The G7 committed to 'an overwhelmingly decarbonised power system in the 2030s'. AFP
The G7 committed to 'an overwhelmingly decarbonised power system in the 2030s'. AFP
The G7 committed to 'an overwhelmingly decarbonised power system in the 2030s'. AFP
The G7 committed to 'an overwhelmingly decarbonised power system in the 2030s'. AFP

G7 pledge to end funding for coal projects by 2025


Jamie Prentis
  • English
  • Arabic

G7 countries have pledged to end international funding for coal projects by 2021 and phase out "inefficient" fossil fuel subsidies by 2025.

The agreements were made so as to reach climate change targets including limiting the rise of global temperatures to 1.5°C above pre-industrial levels and reaching net zero emissions by 2050 at the latest.

A statement issued by the environment and climate ministers of the G7 recognised “that coal power generation is the single biggest cause of global temperature increases”.

“We commit now to rapidly scale-up technologies and policies that further accelerate the transition away from unabated coal capacity and to an overwhelmingly decarbonised power system in the 2030s, consistent with our 2030 National Determined Contributions and net zero commitments,” they said, following a virtual meeting.

Coal is regarded as unabated when it is burned for power or heat without using technology to capture the resulting emissions, a system not yet widely used in power generation.

The statement also says “we will phase out new direct government support for carbon intensive international fossil fuel energy, except in limited circumstances at the discretion of each country, in a manner that is consistent with an ambitious, clearly defined pathway towards climate neutrality in order to keep 1.5°C within reach”.

  • Signs from Fridays for Future movement in Berlin, Germany. Ten cities joined New York and London in committing to divest from fossil fuel companies as part of efforts to combat climate change. AP
    Signs from Fridays for Future movement in Berlin, Germany. Ten cities joined New York and London in committing to divest from fossil fuel companies as part of efforts to combat climate change. AP
  • Climate activists march in an attempt to occupy the Garzweiler open-cast coal mine and nearby gas infrastructure on a day of civil disobedience near Grevenbroich, Germany. Getty
    Climate activists march in an attempt to occupy the Garzweiler open-cast coal mine and nearby gas infrastructure on a day of civil disobedience near Grevenbroich, Germany. Getty
  • A child wears plastic bottle waste provided by climate and environmental activists during a protest in Nairobi, Kenya. Reuters
    A child wears plastic bottle waste provided by climate and environmental activists during a protest in Nairobi, Kenya. Reuters
  • A deforested area close to Sinop, Mato Grosso state, Brazil. The number of bushfires raging in Brazil's Amazon increased 61 per cent in September last year, compared to the same period in 2019. AFP
    A deforested area close to Sinop, Mato Grosso state, Brazil. The number of bushfires raging in Brazil's Amazon increased 61 per cent in September last year, compared to the same period in 2019. AFP
  • Ice sculptures of Donald Trump and Jair Bolsonaro comprise the artwork 'Meltdown', which was on display last September during the UN Summit On Biodiversity in New York City. AFP
    Ice sculptures of Donald Trump and Jair Bolsonaro comprise the artwork 'Meltdown', which was on display last September during the UN Summit On Biodiversity in New York City. AFP
  • A Jaguar named Ousado, who suffered second-degree burns during fires in the South American Pantanal region, rests in his cage after treatment in Brazil. AP
    A Jaguar named Ousado, who suffered second-degree burns during fires in the South American Pantanal region, rests in his cage after treatment in Brazil. AP
  • Cars on the Golden Gate Bridge in San Francisco, California. The US state plans to phase out sales of new, petrol-powered cars by 2035. Bloomberg
    Cars on the Golden Gate Bridge in San Francisco, California. The US state plans to phase out sales of new, petrol-powered cars by 2035. Bloomberg
  • Deadly bushfires in California burnt more than 16,000 square kilometres of land last year — more than double the previous record for the most land burnt in a single year in the state. AP
    Deadly bushfires in California burnt more than 16,000 square kilometres of land last year — more than double the previous record for the most land burnt in a single year in the state. AP
  • An aircraft prepares to drop fire retardant while battling a blaze in the Mendocino National Forest, California. AP
    An aircraft prepares to drop fire retardant while battling a blaze in the Mendocino National Forest, California. AP
  • Filipino climate activists hold placards calling for climate action as a part of global climate change protests in Quezon City. Reuters
    Filipino climate activists hold placards calling for climate action as a part of global climate change protests in Quezon City. Reuters
  • Debris collects in a river after heavy rains and floods hit Breil-sur-Roya, a French village close to the Italian border. AFP
    Debris collects in a river after heavy rains and floods hit Breil-sur-Roya, a French village close to the Italian border. AFP
  • Climate and environmental activists make their way through a forest next to the village of Shipunovo, 170 km south of the Siberian city of Novosibirsk, to extinguish a peat fire. AFP
    Climate and environmental activists make their way through a forest next to the village of Shipunovo, 170 km south of the Siberian city of Novosibirsk, to extinguish a peat fire. AFP
  • A man holds a banner with the message "United for climate" during a small climate change protest in Brussels. AP
    A man holds a banner with the message "United for climate" during a small climate change protest in Brussels. AP
  • British zoologist Andrew Bladon takes the temperature of a butterfly near Pegsdon, England. Whether a butterfly's wings absorb or reflect heat from the sun could be a matter of life and death in a warming world, British researchers said. AFP
    British zoologist Andrew Bladon takes the temperature of a butterfly near Pegsdon, England. Whether a butterfly's wings absorb or reflect heat from the sun could be a matter of life and death in a warming world, British researchers said. AFP
  • Members of an environmental group in Seoul, South Korea, take part in a protest against climate change. EPA
    Members of an environmental group in Seoul, South Korea, take part in a protest against climate change. EPA
  • Activists from various environmental groups take part in a protest against climate change in New Delhi, India. EPA
    Activists from various environmental groups take part in a protest against climate change in New Delhi, India. EPA
  • Ugandan climate change activist Vanessa Nakate takes part in a demonstration in the Luzira suburb of Kampala, Uganda. Reuters
    Ugandan climate change activist Vanessa Nakate takes part in a demonstration in the Luzira suburb of Kampala, Uganda. Reuters
  • A climate change demonstration in Vienna, Austria. AFP
    A climate change demonstration in Vienna, Austria. AFP
  • An iceberg floats past Bylot Island in the Canadian Arctic Archipelago in 2017. AP
    An iceberg floats past Bylot Island in the Canadian Arctic Archipelago in 2017. AP
  • A polar bear stands on the ice in the Franklin Strait in the Canadian Arctic Archipelago in 2017. AP
    A polar bear stands on the ice in the Franklin Strait in the Canadian Arctic Archipelago in 2017. AP

US climate envoy John Kerry called on G20 countries to follow the G7’s lead and adopt the measures agreed.

"We do call on all G20 countries now, and all other major economies to join with us. This is not just a one-off event, we hope. It is critical to the goals that we all have for Glasgow," he said.

The virtual meeting was hosted by the UK government, which is the current G7 president. The UK will also host the UN climate summit known as Cop26 later this year in Glasgow.

The G7 ministers also committed to protecting or conserving at least 30 per cent of the world’s land and seas by 2030.

Alok Sharma, the president of Cop26, said “we know we need to consign coal to history”.

A UK government statement said the G7 ministers had “secured historic commitments which will put climate, biodiversity and the environment” at the forefront of Covid-19 recovery efforts.

  • Around $3.5 trillion is required between now and 2050 to meet targets for a 'sustainable path', according to the International Energy Agency. AP Photo
    Around $3.5 trillion is required between now and 2050 to meet targets for a 'sustainable path', according to the International Energy Agency. AP Photo
  • The makeshift Suweida camp for internally displaced people in Yemen’s Marib province. The effects of climate change have exacerbated the displacement of local populations during the country’s war. AFP
    The makeshift Suweida camp for internally displaced people in Yemen’s Marib province. The effects of climate change have exacerbated the displacement of local populations during the country’s war. AFP
  • A firefighter monitors a controlled burn, near Jolon, California.Frequent wildfires are an indication of climate change further getting out of control, say environmentalists. Bloomberg
    A firefighter monitors a controlled burn, near Jolon, California.Frequent wildfires are an indication of climate change further getting out of control, say environmentalists. Bloomberg
  • Wildfire burns through the Angeles National Forest in Los Angeles County, north of Azusa, California. AFP
    Wildfire burns through the Angeles National Forest in Los Angeles County, north of Azusa, California. AFP
  • Steam rises from a steel mill in Duisburg, Germany. Some countries are using the coronavirus pandemic to wind back climate change commitments, say environmentalists. Getty Images
    Steam rises from a steel mill in Duisburg, Germany. Some countries are using the coronavirus pandemic to wind back climate change commitments, say environmentalists. Getty Images
  • A deforested area close to Sinop, Mato Grosso State, Brazil. Deforestation in Brazil's Amazon rainforest rose by almost 22 percent from August 2020 to July 2021, compared with the same period the year before, reaching a 15-year high. AFP
    A deforested area close to Sinop, Mato Grosso State, Brazil. Deforestation in Brazil's Amazon rainforest rose by almost 22 percent from August 2020 to July 2021, compared with the same period the year before, reaching a 15-year high. AFP

Mr Sharma welcomed climate targets from China, the world’s biggest polluter, but said more needed to be done in the short term. China has pledged to achieve carbon neutrality by 2060.

"Frankly what we really want to see are the near-term policies that will then help to deliver the longer-term targets and the whole of the Chinese system needs to deliver on what President Xi Jinping has set out as his policy goals," he said.

Greenpeace said some “useful steps forward” had been laid out in the G7 statement and described the pledge to end international coal funding as a “real positive”.

Rebecca Newsom, head of politics at Greenpeace UK, said it left "China isolated globally with its ongoing international financing for the most polluting fossil fuel".

“Unfortunately though, too many of these pledges remain vague when we need them to be specific and set out timetabled action. The commitment on sea and land protection has to be matched with legally binding targets internationally, a Global Ocean Treaty and strong measures domestically to ensure it happens,” she said.

How to help

Call the hotline on 0502955999 or send "thenational" to the following numbers:

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ENGLAND SQUAD

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Ten tax points to be aware of in 2026

1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

6. Further transfer pricing enforcement

Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

9. Reduced compliance obligations for imported goods and services

Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

Contributed by Thomas Vanhee and Hend Rashwan, Aurifer

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Engine: 1.5L three-cylinder petrol, plus 11.6 kWh lithium-ion battery

Transmission: Six-speed automatic

Power: 374hp (total)

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Fuel economy, combined: 2.0L / 100km

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Going grey? A stylist's advice

If you’re going to go grey, a great style, well-cared for hair (in a sleek, classy style, like a bob), and a young spirit and attitude go a long way, says Maria Dowling, founder of the Maria Dowling Salon in Dubai.
It’s easier to go grey from a lighter colour, so you may want to do that first. And this is the time to try a shorter style, she advises. Then a stylist can introduce highlights, start lightening up the roots, and let it fade out. Once it’s entirely grey, a purple shampoo will prevent yellowing.
“Get professional help – there’s no other way to go around it,” she says. “And don’t just let it grow out because that looks really bad. Put effort into it: properly condition, straighten, get regular trims, make sure it’s glossy.”

MOUNTAINHEAD REVIEW

Starring: Ramy Youssef, Steve Carell, Jason Schwartzman

Director: Jesse Armstrong

Rating: 3.5/5