This year, especially over the next few weeks, is shaping up to be a significant one for energy and climate issues.

As world leaders prepare to gather in Glasgow for the COP26 conference to discuss solutions to address climate change and increase global energy access, it is against a backdrop of a global energy crisis that is impacting supply chains across the world and has sent natural gas and gasoline prices skyrocketing.

Many of the innovative ideas and technologies that are on the agenda are being developed by the world’s leading oil and natural gas companies.

Meanwhile in the United States, the CEOs of those companies will be going before the House Oversight Committee for a hearing, not to discuss solutions for the present or future energy mix, but instead for members of Congress to criticize and cast blame.

At the same time a pending reconciliation bill in Congress includes “numerous items that will decimate American oil and natural gas producers,” according to the Independent Petroleum Association of America and others. One measure is a tax on natural gas that would raise American energy bills 12 percent per family annually – a move that the American Gas Association’s Kristen Granier recently explained could be “the difference between buying groceries and paying to heat your home this winter.”

These issues and events will bring together government leaders both in the United States and around the world who must provide practical, sensible solutions to these challenges.

Here are four key questions for the days and weeks ahead:

Will government leaders address rising energy prices?

Consumers are expected to pay substantially more for natural gas for home heating this winter compared to last year. The Energy Information Administration reports:

“We expect that the nearly half of U.S. households that heat primarily with natural gas will spend 30 percent more than they spent last winter on average.”

This led CNN to report:

“For many struggling families, higher prices can mean being forced to choose between heat, food or medication. About 29 percent of Americans who were surveyed had to reduce or forego expenses for basic household necessities to pay an energy bill in the last year, according to the US Census Bureau. And that was before natural gas prices started to rise.”

Likewise, gasoline prices are now at a 7-year high and the price per gallon is $1.17 higher than at this point last year – a 52 percent increase, which led USA Today to report:

“At a moment when gasoline prices are usually heading down, the reverse is happening. Prices are soaring amid a spike in the price of oil, which is refined into gas for cars.”

These price spikes are having a major impact on consumers lives – in every aspect. So, will government leaders address these skyrocketing energy prices?

Will government leaders incentivize innovation?

The COP26 conference in Glasgow, Scotland kicks off next week in what should be a solutions-oriented gathering.

The oil and natural gas industry is making huge strides in reducing its emissions. In fact, thanks to natural gas, the United States leads the world in reducing carbon emissions:

But that’s not at all. From using technology to reduce methane leaks and flaring to generating electricity cleaner, to pioneering carbon capture and storage technology to investing billions of dollars in research & development, the industry is helping to develop the solutions to address climate change.

Will government leaders embrace these technological developments and incentivize innovation at COP26?

Will government leaders prioritize reliability?

The efforts in Congress and at COP26 can’t only focus on reducing emissions, but also must address the reliability of energy for consumers and businesses.

As we’re seeing right now, a lack of supply of cleaner-burning natural gas in Europe and Asia, specifically, has meant a ramp up in the use of dirtier fuels to meet demand. The lack of supply has even led to U.K. steelmakers suspending production.

And as the New York Times explains, this lack of reliable, affordable energy has ripple effects throughout the economy:

“Canned cranberry sauce will cost more because domestic steel plants have yet to catch up after pandemic shutdowns, and China is limiting steel production to reduce carbon emissions. As a result, steel prices have remained more than 200 percent higher than they were before the pandemic. The heftier price tag on that turkey-friendly California pinot noir reflects a 25 percent surge in energy costsexpensive delays related to labor shortages and the cost of glass bottles stuck on cargo ships coming from China. The average end-to-end shipping time from China to the United States was 73 days in September, up from 40 days two years earlier, said Katheryn Russ, a professor of economics at the University of California at Davis. And shipping expenses, she said, have tripled.” (emphasis added)

As government leaders work to address climate change, will they also prioritize energy reliability to keep the economy strong?

Will government leaders embrace LNG?

Liquefied natural gas has proven to be one of the best tools for lowering emissions worldwide, while also meeting growing demand.

Natural gas is supporting Europe’s energy transition and today, natural gas supplies over 20 percent of the continent’s energy mix. In fact, U.S. LNG exports to Europe will continue to grow and support the continent’s carbon emissions reductions, displacing more carbon intensive gas from Russia. U.S. LNG represents the lowest cost and carbon intensive option and builds on the longstanding ties between transatlantic allies.

In China and India, which have the highest emissions levels in the world and critical air pollution issues, both countries are driving LNG growth to address these challenges. The International Energy Agency forecasts that China will account for 22 percent of the total LNG demand by 2025, while India would represent 20 percent of global LNG trade by the same year.

To meet emissions goals, will government leaders embrace LNG exports for providing cleaner power in Europe and Asia?

Conclusion

What happens over the next few weeks could have lasting impacts – both in the near-term and long-term – and the entire world will be watching to see what solutions and goals world leaders set to address these complex challenges.