Caspian Energy (EU):  Mr. Eriksen, what hopes do you rest on the UN Climate Change Conference (COP29) and what role do you assign to the oil-producing countries in the upcoming event? 

Andreas Bjelland Eriksen, Minister of Climate and Environment of Norway:  I hope for an ambitious outcome that will take us a step closer to achieving the 1.5. degree target. Specifically, we need an outcome that ramps up international financing for the energy transition. We also need to strengthen mitigation ambition and implementation at all levels, and in all processes. This includes, but is not limited to, the mitigation ambition and implementation work programme. I expect all parties to work constructively towards the 1.5 target.

CE: Should the hydrocarbon production in the North Sea be halted, as decided by the Norwegian court?

Andreas Bjelland Eriksen:  The Government’s view is that the process with licensing and approval of development and operation on the three new oil and gas fields in the North Sea meets all applicable criteria and was carried out correctly. The decision from Oslo District Court, including the injunction requiring a halt to all development and production on these three fields until the case is settled, has been appealed by the Government and is not a legally binding judgment. Pending a final decision in the case, the Court of Appeal set aside the enforceability of the injunction. Therefore, it does not have any immediate impact on ongoing activity carried out on the Norwegian continental shelf. It is too early to say anything about what consequences the outcome of a legally binding judgment will have.

CE: Today, Azerbaijan is calling on COP29 states to address the financing of the trillion-dollar climate agenda. What solution do you suggest to this matter? 

Andreas Bjelland Eriksen:  A large part of the necessary investments are profitable in the long term and in the right conditions. However, partly due to real and perceived risks, the cost of capital is still a barrier for necessary investments for most developing countries. Therefore, we must ramp up international financing for the transition. What is needed is capital, investments, but also a stable regulatory framework that incentivizes the transition.

CE: The global temperatures averaged 1.6 degrees Celsius above pre-industrial levels. Did it cause challenges for the economy of Norway?

Andreas Bjelland Eriksen: Climate change affects all areas of society and entails considerable costs for society. The Climate Risk Commission, which assessed climate-related risk factors and their significance for the Norwegian economy in 2018, pointed out that that the Norwegian economy appears to be relatively robust. However, both the changes that affect Norway and the spillover effects of climate change in other countries have economic consequences, as Norway is a small, open economy. The consequences of climate change are not quantified to any great extent, and it is difficult to estimate exact costs. The Government has therefore appointed an expert committee to obtain more knowledge about the socio-economic consequences of climate change for vulnerable sectors and regions. The expert group will submit its report by July 2026.

Thank you for the interview.