Achieving this transition will require collaboration between governments, employers, businesses, unions, communities, civil society, UN agencies and other international organizations.
As the incumbent energy sector in many places, the oil and gas industry is uniquely positioned and has valuable insight when it comes to how to support the transition, where investment is needed and what the economic, people and nature impacts might be of transitioning the energy system. The industry has the technical and commercial know-how to work with governments to turn their climate ambitions into on-the-ground strategies to develop low-carbon businesses and supply chains that care for people and nature.
What is Ipieca’s role?
Ipieca supports the oil and gas industry’s participation in international collaboration to transition to a low-carbon world in a way that is just and fair for workforces, communities and consumers. [Read the Ipieca statement on just transition.]
Ipieca’s broad scope allows it to address the cross-cutting aspects of the just transition. In 2021 Ipieca established a Just Transition Task Force to work closely with other Ipieca workstreams, from climate change, alternative energy and environment, to worker welfare, community engagement, reporting and health. For instance, in collaboration with the Reporting Working Group, the Task Force is mapping just transition frameworks and indicators.
In July 2022, Ipieca published a Just transition literature review, providing insights into the just transition concepts, definitions and priorities from a range of organizations relevant to the sector to raise awareness and understanding of the just transition. Following this, Ipieca developed a statement on just transition, aligning the industry around a shared understanding of the concept.
In November 2022, Ipieca became an ally of the Council for Inclusive Capitalism, a global non-profit organization that joins moral and market imperatives to build a more inclusive, sustainable, and trusted economic system that addresses the needs of people and the planet.
At COP27, Ipieca co-hosted an official side event on Adaptation, resilience and just transition: business engagement to deliver the Paris Agreement. Ipieca also participated as a panellist in a workshop on Unlocking policy solutions for the just transition.
Ipieca is engaging with key stakeholders and industry organizations to monitor global perspectives on just transition, including:
- Institute for Human Rights and Business
- World Benchmarking Alliance
- Business for Social Responsibility
- World Business Council for Sustainable Development
- International Council on Mining and Metals
- Organisation for Economic Co-operation and Development
- International Labour Organization
- The B-Team
- International Trade Union Confederation
Ipieca remains the industry’s principal channel of engagement with the UN. Given its relationship with the UN Working Group on Business and Human Rights, Ipieca took part in a consultation for a report on ‘Extractive Sector, Just Transition and Human Rights’.
