Phasing out fossil fuels - How to achieve a just transition?

Fossil fuels, stranded assets, and the energy transition in the Global South: A systematic literature review

“…The FF supply-side: LFFU Approaches are under-researched, subsidies are over-emphasized, while FF stranding risk grows 4.2.1 | Supply-side measures are under-researched Scholarship has mostly focused on renewables or demand-side policy instruments (e.g., carbon emissions tax or tradeable emissions permits, among many others) promoting energy efficiency and limiting consumption; these have unsatisfactory results in LFFU (IPCC, 2018;Kriegler et al, 2020;Le Billon & Kristoffersen, 2020). This requires a focus on interventions targeting FF supply, its volume and features, the economic circumstances of producing countries, past FF production, and FF producers' willingness to cut supply (Le Billon & Kristoffersen, 2020).…”

“…Research on established oil exporters emphasizes the problem of stranded resources and assets but disregards equity implications (van de Graaf, 2018; van de Graaf & Bradshaw, 2018). Some analysts argue that international burden-sharing mechanisms (e.g., differentiated targets and timetables, international emissions trading/carbon price differentials, direct transfers) are required to account for the distributional implications of LFFU (Kriegler et al, 2020); others argue that an agreed-upon redistributive supply system to assist fragile petrostates would be counterproductive, since it would lock them into FF dependence and raise overall system costs by extending uneconomic oil production: thus, governments should expect a market-driven supply distribution (Coffin et al, 2021).…”