December 5, 2024 (SEOUL) – A coalition of 64 individuals and groups, including 15 members of parliament from around the world and global civil society organizations, sent an urgent open letter to South Korean President Yoon Suk-yeol and key government ministers, calling for an end to South Korea's public financing of fossil fuel projects.
The letter urges South Korea “to align with its international partners in ending fossil fuel finance” ahead of the upcoming OECD negotiation meeting. It comes amid the escalating backlash along with protests around the world, as attention is focused on what position South Korea will present during the submission of opinions by countries scheduled for December 6 and the final negotiations meeting on December 10.
Image 1: Members of the Asian Movement on Debt and Development (APMDD) and the Asian Energy Network hold a demonstration in Manila, Philippines, on December 3rd to protest South Korea's opposition to the OECD negotiations.
South Korea, currently the second-largest public financier of fossil fuels globally, provided nearly $10 billion annually to such projects between 2020 and 2022, accounting for over 21% of all G20 fossil finance. The country has been the target of continuing global pressure due to its blocking of the OECD negotiations, including being awarded the "Fossil of the Day" by the Climate Action Network during COP29 for its obstructive stance. Domestic backlash followed, with Korean legislators condemning the country’s position.
The OECD Export Credit Agreement negotiations in Paris held between November 18-22 were set as the last round of negotiations for the year. In what has been dubbed the “Biden administration’s last chance to pass an agreement,” all countries, apart from Korea and Turkiye, worked together to table the proposal. Following global pressure, and as negotiations concluded with no decision, countries have made an unprecedented decision to schedule an additional meeting in December to secure a decision.
Parliamentarians from 15 countries around the world added their voices to urge South Korea to take on a climate leadership role, including Cassy O'Connor of Australia, Natalie Bennett of the United Kingdom, Hon Amadou Camara of Gambia in Africa, Andrés Cancimance López of Colombia, and Ralph Regenvanu of the South Pacific island nation of Vanuatu. They were joined by 49 Korean and international civil society organizations that endorsed the letter, including several branches of the Korean Federation of Environmental Movements (KFEM), Greenpeace, Germanwatch, Market Forces, Oil Change International, and Urgewald.
Dongjae Oh, Head of Gas at Solutions for Our Climate, said: "With the clear majority of nations endorsing the OECD push to restrict fossil fuel finance, we are at a pivotal moment for climate action. Continuing to cling to fossil fuel finance while the world moves ahead with shifting its finance to clean energy is damaging South Korea’s reputation. By decoupling from fossil fuels and voicing its support for global climate action, South Korea can seize the chance to demonstrate climate leadership while reaffirming its climate commitments."
Image 2: Members of Friends of the Earth Japan protest South Korea's opposition to the OECD negotiations on November 29th.
Adam McGibbon, Campaign Strategist at Oil Change International, said: "With the EU, US, UK and Canada firmly behind a proposal that can end $41 billion in export finance for fossil fuels and an increasing number of OECD countries joining them, Korea risks becoming completely isolated as the last blocker. Will Korea support a clean energy future, or will it stand alone and embrace the polluting, risky fossil fuel energy system of the past?"
In the final countdown for the OECD negotiation decision, the letter emphasizes the critical need for South Korea to align its policies with the Paris Agreement and the international energy transition. It highlights the economic risks of stranded assets, the declining global demand for fossil fuels, and the opportunities presented by renewable energy.
Photos from global civil society groups can be accessed here (Image credit: marked on each image). The open letter and list of signees can be found here (or below).
ENDS.
Solutions for Our Climate (SFOC) is an independent nonprofit organization that works to accelerate global greenhouse gas emissions reduction and energy transition. SFOC leverages research, litigation, community organizing, and strategic communications to deliver practical climate solutions and build movements for change.
Website: https://forourclimate.org/
For media inquiries, please reach out to Kate Kalinova, Communications Officer, at kate.kalinova@forourclimate.org.
Open Letter
[December 5th, 2024]
The Honorable Yoon Suk Yeol
President of South Korea
22, Itaewon-ro, Yongsan-gu,
Seoul, Republic of Korea, 04383
The Honorable Choi Sang Mok
Minister
Ministry of Economy and Finance
42, Doum 6-ro, Sejong-si,
Republic of Korea, 30112
The Honorable Ahn Duk Geun
Minister
Ministry Trade, Industry and Energy
13 Dong, 402, Hannuri-daero,
Sejong-si, Republic of Korea, 30118
Dear President Yoon Suk Yeol, Minister Choi Sang Mok, and Minister Ahn Duk Geun,
We find ourselves at a pivotal moment for climate action. The urgency of aligning national policies with the Paris Agreement has never been more critical for limiting global temperature rise to 1.5°C. This is highlighted by global collective efforts such as the Conference COP29 deliberations or current ongoing negotiations through the Organisation for Economic Co-operation and Development (OECD), where multiple countries are cooperating to restrict export fossil finance.
As global citizens - members of parliaments, leaders, and civil society - we urge South Korea to align with its international partners in ending fossil fuel finance. Your leadership is vital to shaping both South Korea’s energy future and Asia’s broader transition toward sustainability. Decisions made at this critical point in time will contribute to the collective effort to address the global climate crisis—an opportunity to create impact at scale through bold and forward-thinking strategies.
South Korea, the second-largest global fossil fuel financier, provided nearly USD 10 billion annually to such projects from 2020-2022. This financing contributes significantly to greenhouse gas emissions and global climate impacts. Unlike other major financiers like Canada and Japan, which have pledged to end fossil fuel financing under the G7 framework, South Korea has yet to make a similar commitment. It’s time for South Korea to join global efforts to phase out fossil fuels and lead in advancing the energy transition.
The transition to achieve global climate goals is already underway. To limit the rise in global average temperatures to 1.5°C above pre-industrial levels, and to achieve commitments by many countries, including South Korea, to reach carbon neutrality by 2050, we must reduce reliance on fossil fuels, transitioning public finance away from fossil fuels. Globally, projections for fossil fuel demand are being revised downward, and the case for renewable energy is stronger than ever. By ending its fossil finance, South Korea can lead the regional shift to renewable energy, driving technological advancements that enhance both economic development and energy security.
South Korea’s approach to climate action is crucial for successful international collaboration. By steering investments away from additional fossil fuel capacity building, South Korea can demonstrate its climate leadership and reaffirm its climate commitments, while avoiding potential risks associated with stranded assets in the fossil fuel sector. Multiple countries have made pledges to stop financing fossil fuels – in addition to the G7 countries’ commitment, 41 countries and financial institutions have joined the Clean Energy Transition Partnership (CETP), committing to shift finance away from fossil fuel projects. We urge South Korea to do the same.
As we work towards achieving the Paris Agreement goals, the world is heading towards a pivot from a reliance on fossil fuels to sustainable energy sources. South Korea has the potential to make a critical impact on the global climate crisis by realizing this pivot and ending its financing for fossil fuels. We thank you for your consideration.
Sincerely,
Andrés Cancimance López, Member of the House of Representatives, Colombia
Anthony Kasandwe, National Assembly Member, Zambia
Cassy O'Connor, Member of the Legislative Council, Tasmania, Australia
Ellie Chowns, Member of Parliament, United Kingdom
Gwendell Mercelina, Jr., Member of Parliament, Curaçao
Hon Amadou Camara, National Assembly Member, The Gambia
Isabella Lövin, Member of the European Parliament, Sweden
Joseph Kakunda, Member of Parliament, Tanzania
Lisa Badum, Member of the Bundestag, Germany
Natalie Bennett, Member of the House of Lords, United Kingdom
Oras Tynkkynen, Member of Parliament, Finland
Pär Holmgren, Member of the European Parliament, Sweden
Ralph Regenvanu, Member of Parliament, Vanuatu
Rebecca Yei Kamara, Member of Parliament, Sierra Leone
Samson Quejue Wiah, House of Representatives, Liberia
ActionAid Denmark
AKTIVASIA
Alternativa Verda
Alternative Law Collective (ALC)
Ansan KFEM
APMDD
Bank Climate Advocates
Big Shift Global
BigWave
Center for Energy, Ecology, and Development (CEED)
Citizens' Headquarters for Fine Dust Solution
Climate Action Network Australia
Climate Analytics
CN KFEM
Coastal Livelihood and Environmental Action Network (CLEAN)
Conexiones Climaticas
Dangjin KFEM
FoE Japan
FoE Norway (Naturvernforbundet)
Germanwatch
Green Environment Youth Korea
GREENPEACE
Gyeongnam Climate Action
Indus Consortium for Humanitarian, Environmental & Development Initiatives
Institute for Climate and Sustainable Cities
Japan Center for a Sustainable Environment and Society (JACSES)
Jubilee Australia Research Centre
Korea Federation for Environmental Movement, GyeongGi
KRuHA - people's coalition for the right to water
Leave it in the Ground Initiative (LINGO)
Life-Nature Safeguard Platform
Market Forces
Mekong Watch
MenaFem Movement for Economic, Development And Ecological Justice
Milieudefensie
Oil Change International
Oyu Tolgoi Watch
Philippine Movement for Climate JusticePhili
Recourse
Rivers without Boundaries Coalition
Senik Centre Asia
SEOUL KFEM
Solutions for Our Climate
Taiwan Climate Action Network
Trend Asia
Urgewald
WALHI
Waterkeepers Bangladesh
Youth Climate Emergency Action
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