Many oil-and-gas-producing countries will lose large amounts of revenue if they move away from fossil fuels to renewable ‘green’ fuels. A recent report by Carbon Tracker, a London-based research firm, said the shift to energy use would cut oil and gas production by up to 40 percent.
It is estimated that by 2040, oil-producing countries will lose রাজ 13 trillion in revenue. In this situation, Carbon Trucker thinks that these countries have to change their strategy. This information was given in a report of BBC online.
The report says that this is a signal to oil-producing countries that there will be demand for oil until 2040. The agency warns that meeting climate targets could reduce demand. Oil prices will be lower than what oil producers are expecting. The report shows what will happen to the country’s revenue if global warming is limited to 1.65 degrees Celsius.
Petrostates are countries that rely heavily on government oil and natural gas exports. The main goal of the report is to highlight the challenges that 40 petrochemicals face. Reducing oil and gas prices in these countries would result in an average loss of revenue of 48 percent.
The economy of some countries is completely dependent on oil and gas. Eighty percent of Iraq’s revenue comes from oil. 70 percent of Saudi Arabia. According to the report, some countries will face huge losses in terms of revenue. For seven countries, including Angola and Azerbaijan, the damage could be at least 40 percent. In the case of 12 other countries, including Saudi Arabia, Nigeria and Algeria, the damage could be as high as 20 to 40 percent.