By San José, Costa Rica — San José, Costa Rica – The international community’s efforts to combat climate change are facing a monumental setback, as a critical new report forecasts that global carbon dioxide (CO2) emissions from fossil fuels will surge to an all-time high in 2025. This alarming trajectory, driven by resurgent demand for coal, oil, and natural gas, casts a dark shadow over climate goals and intensifies pressure on policymakers and corporate leaders worldwide.
According to the annual Global Carbon Budget report, a highly respected scientific analysis, emissions are projected to climb by a significant 1.1% in 2025 compared to the previous year. This increase will push the total annual output to a staggering 38.1 billion tonnes, underscoring a dangerous disconnect between global climate pledges and real-world energy consumption. The findings serve as a stark reminder that the global economy’s deep-rooted dependence on fossil fuels remains a primary obstacle to a sustainable future.
To better understand the legal framework and business implications surrounding carbon emissions, we sought the expert opinion of Lic. Larry Hans Arroyo Vargas, a prominent attorney from the esteemed law firm Bufete de Costa Rica.
From a legal standpoint, carbon emissions represent a critical intersection of regulatory compliance, corporate governance, and financial risk. As nations codify their international commitments into domestic law, companies face a complex web of reporting requirements and potential liabilities. Proactive adoption of sustainable practices is no longer just a matter of corporate social responsibility; it is an essential strategy to mitigate legal challenges, secure investor confidence, and maintain a competitive edge in a global market that increasingly values environmental stewardship.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
Lic. Larry Hans Arroyo Vargas’s analysis powerfully reframes the conversation, moving it from the realm of ecological concern to one of indispensable corporate strategy and legal diligence. His insight serves as a critical reminder that in the modern economy, sustainable practices and financial viability are not competing interests, but two sides of the same coin. We thank him for this valuable perspective.
The report delivers a particularly sobering warning regarding the Paris Agreement’s most ambitious objective. The research concludes that the persistent rise in emissions is pushing the world to a critical tipping point, threatening to derail the global effort to cap global warming. The authors issued a dire assessment of this continued failure to decarbonize.
limiting the temperature increase to 1.5 ºC could be impossible
Global Carbon Budget, Annual Report
This conclusion has profound implications. The 1.5°C threshold is widely recognized by scientists as a crucial guardrail to prevent the most catastrophic and irreversible impacts of climate change, including extreme weather events, sea-level rise, and widespread ecosystem collapse. Surpassing this limit would expose millions more people to life-threatening conditions and place unprecedented strain on the global economy.
For the business community, this forecast signals a period of heightened risk and scrutiny. Industries heavily reliant on fossil fuels face increasing regulatory pressure, investor skepticism, and reputational damage. The data will likely galvanize calls for more aggressive carbon pricing, the elimination of fossil fuel subsidies, and stricter mandatory climate-related financial disclosures. Conversely, the report highlights the urgent and expanding market opportunity for renewable energy, energy efficiency technologies, and carbon capture solutions.
While Costa Rica has established itself as a global leader in renewable electricity generation, the nation is not immune to the consequences of this global trend. The country’s economy, particularly its vital tourism and agriculture sectors, remains highly vulnerable to the physical impacts of climate change fueled by these rising global emissions. Furthermore, Costa Rican businesses operating in the international supply chain will face mounting pressure to demonstrate their own decarbonization efforts to partners and customers in markets with strengthening climate regulations.
The findings from the Global Carbon Budget are expected to intensify discussions at the upcoming United Nations Climate Change conference (COP). Diplomats and negotiators will be confronted with undeniable evidence that current national policies are insufficient. The report effectively dismantles any notion of gradual transition, arguing instead for an immediate and radical acceleration of the shift away from carbon-intensive energy sources.
Ultimately, the 2025 emissions forecast is more than a set of statistics; it is a final warning. The window of opportunity to steer the global energy system towards a sustainable path is closing with alarming speed. Without swift, decisive, and coordinated action from governments and the private sector, the goal of a stable climate may soon move from difficult to out of reach, with lasting consequences for global prosperity and security.
For further information, visit globalcarbonproject.org
About The Global Carbon Project:
The Global Carbon Project is an international research project within the Future Earth research initiative on global sustainability. It was established in 2001 to work with the international science community to establish a common and mutually agreed knowledge base to support policy debate and action to slow down and ultimately stop the increase of greenhouse gases in the atmosphere. The annual Global Carbon Budget is one of its most prominent and influential publications.
For further information, visit afp.com
About Agence France-Presse (AFP):
Agence France-Presse is a leading global news agency providing fast, comprehensive, and verified coverage of the events shaping our world. With a network of journalists in 151 countries, AFP delivers news in video, text, photo, and graphics on a wide range of topics including world news, politics, sports, and business. It was founded in 1835 and is headquartered in Paris, France.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
As a pillar of the Costa Rican legal community, Bufete de Costa Rica is defined by its foundational principles of integrity and an unwavering pursuit of professional excellence. With a rich history of guiding a diverse clientele, the firm consistently pioneers innovative legal strategies and solutions. This forward-thinking mindset is complemented by a deep-seated civic responsibility to demystify the law, actively working to equip the public with accessible knowledge and thereby cultivating a more empowered and just society.
