Greenpeace has released a new report exposing how European investments, supposedly aimed at supporting the transition to a green economy, are instead deepening inequality and replicating the injustices of the fossil-fuel era in north Africa.
The report zeroes in on Egypt and Morocco — two north African nations that remain net importers of fossil fuels, yet export cleaner energy to Europe.
This dynamic, the report argues, reveals how European companies, governments, and financial institutions perpetuate unfair relations by prioritising projects designed to extract and export resources.
“The Global North is still financing the climate crisis through extractivist investments such as fossil fuels,” said Shereen Talaat, director of MENAFem, a movement of local and regional organisations advocating for equitable development.
North Africa, courted by multiple global players, is increasingly leveraging its negotiating power since the energy crisis of 2022. This shift is largely driven by the region's energy exports and strategic location.
But Greenpeace argues that oil and gas projects are degrading ecosystems and depleting vital resources like water and arable land across north Africa, threatening biodiversity and long-term sustainability.
Even Europe’s push for supposedly 'green' energy projects in the region appears more focused on securing its own energy needs than fostering genuine sustainable development in the Global South.
Last year, Egyptian and European companies signed a $40bn [€38bn] investment deal for renewable energy and green hydrogen for export. Meanwhile, energy companies poured billions into Egypt to tap its gas reserves as a replacement for Russian gas.
Yet, Egypt itself still relies on fossil fuels and frequently suffers blackouts due to supply shortages.
Greenpeace also claims that intensive drilling has led to soil erosion and water contamination while offering little benefit to Egyptians.
“The transition to a green economy cannot replicate the injustices of the fossil-fuel era,” said Hanen Keskes, campaign lead at Greenpeace in north Africa and the Middle East. “It must be transformative, inclusive, and centred on the needs of those most affected.”
According to the report, achieving a just transition will require overhauling global financial structures — cancelling unfair debt and surcharges on IMF loans, implementing progressive taxation, and ending fossil fuel funding under EU programmes.
“Governments must put wellbeing at the top of the agenda,” Keskes concluded.
Wester is a journalist from the Netherlands with a focus on the green economy. He joined EUobserver in September 2021. Previously he was editor-in-chief of Vice, Motherboard, a science-based website, and climate economy journalist for The Correspondent.
Wester is a journalist from the Netherlands with a focus on the green economy. He joined EUobserver in September 2021. Previously he was editor-in-chief of Vice, Motherboard, a science-based website, and climate economy journalist for The Correspondent.