OECD ECAs in stalemate over coal subsidy phase-out

(St. Louis Post-Dispatch, Brussels, 12 June 2015) Talks on phasing out a form of coal subsidies ended in stalemate as Japan, the biggest user of the aid, led calls for more time in defiance of this week's G7 pledge on fossil fuel subsidies, sources said. The Paris-based Organization for Economic Cooperation and Development has been trying for a year to get an agreement from its 34 member nations on phasing out export credits for coal, the most polluting of the fossil fuels. Sources close to talks in Paris on Wednesday and Thursday, speaking on condition of anonymity, said nations would review the situation over the summer ahead of further talks in September. An OECD spokesman, who asked not to be identified, confirmed the OECD's export credit committee planned to meet in September to debate further how "export credits can contribute to our common goal to address climate change." The pressure for a deal is strong, but so is opposition, especially from Japan, the biggest user of the credits that help companies such as Toshiba Corp to sell coal plant and mining technology abroad.