Countries can begin to close the production gap by aligning their energy and climate plans. Governments have a range of policy options to regulate fossil fuel supply, including limits on new exploration and extraction and removal of subsidies for production. Some countries are already demonstrating leadership: Belize, Costa Rica, Denmark, France, and New Zealand have all enacted partial or total bans on oil and gas exploration and extraction. Germany and Spain are phasing out coal extraction. Non-state actors and subnational governments can also help facilitate a transition away from fossil fuels, by mobilizing constituencies and shifting investment to lowercarbon options. Individuals and institutions have already pledged to divest over USD 11 trillion from fossil fuel holdings. Several governments are planning for a “just transition” that aims to minimize disruption for affected workers and communities.
This chapter is in The Production Gap: 2019 report. This report is the first assessment of countries' plans and outlooks for fossil fuel production, and what is needed to align this production with climate objectives. It follows in the footsteps of the United Nations Environment Programme’s (UNEP) Emissions Gap Report and other reports that review countries’ greenhouse gas emissions and compare them with the emission levels needed to meet global climate goals.