Fortum: The withdrawal of the United States from the Paris Agreement on climate change is a disappointment

The announcement by US President Donald Trump of his decision to withdraw from the Paris Agreement on combating climate change is regrettable, even though, based on last week’s G7 summit, it was not surprising.

Yesterday’s decision will not doom the Paris Treaty. The decision does, however, set a bad example, and may slow down emissions reduction efforts by the United States. On the other hand, investments in renewable energy in the United States have largely been made by companies, and largely in response to political guidance at the state rather than the federal level. It appears that the individual states in the United States will continue their efforts to combat climate change.

Fortum does not consider it likely that the withdrawal of the United States from the Paris Agreement will cause a major setback to renewable energy investments, either in the US itself or globally. The costs of renewable energy, especially wind and solar power, have fallen rapidly, and in many places are already cheaper than conventional production technologies.

The decision by President Trump’s administration may cause increased uncertainty in some quarters when it comes to promoting measures to combat climate change. However, the decision may also serve to bring the rest of the international community closer together and strengthen the commitment of other countries to reducing emissions.

Fortum’s goal, in line with our vision For a Cleaner World, is to lead the transition toward a low-emission energy system and optimal use of resources. Our task is to expedite this change by reforming the energy system, improving resource efficiency, and creating and offering smart solutions. We continue to believe in this future as wholeheartedly as ever.