According to the Financial Times, the US and EU are at odds over the phase out of subsidies for oil and gas development within the OECD, with disagreement primarily relating to the extent of the ban. According to the report, OECD countries held a second round of closed door talks in Paris to discuss a proposal by the UK and EU to end most export credit agency loans and guarantees for oil, gas and coal mining projects, which are the largest source of international public finance for the sector. This comes after countries agreed in 2021 to end financial support for coal fired power. Apparently, the US is still assessing the EU’s proposals and is alleged to be “dragging its feet”. It is suspected that the proposal will affect the US credit export agency, Exim, which needs to obtain funding from Congress in 2026, opening it up to scrutiny from both Republican and Democratic parties. Apparently only Congress can change Exim’s charter which prevents it from discriminating against any particular sector or industry.
