing
adverse impact on the poorest.
“We welcome this new requirement for OPIC.This victory shows that public finance
institutions can move toward the G-20 mandated phase out of fossil fuel
subsidies,” said Doug Norlen, Policy
Director for Pacific Environment.“While
we needed more commitments from world leaders in Copenhagen,
this law will at least require the U.S. to increase efforts to reduce
greenhouse gas emissions. This legislation also encourages the agency to increase
investments in renewable energy and energy efficiency projects in developing
countries instead of fossil fuel projects.”
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Notes:
[1]
The White House, Bills Signed
by the President Today, 12/16/09, available at
http://www.whitehouse.gov/the-press-office/bills-signed-president-today-121609
[2] See H.R. 3288, pages
250-251 at http://docs.house.gov/rules/omni2010/hr3288cr_divf_txt.pdf
[3] OPIC is a US Government
agency which provides billions of dollars in financing and insurance for US
investors in projects and ventures abroad.See www.opic.gov
[4] See
http://www.g20.org/Documents/pittsburgh_summit_leaders_statement_250909.pdf
