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US rescinds UN climate fund pledges

  • Market: Emissions
  • 10/02/25

The US has canceled about $4bn in pledged money to the UN's Green Climate Fund, the latest sign a sharp policy shift under President Donald Trump.

The State Department late last week said the US "has rescinded outstanding pledges to the Green Climate Fund," but did not provide any further details.

The US under former presidents Joe Biden and Barack Obama had pledged about $6bn combined to the GCF, with the most recent commitment announced at the Cop 28 climate talks in Dubai. But the two administrations were able to deliver only $2bn of the funding.

The cancellation of the GCF pledges is just the latest step by Trump to quickly reverse course for US climate and clean energy policies. Among his first acts after taking office last month Trump ordered the US to exit the Paris climate agreement and to pause spending on renewable energy projects. In addition, secretary of state Marco Rubio said the US would stop engaging in climate diplomacy.

The GCF finances projects in developing and emerging countries with a focus on mitigation, adaptation and resilience efforts, such as climate-friendly agricultural methods, reforestation or coastal protection. It operates under the UN Framework Convention on Climate Change and was originally capitalized with $10.3bn in 2015. In two replenishment rounds since then, it has gathered more than $20bn in additional pledges.

The fund has to date approved nearly $16bn for project in more than 130 countries and expects to approve another $3bn-worth this year.

The fund said it "remains determined" to help developing countries achieve the highest level of ambition possible.

"If pledges are not fully realized, our ability to support the climate ambitions of developing countries will be constrained," the GCF said.

Finance for developing countries has been a major issue at UN climate talks. At last year's Cop 29 in Baku, Azerbaijan, countries agreed to a "new collective quantified goal" of "at least" $300bn/yr for developing countries by 2035, with developing countries "taking the lead." The goal is meant to build on the $100bn/yr that developed countries agreed to deliver over 2020-25. The finance will come from "a wide variety of sources, public and private, bilateral and multilateral, including alternative sources".


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EU prepares CBAM export scheme

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Timing for EU's 2040 climate goal slips


17/03/25
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17/03/25

Timing for EU's 2040 climate goal slips

Brussels, 17 March (Argus) — The European Commission appears to have pushed back an official proposal for a 2040 climate target for the EU, which will further delay the bloc's submission of a 2035 climate plan to the UN. The commission's agenda does not include the presentation of a legal proposal for a 2040 climate target before the end of the first quarter. The commission in February 2024 confirmed its preference for a 90pc cut in greenhouse gas emissions (GHGs) by 2040, from a 1990 baseline — but this was not a formal proposal. The commission had scheduled an amendment to the European Climate Law for the first quarter of 2025. That amendment would write an intermediate target for 2040 into EU law. The 2040 target would also provide the basis for the EU's updated nationally determined contribution (NDC) — or climate plan — to UN climate body the UNFCCC. Countries and jurisdictions were expected to submit updated NDCs, covering up to 2035, to the UNFCCC by 10 February. Officials said work is "ongoing" on the bloc's 2040 climate target. It would be presented "sooner rather than later" and there is still "time left until the end of the first quarter". An EU source indicated reluctance to present a 2040 climate plan before Poland's presidential elections on 18 May, which may have a runoff on 1 June. Poland chairs meetings of EU ministers until 1 July. The source also said several other parties to the UNFCCC have missed the 10 February deadline to submit their 2035 emissions reduction targets. By Dafydd ab Iago Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Brazil to pilot reforestation concession


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Brazil to pilot reforestation concession

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German climate fund to get €100bn under new government


14/03/25
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14/03/25

German climate fund to get €100bn under new government

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UK, Chinese ministers to meet for formal climate talks


14/03/25
News
14/03/25

UK, Chinese ministers to meet for formal climate talks

London, 14 March (Argus) — UK energy minister Ed Miliband will visit Beijing to meet Chinese ministers for "formal talks to accelerate climate action", the UK government said today. Miliband will meet China's national energy administrator minister Wang Hongzhi and ecology and environment minister Huang Runqiu. "The UK is expected to launch a formal climate dialogue with Chinese counterparts, inviting Chinese ministers to London later this year, and for the first time institutionalising climate change talks between both countries moving forward," the UK government said. Miliband will "urge continued action from China," the government added. The UK also plans to "refresh" a clean energy partnership with China, which will set out areas on which the two governments could "securely collaborate", such as hydrogen, carbon capture and storage, and phasing out coal. China is the world's biggest emitter but is also the biggest supplier of renewable energy globally and has significant refining and processing capacity for critical minerals that are key for the energy transition. And the country is rapidly increasing its renewable power. China's installed renewable power capacity rose to nearly 1.85TW at the end of 2024 , accounting for 55pc of total installed power capacity. The UK is typically viewed as a leader on climate action at talks such as UN Cop summits — a role the government has made clear it is keen to build on. A strong working relationship with China is more crucial than ever to ensure progress at climate talks this year, as US president Donald Trump's decision to pull his country out of the Paris climate agreement will shift the focus to other major economies. China portrayed itself as a reliable leader on climate at Cop 29 in November last year, including making concessions on the language used to describe its climate finance contributions. By Georgia Gratton Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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