Prospects for the ⇜green economy⇝ and the oil sector in the Arabian Monarchies and Russia

The purpose of the article is to analyze the prospects of “Green Growth” in cooperation with the oil sector of the economy of the countries, stated above. The creation of mechanisms for meeting the challenges of structural adjustment of the industrial economy under environmental threats of a planetary and regional nature could not but affect the countries - the largest producers and exporters of oil, such as key participants in the world oil market, Saudi Arabia (together with other Arabian monarchies - members of The Cooperation Council for the Arab States of the Gulf) and Russian Federation. Meanwhile, the “Green Growth” (environmentally friendly economic growth) strategy is one of the areas of transformation of the production and economic system that is widely developing in the framework of the concept and the global agenda for sustainable development in order to reduce the burden on the environment. This strategy directly affects the energy sector and the interests of countries that are net oil exporters, as it involves a radical revision of the energy base of the global economy with a decrease in hydrocarbon consumption due to energy-saving and environmentally friendly energy technologies. In this regard, the relevant question is: are there real benefits in the development of the “Green Economy” mechanisms for oil exporting countries? In our opinion, the answer to this question is certainly positive, despite the significant role of the oil sector in the economies of the countries in question. The most vivid interest in the development of “Green Growth” mechanisms was manifested in oil exporting countries with a narrow natural resource base and a difficult climate, an example of which are the Arabian monarchies. Here, the urgent need for the speedy implementation and development of alternative and clean energy technologies is recognized, which is associated both with the environmental situation and the constant increase in energy consumption. So, back in 2010, the head of Saudi ARAMCO Khalid al-Falih warned that, despite the increase in oil production, Saudi Arabia's export potential could decrease by 3m barrels a day by 2028, if the rapidly growing domestic demand for energy resources will not be reduced by improving energy efficiency. In countries such as Russia, the problem of introducing “Green Growth” mechanisms has not yet become paramount due to much more favorable climatic conditions and a diversified energy base (gas, hydropower, nuclear power plants). But Russia does not stand aside from green growth strategies. In the research the methods of macro and microeconomic analysis, structural analysis, statistical analysis and political analysis are used. The results of this research can be used in further researches of Russia and other oil-exporting countries policy in the sphere of the Green Economy development and its influence on the oil-sector transformation. © 2020 International Multidisciplinary Scientific Geoconference. All rights reserved