Cop: Presidencies release cover decision wish list

Spanish Market: Coal, Crude oil, Electricity, Emissions, Natural gas, Oil products
13/11/26

The UN Cop 31 climate summit presidencies — Australia and Turkey — today published an informal list of themes countries would wish to address in a potential cover decision for the talks, including Turkey's electrification pledge, methane reductions and tripling finance adaptation.

Today's note is meant to support discussions among parties, the Cop 31 presidencies said. Negotiations on the potential cover decision — an overarching political text led by the event's presidency, which can address themes that are not part of official negotiations — will start in earnest next week when ministers are due to arrive at the summit.

"The document raises a long list of options, but sometimes in a contradictory and repetitive way," climate think-tank the World Resources Institute (WRI) said.

Some parties commented on the need to not reopen negotiations, to make a distinction between the action agenda and negotiations and the importance of consensus. Some parties said there is "value in sending signals", but the text should not have "top-down targets, should not target specific sectors or energy sources, technology neutral" and not put additional pressure on budgets.

At the same time, the section about increasing the share of electrification in final energy consumption globally to 35pc by 2035 talks about renewables and clean sources, and the text on methane clearly refers to the oil and gas industry as it mentions venting and flaring. This is likely to face opposition from major oil and gas producing countries.

Saudi energy minister Prince Abdulaziz bin Salman said on 12 November that the expansion of electrification does not necessarily mean cutting emissions depending on the production sources. "The ultimate end is to cut emissions regardless of their sources. The kingdom reiterates that what unites us is the objective and not necessarily the track to achieving it," he said.

Some parties in the list also "welcome" the Cop 30 presidency roadmaps on transitioning away from fossil fuels and forests and talk about "forward work" on this, although no details were given. This is also likely to face opposition by key parties which had signalled early on that the roadmaps should stay outside the negotiation process.

The cover decision has some "positive points", notably on methane which France had asked for, even if it could be more precise and have a timeline, sources at the French climate ministry said, adding that the country will pay attention to the language on the 35 by 35 target in the upcoming negotiations. "Electrification is not an end in itself, electrification is a means of decarbonising," the source said.

The Turkish Cop 31 presidency has set out a broad voluntary "35-by-35" global goal for electricity to reach 35pc of global final energy consumption by 2035, up from around 20pc currently, which could serve as a base for language in the cover decisions, according to some observers.

Countries have started to come out in support of Turkey's electrification goal and more could signal interest in the second week of Cop 31. Support "in principle" for the goal is very wide, but it has not translated into a large number of countries coming out in favour of it officially, European Commission director for climate finance Diana Acconccia said today. She added that this could change when the ministers arrive to continue the negotiations in the second week of the summit.

On finance, the list mentions following through on the $300bn/yr finance pledge by developed countries to developing countries and "pursuing efforts to at least triple adaptation finance by 2035".

Adaptation finance language is likely to face developed countries' scrutiny. The EU said before the summit that there is no room for additional climate finance commitments at Cop 31. "We are committed to deliver on [the $300bn/yr goal], Germany's state secretary at the environment ministry Heike Henn said today. But the US is no longer at the table and that makes a difference, she said, adding that finance discussions are also difficult for the countries that provide it.

The presidency list for cover decision themes also acknowledges the value of co-operation under Article 6.

By Caroline Varin and Georgia Gratton

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13/11/26

Cop: US CBAM unlikely absent new Republican support

Antalya, 13 November (Argus) — Carbon border fee legislation is unlikely to emerge from the US Congress until it gets Republican "champions" to support it, according to a top Senate Democrat. While there is a "pretty solid foundation of work" that has been done on such a carbon boarder adjustment mechanism (CBAM) for the US, the loss of two Republican supporters will make it hard to get through Congress, even as Democrats are poised to hold sizeable majorities in both the Senate and US House of Representatives next year, US senator Sheldon Whitehose (D-Rhode Island) said on Friday. "We'd need Republican champions to step up", Whitehouse told reporters at the UN Cop 31 climate summit in Antalya, Turkey. The idea of a CBAM, which would impose a fee on imports that do not meet greenhouse gas (GHG) emissions benchmarks, had attracted some Republican support in recent years as a way to address trade imbalances with China. US senators Bill Cassidy (R-Louisiana) and Lindsey Graham (R-South Carolina) crafting legislation to set the foundation for a potential border fee. Whitehouse has also worked on legislation. The Senate Environment and Public Works Committee passed the bill in 2024, but it never came to a vote by the full chamber. Cassidy sought reelection this year but lost his party's primary in May, while Graham passed away in July. "It's certainly not impossible for others to emerge", Whitehouse said, adding President Donald Trump's favor toward using tariffs could provide an opening. Whitehouse often refers to the CBAM as the "last lifeboat" available for countries to reduce GHG emissions enough to avoid the worst consequences of climate change. "We're now at a point where if we're not putting a price on carbon pollution, it's game over", he said. Whitehouse also said he hopes that governments that have already put a CBAM in place such as the EU and UK, or are considering it, to grant a waiver to the state of California in recognition of its large economy and climate policies. "The disruptive effect within our country of the good player, California, being given this benefit would be extremely powerful in moving other states along", he said at a separate event at the Cop. By Michael Ball Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Cop: Sweden, Ivory Coast sign Article 6 agreement

13/11/26

Cop: Sweden, Ivory Coast sign Article 6 agreement

Berlin, 13 November (Argus) — Sweden and Ivory Coast signed a bilateral agreement under Article 6.2 of the Paris climate agreement on the sidelines of the UN Cop 31 climate conference in Antalya, Turkey, on Friday, enabling Sweden to finance emissions reductions in Ivory Coast and count them towards its own emissions-reduction targets. As an EU member, Sweden will not count the reductions against its nationally determined contribution (NDC) to the Paris Agreement, which comes under the EU's NDC, but to go beyond its mandatory reductions. This is the first Article 6.2 agreement for Ivory Coast. Article 6.2 provides a framework under which countries sign bilateral agreements, typically with a host country receiving finance from a developed country to carry out activities reducing greenhouse gas (GHG) emissions, in exchange for which the developed country may use the achieved emissions cuts, in the form of so-called internationally transferred mitigation outcomes (Itmos), against its NDC. Swedish Article 6 activities in Ivory Coast focus on sustainable transportation, renewable energy and green transition, and are carried by the Global Green Growth Institute (GGGI) with the support of the Sweden-financed Article 6 Climate Cooperation Facility (ACCTIF), the Swedish Energy Agency said. GGGI also supports Article 6 "readiness" in Ivory Coast. Sweden has so far signed Article 6.2 agreements with the Dominican Republic, Ghana , Kenya , Nepal, and Zambia , along with a memorandum of understanding with Rwanda. Sweden has also signed a memorandum of understanding with Switzerland allowing for the transfer of a "symbolic" amount of Itmos from captured industry emissions between the two countries. The sale from Sweden to Switzerland will be a simulated Itmo transaction, whereas the sale from Switzerland to Sweden would consist of a transfer of 2t, which the agency expects to take place in early 2027. By Chloe Jardine Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Cop: Article 6 rules 'central' to southeast Asian ETSs

13/11/26

Cop: Article 6 rules 'central' to southeast Asian ETSs

Berlin, 13 November (Argus) — Southeast Asian countries will need to incorporate rules governing carbon market mechanisms under Article 6 of the Paris climate agreement in their emissions trading systems (ETSs), as their economies will depend on external finance and crediting to decarbonise, the Global Green Growth Institute (GGGI) said in a policy paper presented at the UN Cop 31 climate conference in Antalya, Turkey, on Friday. Thailand, Indonesia, the Philippines and Vietnam, which are in various early stages of developing domestic ETSs, do not have the "luxury" enjoyed by the region's larger economies China, Japan and South Korea, whose carbon systems are backed with decarbonisation funding, GGGI said. Japan, for instance, supports its companies with transition bonds worth about ¥20 trillion ($126bn), while South Korea has introduced transition loans and facility support, GGGI said. And while Thailand or the Philippines are potential carbon credit suppliers, their companies may see the high-quality credits they need for their own compliance targets move overseas because of the higher prices paid there. South Korea expects international emissions cuts to contribute to 12.8pc of its reductions by 2030, GGGI noted. International carbon credit sales should therefore be "carefully" measured against quantified national emissions targets before being authorised by the prospective exporting country, so that they are not treated as "unrestricted" export opportunities, GGGI warned. China, Japan and South Korea were among the first ETS movers in the region, and the southeast Asian countries should learn from their experience, GGGI said, such as linking finance to emissions pathways, defining scope and sectoral coverage, and conducting simulations. Governments in southeast Asia have generally prioritised competitiveness and energy security over tighter allowance supply and stronger carbon prices, GGGI said. Free allocation, allowances linked to output or historical emissions, and access to offsets have limited costs for industry, but are also weakening incentives to decarbonise. The paper specifically recommended that Vietnam and Indonesia restore predictable allocations and tighten power sector benchmarks used to calculate free allocation levels, while the Philippines should introduce a carbon charge on large emitters to prepare for an ETS and develop its domestic monitoring, reporting and verification (MRV) industry. Thailand should align fuel taxes, carbon taxes and its ETS to streamline carbon pricing, the paper said. Priority should also be given to closing Vietnam's 2027–28 MRV gaps, GGGI said, as well as extending Indonesian reporting to its captive coal and industry, and using Thailand's 2027–28 data collection to establish verified baselines. Early co-operation between the early movers and newcomers could lead to the establishment of compatible registries and accounting formats. This would strengthen domestic compliance and voluntary markets and also support Article 6 transfers against quantified national mitigation budgets, the paper found. And sectors that are both emissions intensive and trade exposed — and therefore vulnerable to the EU's carbon border adjustment mechanism (CBAM) — should combine benchmark-based free allocation with modest auctioning to establish verified domestic carbon payments. Interoperable reporting systems should be designed that could expand to product-level carbon accounting, including EU CBAM requirements. Before binding compliance begins, the newcomers should publish multi-year sector allowance budgets aligned with their climate plans — or nationally determined contributions (NDC) — under the Paris Agreement, GGGI said. South Korea's NDC-aligned cap method could serve as a model, the paper said. The newcomers should also recycle carbon tax and auction revenues into industrial decarbonisation, grids, social protection transfers for vulnerable households and market administration, while budgeting for declining receipts as emissions fall, GGGI recommended. Southeast Asian ETSs could also draw on Japan's GX-ETS reference prices by publishing a progressively rising price corridor with defined banking limits, vintage rules and a market stability reserve, GGGI said. By Chloe Jardine Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

LNG 'dark' transits through Hormuz quicken in Nov

13/11/26

LNG 'dark' transits through Hormuz quicken in Nov

London, 13 November (Argus) — Confirmed "dark" transits of LNG carriers through the strait of Hormuz have quickened to their highest post-war rate so far this month. Argus daily tracking has recorded 17 laden carrier transits so far in November — two of which are en route to the Bab el-Mandeb strait. Six carriers were confirmed to have have transited the strait of Hormuz so far this week, all having sailed dark to outside the Gulf and possibly having taken ship-to-ship (STS) transfers. This follows six LNG carrier transits through the strait of Hormuz over two and a half days this past weekend. But additional transits may have occurred in recent days, with carriers often not turning their location broadcasts back on until they are multiple day's sailing away from Hormuz. Most vessels are heading to Asia, but two carriers appear to be heading towards Bab el-Mandeb strait for delivery west of Suez. The QatarEnergy's (QE) 210,000m³ Al Sadd is sailing laden at the entrance to Bab el-Mandeb . The vessel may have taken its cargo by STS transfer from another LNG carrier loaded at QE's 64.2mn t/yr Ras Laffan. The 266,000m³ Mekaines is also offshore Oman after going dark offshore Muscat from 4-12 November. It appears to be heading towards the Red Sea, which would make it the third LNG carrier to transit Bab el-Mandeb strait since the closure of the strait of Hormuz. This comes after QE's 216,000m³ [ Al Kharsaah transited Bab el-Mandeb on 18 October](https://direct.argusmedia.com/newsandanalysis/article/2891982). The vessel is currently offshore Germany for delivery to Poland's 6.5mn t/yr Swinoujscie terminal on 14 November. QE still holds two des contracts in Europe, with only one of two contracts with Poland's Orlen having been cancelled, as well as a further deal with Italy's Edison, which has not received a single cargo from Qatar in recent months. Transits through Bab el-Mandeb strait has high shipping risks and costs after Houthi forces took control of Yemen's Red Sea port of Mocha in September, prompting an additional war-risk premium for vessel transits through the strait. While Red Sea voyages remain rare relative to Asia-bound cargoes, the increase in apparent Suez transits suggests recent attacks on LNG vessels has had little effect on routing decisions for at least some LNG cargoes. Three carriers were seen loading at Ras Laffan on 12 November, according to satellite imagery released by the EU's Copernicus programme. Two of the three carriers were not broadcasting their locations, data from analytics platform Vortexa show. By Anna Pringle Hormuz LNG transits rise Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Cop: US Democrat to spotlight Trump energy actions

13/11/26

Cop: US Democrat to spotlight Trump energy actions

Antalya, 13 November (Argus) — The Trump administration's efforts to thwart renewable energy development could be a focus of the incoming chair of the US Senate Judiciary Committee. Senator Sheldon Whitehouse (D-Rhode Island) says he wants to use the committee's jurisdiction over the US Department of Justice and federal courts as tool for looking at how the administration has worked "against climate and against the environment", he said on Friday at the UN Cop 31 climate summit in Antalya, Turkey. In addition, the committee could use its role in approving judicial nominees, namely its ability to slow or block confirmation votes, to secure certain concessions from the administration "It gives us leverage", he said. Whitehouse currently serves as the ranking minority member on the Environment and Public Works Committee but is set to take the reins of the Judiciary Committee when Democrats take control of the Senate in January. Senator Jeff Merkley (D-Oregon) on Thursday said he wants to be chair of the environment panel. Whitehouse declined to say which actions will be the focus of the committee, but he also suggested there could be a limit to how the new Democratic majority conducts oversight of Trump and his policies in light of the recent elections . "I think part of our job in the next Congress should be to figure out where the smart places are to do investigations and not allow that to detract from the work we need to do on the cost and affordability issues that were so important", he said. "We have really got to produce in those areas." More broadly, Democrats as they take control of Congress need to tell the story of how Trump's support of oil and natural gas hurt ratepayers, citing in particular its efforts to curb both onshore and offshore wind , according to Whitehouse "One of the strongest arguments that we have is that the administration stopped clean power deliberately, knowing that it would raise electric rates" and provide more revenue to utilities "and the fossil fuel industry", he said. Democrats will also be able to use other means to affect administration actions. "Bear in mind that as we begin to be able to appropriate, we also have the ability to condition spending, so we can drive agency behavior", he said. By Michael Ball Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

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