Table 1

Cost of Compensation for Unburnable Fuels

BurnableUnburnableCompensation cost (billion US$) VolumePercentageGBOEVolumePercentageGBOE Reserves Oil (Gbl) 539 42 539 744 58 744 3,125 Gas (Tm364 41 376 92 59 541 2,274 Total 915 1,285 5,399 Resources Oil (Gbl) 783 19 783 3,336 81 3,336 14,011 Gas (Tm3102 14 599 625 86 3,679 15,450 Total 1,381 7,015 29,462 BurnableUnburnableCompensation cost (billion US$)
VolumePercentageGBOEVolumePercentageGBOE
Reserves
Oil (Gbl) 539 42 539 744 58 744 3,125
Gas (Tm364 41 376 92 59 541 2,274
Total     915     1,285 5,399
Resources
Oil (Gbl) 783 19 783 3,336 81 3,336 14,011
Gas (Tm3102 14 599 625 86 3,679 15,450
Total     1,381     7,015 29,462

Authors’ elaboration based on Welsby et al. (2021; cf. Laherrère et al. 2022). To estimate the compensation cost, we multiply the compensation value (i.e., US\$ 4.20/barrel) for the global oil and gas reserves (as defined by Welsby et al. 2021) in BOE. Conversion factors used from the US Geological Survey: 6,000 cubic feet of gas equals 1 BOE. Coal has been excluded from the calculations because the attempts to phase out coal consumption have so far followed a different (and arguably more effective) path than they have for oil and gas.

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