How Populism Undermines Net Zero Goals: Understanding the Impact on the Climate Crisis | Policy Circle

The summer of 2025 was supposed to be a celebration of climate progress, with record-low solar prices and clean energy investments surpassing $2 trillion. Instead, it feels like a lost opportunity. Leaders from the U.S., U.K., Canada, and Australia are shifting their focus away from important climate goals to deal with immediate issues like rising costs. The real tragedy isn’t a lack of technology or scientific evidence; it’s a lack of political will.

In the U.S., the return of President Trump has shifted the country’s stance on climate. According to experts, his administration’s reversal of green policies could release four billion more tons of carbon dioxide by 2030. Instead of making progress, it feels like we’re heading backward.

Over in Europe, the fallout from Russia’s invasion of Ukraine has pushed some countries back toward coal and gas. Once a leader in climate legislation, the U.K. is now reconsidering its legally binding targets, citing rising utility bills as a reason. Meanwhile, the E.U. has started to water down its ambitious Green Deal to protect industries and households.

Statistics paint a grim picture. Between 2019 and 2021, countries were adopting more than 300 climate policies a year, but that number fell to below 50 last year. This decline has consequences for investments; the S&P Global Clean Energy Transition Index has lost over half its value since 2021. Investors are wary when policies are inconsistent.

Canada’s new prime minister, Mark Carney, made headlines by scrapping a federal carbon tax to ease financial pressure on families. While this may seem beneficial in the short term, many experts warn that it lacks a sustainable alternative for pollution pricing, which is vital for long-term climate health. Australia, facing its own political challenges, is making promises that experts doubt it can deliver, like building nuclear plants that are unlikely to materialize.

Despite political setbacks, public support for stricter climate action remains strong. A recent survey showed that 89% of people in 125 countries want more proactive measures to tackle climate change. It’s clear that everyday citizens understand the gravity of the situation, while some political leaders seem disconnected from this urgency.

So why are leaders backtracking? Rising inflation and interest rates have made energy prices a hot-button issue. Populists are framing climate policies as elitist and harmful to workers, ignoring the fact that extreme weather often impacts the vulnerable the most. The fossil fuel industry is also spending generously to slow down transitions, benefitting from the current geopolitical landscape.

However, shifting away from renewable investments won’t lower household bills in the long run. Last year, renewables accounted for 92.5% of added global power capacity, proving they are often cheaper than fossil fuels. Cutting subsidies won’t help ease financial burdens; it will only create more uncertainty and reliance on unstable gas markets.

A effective climate strategy needs honesty. Current projections indicate a rise of 2.5 to 3 °C in global temperatures. Leaders cannot ignore this reality. They need to clarify tough choices: instead of blanket subsidies for fuel, invest in public transit and renewable technologies. A consistent carbon pricing plan could also give businesses the stability they need to invest.

To gain public trust, leaders should fulfill past pledges, like the promise of $100 billion in annual climate finance from rich nations, which they are still failing to deliver. Meeting this commitment would help counter movements that dismiss climate action as unfair.

In 1940, Winston Churchill emphasized the need for courage in difficult times. Today’s climate crisis requires a similar resolve. The technology is available, and public support exists, but political courage is lacking. It’s time for leaders to make difficult decisions, divert funds from fossil fuels, and acknowledge that a sustainable future is worth the investment.

If leaders continue to hesitate, future generations will not forgive them for inaction while the planet suffers. Picking up the baton now means confronting failures, recommitting to scientific guidance, and being honest with the public. The alternative is a world that becomes increasingly chaotic before it becomes unlivable.

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