2024-08-12 14:50:02
The country is heavily dependent on oil and gas revenues to power its economy, creating concerns for companies over being associated with greenwashing. Azerbaijan President Ilham Aliyev has stated plainly that oil- and gas-producing nations like his should continue investing in the sector, clashing with last year’s COP28 outcome in which all nations called for accelerating the transition away from fossil fuels.
On top of that, Azerbaijan’s civil service is viewed as less capable than the United Arab Emirates’ government officials.
“[There is] not much hype about Azerbaijan from industry,” said one senior UK energy industry official who was granted anonymity to discuss internal plans. The official called it a “poor choice of host (again) that people feel nervous about.”
Fewer businesses from the UK will attend COP29 than last year — and those that do will send fewer people, said Beverly Cornaby, director of the UK Corporate Leaders Group, a coalition of businesses supporting emissions reductions.
Financial institutions are also foregoing COP29 travel despite the focus of the negotiations on setting a new collective goal for marshaling finance from rich nations to developing ones, said Nina Seega, director of the Centre for Sustainable Finance at the Cambridge Institute for Sustainability Leadership.
Part of the problem for U.S. companies is even getting to Baku — there are no direct flights. On some level, the decision is also entirely human: Baku is less appealing from a tourism perspective, noted several people with whom POLITICO spoke.
Logistical concerns were so prominent that they came up at a June meeting hosted by the U.S. Chamber of Commerce. Ogtay Mammadov, coordinating board member of the COP29 operating company, tried to assuage business leaders, calling the stadium housing the event “well positioned,” close to major transport hubs and only six kilometers outside the city.
It’s not convincing doubters.
“People don’t trust that it’s going to be as good,” said Frank Maisano, a partner at Bracewell’s Policy Resolution Group, which represents energy industry clients. “People were really focused on Dubai last time. I don’t think they’re as focused on Azerbaijan.”
Zack Colman and Sara Schonhardt reported from Washington, Zia Weise from Brussels and Karl Mathiesen from London. Charlie Cooper contributed to this report from London.
