Financing the Transition in Oil-Producing Low- and Middle-Income Countries: Spotlight on Colombia, Mexico and Nigeria

This session shed light on how to finance the transition in Colombia, Mexico and Nigeria—important oil- and gas-producing countries whose national and local economies rely on this industry to stay afloat and provide essential public services.

Expert speakers shared insights on the latest COP29 negotiations, with a focus on the transition finance needs in these countries, where national oil companies are major players. Also known as the ‘hidden half’ of the world’s oil and gas industry, national oil companies produce around 55 percent of the oil and gas consumed globally and are responsible for a significant proportion of global emissions. However, their role in achieving climate objectives have largely remained on the sidelines of climate finance negotiations, debates and campaigns.     

Watch this press briefing for insights on what the climate finance goal must include to ensure a fair and equitable transition in these important oil producing countries.

Speakers:

• Fernanda Ballesteros leads NRGI’s work in Mexico and is a member of the organization’s energy transition coordination group. Ms Ballesteros discussed the prospects for the energy transition in Mexico, against the backdrop of the new administration under President Claudia Sheinbaum, a climate scientist, and the substantial reform needs of Pemex, Mexico’s national oil company.
• Enebi Opaluwa leads the natural resource and climate governance program at BudgIT Foundation, where he coordinates research, analysis and advocacy on resource governance, energy policy and climate finance. Mr Opaluwa highlighted key issues relevant to climate finance and Nigeria’s national oil company, NNPC, which relies on financing and technical assistance to decarbonize. 
• Vance Culbert is a senior policy advisor with IISD’s Energy Program. He focuses on solutions for an equitable transition away from fossil fuel production and aligning the energy sector with Paris Agreement targets. Mr Culbert discussed Ecopetrol’s economic challenges, including its credit rating downgrade as it seeks to respond to the Colombian government’s call to shift away from fossil fuels.
• Bronwen Tucker is the global public finance co-manager at Oil Change International, where she focuses on shifting public finance and subsidies toward a fair and 100% renewable future. Ms Tucker provided an update on the latest developments in the negotiations relevant to financing the energy transition in oil-producing low- and middle-income developing countries.