No new oil and gas exploration contracts will be awarded: Minminas

This was stated during his intervention in a panel of the framework of the Economic Forum World Cup held in Davos, Switzerland.

“We have decided that we are not going to award new gas and oil exploration contracts, which was of course very controversial National levelbut to us it is a very clear sign of our commitment to the struggling against climate change,” said Minister Vélez.

He added that “this is a planetary decision urgently”.

Vélez also affirmed that no new concessions will be granted for open coal mining. “We know that the coal importers will soon stop doing this and we need to be prepared for this”

In this way, the minister confirms that it is a decision not to sign oil and gas exploration and production (E&P) contracts, a matter on which there was no certainty since Finance Minister José Antonio Ocampo claimed that he analyzes.

“Petro has acknowledged that the country’s contribution to the climate crisis is almost negligible (0.37% of total GHG). However, the government is pulling its hair out in Davos, saying there will be no new gas and oil exploration contracts, ostensibly to save the planet. Ridiculous,” Francisco Lloreda, the president of the Colombian Oil and Gas Association (ACP), wrote on his Twitter account.

It should be noted that recently the Autonomous Committee for the Fiscal Rule (CARF) called on the national government to publish the energy transition plan “as soon as possible” and to give peace of mind to the market and to the actors in the sector, about the continuity of hydrocarbon exploration and exploitation in the country.

He pointed out that this would provide greater peace of mind with regard to budgetary and balance of payments projections in the short and medium term.

“Removing the uncertainty on this front will help consolidate agents’ expectations regarding the exchange rate, investment and growth, while making the nation’s income more predictable, both through the industry’s expected taxes and the flow of dividends from Ecopetrol,” the committee describes in its report.

Source: El heraldo