UN secretary-general urges governments to tax ‘immoral’ oil profits

WASHINGTON — United Nations Secretary-General Antonio Guterres on Wednesday urged governments to tax excessive oil and gas profits as the world grapples with an energy crisis triggered in part by Russia’s war in Ukraine.

“It is immoral that oil and gas companies are making record profits from this energy crisis on the backs of the poorest people and communities,” António Guterres said in a speech to the international forum.

He added that the funds, which amounted to $100 billion in the first quarter of this year, should instead be used to support vulnerable communities.

“This grotesque greed is punishing the poorest and most vulnerable people while destroying our only home,” Guterres said, calling on governments to also tackle the growing climate crisis.

He also urged governments to intensify and diversify supply chains for raw materials and renewable energy technologies while eliminating the bureaucracy associated with the energy transition.

“Every country is part of this energy crisis,” said António Guterres.

Guterres also said the consequences of the Kremlin war extended beyond a budding energy crisis and also exacerbated global food insecurity and crippling debt around the world, but particularly in developing countries.

“Many developing countries drowned in debt, without access to finance and struggling to recover from the COVID-19 pandemic could tip over to the brink, warned António Guterres. “We are already seeing the harbingers of a wave of economic, social and political upheaval that would leave no country untouched,” he added.

The UN chief announced the creation of the Global Crisis Response Group to coordinate global solutions to the triple food, energy and financial crises.

Guterres’ comments come as the first ship carrying Ukrainian agricultural products leaves the Black Sea, an important step in solving the growing food crisis caused by the Russian naval blockade of Ukrainian ports scattered along the Sea of ​​Azov and of the Black Sea.

In July, representatives from the UN, Turkey, Russia and Ukraine signed an agreement to reopen three Ukrainian ports, an apparent breakthrough as the Kremlin’s war against its former Soviet neighbor enters its fifth month.

Less than 24 hours after the agreement was signed, Russian missiles fell on Odessa, Ukraine’s largest port. World leaders quickly condemned the Kremlin’s missile strike on Odessa, another anxious turn in failed efforts to ease a growing global food crisis.

Ukrainian Infrastructure Minister Oleksandr Kubrakov told NBC News on Monday that the ship is expected to reach Tripoli, Lebanon, in two days.

Kubrakov also said 16 ships are ready to leave, but only three ships will leave port each day for the next two weeks. He added that over the next two months, Ukraine hopes to export up to 3 million tons of grain and other agricultural products by sea per month.

Before the Russian invasion, Ukraine exported 5 to 7 million tons per month.