Double Standards in Climate Action Impede Energy Transformation, Sustainability

The Saudi Green Initiative is a model for the region’s approach to climate change. (Asharq Al-Awsat)
The Saudi Green Initiative is a model for the region’s approach to climate change. (Asharq Al-Awsat)
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Double Standards in Climate Action Impede Energy Transformation, Sustainability

The Saudi Green Initiative is a model for the region’s approach to climate change. (Asharq Al-Awsat)
The Saudi Green Initiative is a model for the region’s approach to climate change. (Asharq Al-Awsat)

Saudi Energy Minister Prince Abdulaziz bin Salman recently announced an investment of around one trillion riyals ($266.40 billion) in clean energy generation.

In late 2022, the UAE announced an investment of $100 billion, in partnership with the United State, to implement clean energy projects in the two countries and around the world.

The moves reflect the determination of these oil-producing countries to diversify their economies and energy sources, and to play their role and duty in facing the repercussions of climate change.

As the region prepares to host the Conference of the Parties to the United Nations Framework Convention on Climate Change, known as COP 28, in the UAE in November, voices were raised, accusing the oil and gas sector of causing climate change problems and calling to stop production and use of those resources.

Ignoring responsibility

Climate change activists convey a range of contradictions and misinformation, as their countries have been burning coal for centuries, which is the most carbon-emitting fuel.

These countries have already completed the construction of their basic infrastructure and the development of their economies, while some environmental activists are calling for stopping oil and gas production in developing countries, which are still working on establishing their infrastructure and building their economies.

They are ignoring the world’s inability to stop oil and gas production immediately or quickly without leading to a global meltdown.

In remarks to Asharq Al-Awsat, Dr. Khaled Batarfi, a professor at AlFaisal University in Saudi Arabia, said: “Some are working to politicize the issue and profit from it. Each party blames the others, as the West did by holding oil-producing countries responsible for polluting the universe, and thus demanding compensation for those affected.”

“Politicians also used slogans to win votes, and failed to meet most of their promises, especially when they clashed with interests,” he remarked.

He continued: “Although we have not yet been affected by global warming, as have the countries of the northern hemisphere… we are part of this world, and whatever befalls it affects us.”

Batarfi stressed that oil producing countries were accused, “unjustly and arbitrarily, just because we produce oil, and they forget that they consume the most of it, and cause carbon emissions.”

“Our countries are ahead in discovering solutions and implementing them on the ground,” he noted.

He pointed in this context to the Kingdom’s Green Middle East and Green Saudi Arabia initiatives, solar and wind energy projects, green hydrogen, and blue ammonia. He also emphasized the adoption of renewable energy in Saudi Arabia’s new cities, such as NEOM.

“The West is lecturing, while Saudi Arabia is working and achieving. There is a big difference between those who achieve and those who raise slogans,” he remarked.

Life products

Oil is not only a source of energy. The use of petrochemical products, including the uses of plastic in medical tools and equipment, has brought about major transformations in the medical sector.

For example, old medical syringes were made of glass, and their use required boiling them for ten minutes to sterilize them. Today, pre-sterilized plastic syringes are used for one time, and they contributed to the speedy delivery of treatment.

Preserving the environment in this aspect has been addressed through recycling, and not throwing plastic waste into landfills or seas.

Eng. Othman Al-Khowaiter, an expert in the future of energy sources, told Asharq Al-Awsat that some were trying to downplay the importance of oil, and predict that it will soon be dispensed with.

He added that they praise the emergence of electric vehicles, while ignoring the great importance of hydrocarbons for the petrochemical industries that supply the world with countless types of industrial and consumer products.

Where is the solution?

Reaching effective solutions requires a realistic scientific diagnosis of the problem. In fact, greenhouse gases that cause global warming include: methane, carbon dioxide, nitrous oxide, hydrochloric acid, fluorocarbons, and others.

These gases have many sources, including agricultural and livestock activities (methane), industrial and domestic activities (carbon)... and others. But when some activists focus on one type of gas, such as carbon, and on one sector, such as oil and gas, this raises questions about their real intentions.

Moreover, electric cars need rechargeable batteries, the production of which requires minerals such as lithium. Mining these minerals causes a lot of emissions.

Here, it is necessary to take into account the source of electricity these cars will need, which raises questions about the industrial and economic cycle that will arise and the extent to which it causes emissions, and who will be the real economic beneficiary.

Conferences of the Parties

With all these challenges and proposals, all eyes turn to the next Conference of the Parties, which the UAE will host at the end of the year, with Dr. Sultan Al-Jaber, Minister of Industry and Advanced Technology, being selected to head the session.

Al-Jaber had confirmed on several occasions that the vision of his country’s leadership was to invest in depleted resources, such as oil and gas, with the aim of building sustainable resources for renewable and clean energy.



Iraq Oil Output Exceeds 5 million bpd

Majnoon oil field near the Iraqi city of Basra (Reuters)
Majnoon oil field near the Iraqi city of Basra (Reuters)
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Iraq Oil Output Exceeds 5 million bpd

Majnoon oil field near the Iraqi city of Basra (Reuters)
Majnoon oil field near the Iraqi city of Basra (Reuters)

Iraq produces more than 5 million barrels of oil per day (bpd), Oil Minister Basim Mohammed told state news agency INA on Saturday.

According to Reuters, Iraq is pushing for a higher OPEC production quota as the economic fallout from the Iran war and new investment by oil majors increase pressure on Baghdad to boost output, potentially putting it at odds with the producer group.

The conflict has hit Iraq particularly hard, forcing major export cuts and depriving the state of oil revenue, which accounted for 88% of government income last year.


IMF: Any Slowdown in AI-driven Growth Would be Factor for Central Banks

IMF Managing Director Kristalina Georgieva speaks during the Annual Meetings Plenary at the Annual Meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) at the Queen Sirikit National Convention Center (QSNCC) in Bangkok on October 16, 2026. (Photo by Lillian SUWANRUMPHA / AFP)
IMF Managing Director Kristalina Georgieva speaks during the Annual Meetings Plenary at the Annual Meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) at the Queen Sirikit National Convention Center (QSNCC) in Bangkok on October 16, 2026. (Photo by Lillian SUWANRUMPHA / AFP)
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IMF: Any Slowdown in AI-driven Growth Would be Factor for Central Banks

IMF Managing Director Kristalina Georgieva speaks during the Annual Meetings Plenary at the Annual Meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) at the Queen Sirikit National Convention Center (QSNCC) in Bangkok on October 16, 2026. (Photo by Lillian SUWANRUMPHA / AFP)
IMF Managing Director Kristalina Georgieva speaks during the Annual Meetings Plenary at the Annual Meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) at the Queen Sirikit National Convention Center (QSNCC) in Bangkok on October 16, 2026. (Photo by Lillian SUWANRUMPHA / AFP)

Central bankers around the world would need to consider any slowdown in AI-driven growth as they assess steps in their fight against inflation, International Monetary Fund Managing Director Kristalina Georgieva said on Friday.

Georgieva said concerns about dependence on the AI investment boom and high valuations were impacting markets around the world.

"Things are going up and down, and this is likely to continue," she told an audience at IMF headquarters in Washington, adding that the volatility would complicate the job of central banks at a time when risks to price stability had been growing.

A steep rout in technology stocks on Thursday rippled through markets on fears that ⁠the Democrats' victory ⁠in the US midterm elections would increase regulatory scrutiny of AI and slow the data center build-out, sending investors to the safety of bonds.

The political jitters are hitting an AI trade already on shaky footing due to worry about return on massive spending on AI-related infrastructure, with the meltdown spurring margin calls and spooking retail investors and hedge ⁠funds alike.

Georgieva said the AI investment boom was lifting growth in some countries, helping to offset a negative oil-supply shock triggered by the war in the Middle East, but it was also adding to inflationary pressures and financial stability concerns.

The IMF last month flagged significant growth and financial stability risks from a potential ending of the AI investment boom, among other factors, including a prolonged Middle East war. At the time, it warned that a steep drop in AI investment could lead to a sharp fall in asset prices, ultimately cutting global GDP ⁠by 1.1% ⁠by 2028, including a 1.8% drop in US output.

Georgieva did not repeat the downside forecast on Friday, but acknowledged the recent market volatility.

"Should there be a slowdown in the AI-driven growth impulse, it would need to be factored in as central banks assess the necessary steps in the fight against stubborn inflation," she said.

Democrats are planning to unleash a flood of new legislation targeting artificial intelligence systems and data-center development when they take control of the US Congress in January, Reuters reported on Friday, citing congressional aides and advocates.

That would mark a sharp shift from the Republican-led Congress, where lawmakers largely focused on promoting AI development and declined to pass legislation restricting the technology.


World Food Prices Dip in October, but Remain Higher Than a Year Ago

A worker carries loaves of bread for sale at a bakery in the capital city of Cairo, Egypt November 4, 2026. (Reuters)
A worker carries loaves of bread for sale at a bakery in the capital city of Cairo, Egypt November 4, 2026. (Reuters)
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World Food Prices Dip in October, but Remain Higher Than a Year Ago

A worker carries loaves of bread for sale at a bakery in the capital city of Cairo, Egypt November 4, 2026. (Reuters)
A worker carries loaves of bread for sale at a bakery in the capital city of Cairo, Egypt November 4, 2026. (Reuters)

World food prices edged lower in October as weaker import demand contributed to monthly declines in cereal, dairy and meat prices, but were still nearly 6% higher than a year earlier, the United Nations' Food and Agriculture Organization said on Friday.

The FAO Food Price Index, which tracks monthly changes in international prices for a basket of food commodities, ‌averaged 133.9 points ‌in October, down from a revised ‌135.6 ⁠in September.

The index ⁠was 5.9% higher than a year earlier, but remained 16.4% below its March 2022 peak.

FAO's cereal price index fell 4.5% from September and was 12.6% lower than a year ago, as wheat and maize quotations declined. Wheat prices eased on weak import demand ⁠and improved production prospects, especially in Argentina.

"Expectations of ‌easing constraints on Black ‌Sea export flows added to the downward pressure on prices, ‌although continued disruptions to Black Sea logistics limited the decline," ‌FAO said in a statement.

Maize prices also eased after reaching a three-year high in September, pressured by the US harvest, expectations of ample supplies in South America and renewed ‌prospects of easing tensions in the Black Sea region.

Vegetable oil prices edged up 0.3%, ⁠as ⁠higher soybean and sunflower oil prices more than offset a fall in rapeseed oil prices.

Sugar prices rose 6.6%, their fourth straight monthly increase, to the highest level since December 2024, after rainfall disrupted harvesting in Brazil. They were now 28.8% above a year ago.

The dairy index fell 1.1%, as lower butter and cheese prices linked to ample supplies and subdued demand outweighed gains in milk powder.

The meat index declined 1.2%, while still slightly above its year-earlier level, as ovine and bovine meat prices fell.