IEA special report shows that all new fossil fuel projects should be stopped

May 18, 2021

Report clarifies risk for banks, pension funds, and investors – fossil fuel infrastructure projects will be stranded assets

Today, the International Energy Agency released a special report demonstrating that there is no longer any need to invest in or construct new fossil fuel supply projects. Renowned as a world leader in energy systems modeling, the IEA charts a pathway to limiting global climate heating to 1.5 degrees Celsius. The pathway shows that, beyond projects committed to in 2021, no new oil and gas fields should be developed, and no new coal mines or mine extensions are required.

“This report makes it clear that governments will need to take action to stop expanding oil, gas and coal projects and plan for a wind down. This will require international cooperation which is why we are calling for a Fossil Fuel Non-Proliferation Treaty to complement the Paris Agreement.” said Tzeporah Berman, International Program Director for and Chair of the Fossil Fuel Non-proliferation Treaty Initiative. “For some countries stopping expansion will be harder than for others and that’s going to mean renegotiating debt and other international agreements and cooperating to fast track solutions.”

“After today’s IEA announcement, the oil and gas industry and politicians can no longer use IEA modeling as cover for new fossil fuel development,” said Matt Krogh, U.S. Oil & Gas Campaign Director for “This puts wind in the sails of elected leaders who are already taking action to ban new gas stations in Petaluma, to require all-electric buildings in Seattle, and to phase out fracking and oil production in California. We will see a lot more announcements like these after today—with’s SAFE Cities movement, I see dozens of examples of cities and counties heeding this call right now.“

“This report further underlines why Justin Trudeau must stop funding the Trans Mountain pipeline, and why the Biden administration must cancel the Line 3 project,” said Sven Biggs, Canadian Oil and Gas Program Director for “These pipeline projects will lock us into a future dependent on dirty tar sands oil. Today’s report is also clear that LNG for British Columbia is a mistake and that all future investments need to be focused on solutions like renewable energy.” 
“While the IEA’s forward-looking position on fossil fuel expansion is a good thing, when it comes to impacting forests, there’s a huge problem,” said Tyson Miller, Forest Programs Director for “The current modeling is heavily reliant on a 60% increase in bioenergy, which historically has been produced by burning wood pellets That will impact critical forests around the globe. Burning wood in place of coal produces more greenhouse gases at the stack. Despite industry claims that it’s ‘waste wood,’ our and other investigations are showing the industry using whole trees – even sourcing them from primary forests and threatened species habitat.”

“The IEA’s new findings recognize a fact that divestment and reinvestment advocates have long known to be true—fossil fuel infrastructure projects are simply bad financial bets,” said Richard Brooks, the Climate Finance Director for “Banks, pension funds, financial institutions and investors must realize that financing any company that has plans to expand fossil fuel infrastructure will now fly in the face of even conservative IEA projections. The risks of these projects becoming stranded assets are overwhelming and undeniable.”


Media contacts:

Tzeporah Berman, International Program Director,, +1 (604) 313-4713 (Pacific Time)

Matt Krogh, U.S. Oil & Gas Campaign Director,, +1 360 820 2938 (Pacific Time)

Richard Brooks, Climate Finance Director,, +1 416 573 7209 (Eastern Time)

Tyson Miller, Forest Programs Director,, +1 828 279 2343 (Eastern Time)

Sven Biggs, Canadian Oil & Gas Program Director,, +1 778 882 8354 (Pacific Time)