Ecology & Sustainability

Fossil fuel development, in particular oil and gas, promised vast riches in the past. Today it is exposing fossil fuel producers and their creditors to a massive stranded asset risk. Technological disruption with the rapid cost-reduction of renewable energy and storage technologies, in conjunction with the inevitability of increased climate action, are at the root of unprecedented uncertainties over the future of the sector. 

This paper outlines some viable options for creating an architecture for a Debt-for-Climate Initiative (DCI). This is intended to enable countries to recover from the pandemic.

Low-income countries (LICs) are suffering from triple distresses: the mortal impact of Covid-19, increasing debt burdens, and climate change impacts. This paper brings the debt-for-adaptation swap into play as an alternative source to restore countries' ability to act and be resilient to climate change.

The present study, authored by scientists from different backgrounds, makes the eloquent case for such a reflection, pause, and reassessment. The publication is recommended to any reader concerned about our oceans' future.