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Cop 27: Mexico to launch updated NDC

  • Market: Emissions
  • 10/11/22

Mexico will increase its emissions reduction target from a disputed goal set in 2020 as part of an updated climate plan it will present at the ongoing Cop 27 UN climate summit, the environment ministry said.

Mexico now aims to cut greenhouse gas emissions by 30pc by 2030 from a 2000 baseline, up from a previous target of a 22pc reduction by the same year, set in 2020.

The country has also raised its conditional emissions reduction target — depending on outside financial support — to 40pc from 36pc previously set.

The reduction of black carbon emissions remains at an unconstitutional 51pc and 70pc percent conditioned by 2030, the ministry said.

Further details of Mexico's NDC and any changes in targets for reducing methane emissions were not available.

Mexico last updated its NDC two years ago when it committed to cut emissions by 22pc by 2030 and by 50pc by 2050, also against a 2005 baseline. But the government that year raised the level of its business-as-usual emissions scenario in 2020, effectively increasing its planned CO2 emissions in absolute terms.

Environmental and climate groups criticized the plan and Greenpeace filed a legal complaint against the reduced targets in a Mexican court. A court suspended the NDC, pending appeals.

Under the Glasgow climate pact agreed at last year's UN Cop 26 climate conference, parties were requested "to revisit and strengthen the 2030 targets in their nationally determined contributions as necessary to align with the Paris Agreement temperature goal by the end of 2022".


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27/01/25

Republican floats repeal of 45Z clean fuel credit

Republican floats repeal of 45Z clean fuel credit

New York, 27 January (Argus) — A Republican lawmaker has quietly introduced a bill to repeal a key subsidy for low-carbon fuels, complicating a debate among lawmakers on what to do with clean energy incentives provided by the Inflation Reduction Act. The bill, HR 549, introduced this month by US representative Beth Van Duyne (R-Texas) would repeal the 2022 climate law's "45Z" incentive for clean fuels, which offers increasingly generous subsidies to fuels as they produce fewer greenhouse gas emissions. While the credit is currently in effect, the legislation as written would apply retroactively, striking the credit from the tax code after 2024. The proposal comes as Republicans prepare to pass major legislation this year through the Senate's reconciliation process, which bypasses the 100-member chamber's 60-vote requirement to advance most bills. Intent on extending tax breaks passed during President Donald Trump's first term but wary of adding to budget deficits, lawmakers are searching for ways to cut government spending. While changes to at least some Inflation Reduction Act programs are expected, biofuels policy is seen as a less likely target for Republicans than other climate policies. And even members supportive of scrapping clean energy subsidies might be wary of repealing incentives retroactively. Still, the new bill suggests that a full repeal of 45Z could at least be part of legislative discussions this year. The bill was referred on 16 January to the House Ways and Means Committee, of which Van Duyne is a member. Other Republicans on the Ways and Means Committee have expressed openness to updating but not necessarily eliminating the credit, with six members opening a request for information last year on options such as limiting foreign feedstocks or encouraging more "climate-smart" farm practices. Industry groups generally supportive of 45Z might even welcome some legislative changes, particularly those frustrated by incomplete guidance on qualifying for the credit issued in the waning days of former president Joe Biden's term. More information on lawmakers' plans could come soon, with House Republicans on Monday attending a policy retreat with Trump in Florida. Whatever changes are proposed, Republicans' slim majorities leaves them with little room for dissent and could give farm-state lawmakers leverage to ensure some type of biofuel tax credit survives legislative negotiations. By Cole Martin Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Brazil's Bndes, IDB eye Amazon recovery


27/01/25
News
27/01/25

Brazil's Bndes, IDB eye Amazon recovery

Sao Paulo, 27 January (Argus) — Brazil's development bank Bndes and the Inter-American Development Bank (IDB) will finance $1mn in projects to help restore Amazonian states' forests and boost regional economy. The partnership aims to help preserve the Amazon rainforest and strengthen sustainable agricultural practices through joint projects between public and private parties. States that house the Amazon rainforest are northern Acre, Amapa, Amazonas, Para, Rondonia, Roraima and Tocantins, along with central-western Mato Grosso and northeastern Maranhao. Bndes did not disclose when the project will begin. This is the latest of a series of Bndes investmnets to restore the Amazon. The bank has sent R405mn ($68.3mn) to eight Brazilian states to help firefighters combat wildfires and prevent deforestation. It also set out a R1bn plan to restore deforested and degraded areas in the Amazon in 2023 . Brazil, which will host the UN Cop 30 climate summit in November, faced rampant deforestation in previous governments . Almost half of Brazil's emissions were linked to land-use and forestry as of January 2024 . Brazil's emission reduction targets made on previous Cop summits rely heavily on slashing deforestation, specially in Amazon. Brazil's portion of the Amazon biome lost over 17.6mn hectares to wildfires in 2024 . That accounts for 58pc of the country's total burnt area during the year, up by 62pc from 10.8mn ha a year before. Para, where Cop 30 will take place, has prioritized sustainable economic activities and forest recovery efforts to diversify its income generation , governor Helder Barbalho said on the World Economic Forum last week. By Maria Frazatto Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Brazil wildfires burned 79pc more land in 2024


24/01/25
News
24/01/25

Brazil wildfires burned 79pc more land in 2024

Sao Paulo, 24 January (Argus) — Wildfires in Brazil scorched an area greater than the size of Italy in 2024, climbing by 79pc from the prior year, burning large swaths of the Amazon rainforest and hindering sugarcane and other farm output. The wildfires last year spread out over 30.8mn hectares (ha) (76mn acres), up by 13.6mn ha from a year earlier and rising to a five-year high, according to environmental network MapBiomas' fire monitor researching program. The surge in wildfires may be related to a wider drought season influenced by the El Nino climate phenomenon in 2023-2024, researchers said. Sugarcane producers association Orplana estimated that around 414,000ha of crop lands in central-southern states — Brazil's largest sugarcane producing area — were damaged by wildfires, which led to R2.67bn ($485.7mn) in financial losses. Dryer weather in the region in April-October last year hindered sugarcane development, while a surge in wildfires damaged plants in different stages of regrowth and downsized the 2025-26 season's output . Wildfires hit northern Para state the most last year, as 7.3mn ha were burnt. Central-western Mato Grosso and northern Tocantins states followed, with 6.8mn ha and 2.7mn ha of burnt areas, respectively. Amazon biome Brazil's Amazon biome lost over 17.6mn ha to wildfires in 2024, which accounts for 58pc of the country's total burnt area, up by 62pc from 10.8mn ha a year before. The changes in climate patterns are alarming considering that fires do not occur naturally in the Amazon as is the case in other biomes, MapBiomas' researcher Felipe Martenexen said. Brazil lost 3.6pc — or 1.1mn ha — of its areas to fires in December 2024, down from 1.58mn ha in the same period a year earlier. The Amazon biome represented 88pc of total wildfires in the month, reaching 964,000ha of burnt land. Of that, 37.5pc of damage accounted for forest areas. Brazil's Cerrado biome, which comprises savanah grasslands and forest and makes up 25pc of national land — lost 9.7mn ha to wildfires last year, up by almost 92pc from 2023. Besides natural fire outbreaks in the region, an extended drought season increased burnt areas, MapBiomas said. Wildfire-damaged areas in southern Brazil's Pampa biome, or low grasslands, dropped by 98pc to 3,860ha last year from around 7,640ha in 2023, mostly because of historic floods in May prompted by El Nino's effects in the region during the first half of 2024. Brazil's Caatinga biome, or seasonally dry tropical forest, in the northeast lost around 330,000ha in burnt areas in 2024, down by 47pc from 630,115ha a year before. Burnt areas in the central-western Pantanal biome, or tropical wetland, stood at 1.9mn ha last year, more than doubling from 672,600ha in 2023. The Atlantic forest biome lost 1mn ha to wildfires in the same period, more than fivefold from the nearly 183,900ha a year earlier. Amazon fund Brazil's Bndes development bank will send R45mn from its Amazon fund to firefighters in Mato Grosso to combat wildfires and prevent deforestation, it said today. Mato Grosso is the eight state to receive money from the Amazon fund to combat wildfires and deforestation, Bndes said. The other states are Rondonia, Acre, Amapa, Para, Roraima, Amazonas and Maranhao. In total, the Amazon fund has sent R405mn to these states. The Amazon fund — created by President Luiz Inacio Lula da Silva in 2008, decommissioned by Jair Bolsonaro during his presidency in 2019-2022 and reactivated by Lula again in 2023 — supports 119 projects and has R2.99bn in its portfolio. Norway, Germany, the US, the UK, Switzerland, Japan and Denmark have also contributed to the fund . By João Curi Atlantic Forest biome burnt areas (ha) Caatinga biome burnt areas (ha) Cerrado biome burnt areas (ha) Pantanal biome burnt areas (ha) Amazon biome burnt areas (ha) Pampa biome burnt areas (ha) Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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US Democrats call for return to Paris agreement


24/01/25
News
24/01/25

US Democrats call for return to Paris agreement

Washington, 24 January (Argus) — US Democrats are pushing back against President Donald Trump's decision to withdraw from the Paris climate agreement. Democrats in the US House of Representatives and Senate on Friday introduced separate but similar resolutions calling on the US to remain a party to the Paris agreement. The House version, backed by more than 120 Democrats, goes a bit further by explicitly expressing "strong disapproval" and urging Trump to reverse course. "President Trump's irresponsible decision to pull out of the Paris agreement sends a shameful signal to our allies and adversaries alike, showing that the US is turning its back on the health and safety of our planet," said US representative Brad Schneider (D-Illinois), the lead sponsor of the House resolution. US senator Ed Markey (D-Massachusetts) is the lead sponsor of the Senate version , which is currently backed by 21 other Democrats. The resolutions are non-binding, which means they cannot force Trump to change his mind. In addition, neither is likely to advance as Republicans hold majorities in both the House and Senate. Trump ordered the US withdrawal from Paris on his first day in office. That decision will take effect one year after the US gives formal notice to the UN Framework Convention on Climate Change (UNFCCC). In response, 24 state and territorial governors told the UN they will continue their work to reduce emissions in line with the Paris agreement and the targets set by former president Joe Biden, seeking to reassure other countries about US efforts. Biden just before leaving office said the US would reduce GHG emissions by 61-66pc by 2035, relative to 2005 levels, in a new Paris pledge. In addition, Bloomberg Philanthropies on Thursday said it and "other US climate funders" will ensure that the US meets its funding and reporting obligations to the UNFCCC. By Michael Ball Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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US Paris exit sparks concern but also climate unity


24/01/25
News
24/01/25

US Paris exit sparks concern but also climate unity

London, 24 January (Argus) — Governments, companies and scientists have expressed concern at President Donald Trump's decision to withdraw the US from the Paris climate agreement, but have committed to continue with plans to decarbonise and drive forward the energy transition. "It's not a complete halt of the efforts but it's definitely a concerning moment," director of the Potsdam Institute for Climate Impact Research Johan Rockstrom told delegates this week at the World Economic Forum (WEF) in Davos, Switzerland. "The nervousness is what spillover effects this can have on other countries in the world and that in turn can end up in a serious slowdown of efforts. I'm thinking of Saudi Arabia, I'm thinking of Argentina, I'm thinking of some of the more populist governments now in Europe," Rockstrom added. Action on climate change is competing for space on policymakers' agendas with geopolitical turmoil — war in Ukraine and the Middle East — as well as economic challenges. "We're in a state of crisis fatigue… we only seem to have an attention span for one crisis at a time, so as this polycrisis environment that we've been in for the last few years… climate has been pushed down that crisis priority list, but… science behind climate hasn't changed. The impacts actually have changed in that they're simply getting worse", executive secretary of UN climate body the UNFCCC Simon Stiell said in Davos. In response to Trump's decision to pull the UK out of the Paris accord , the EU and China immediately committed to continue with their action on climate change , and both underlined the importance of multilateralism. "I want to be very clear with my message. Europe stays the course, and we stand ready to work with all global actors to accelerate the transition to clean energy," European Commission president Ursula von der Leyen said. Transition is ‘unstoppable' Many speakers in Davos noted that the energy transition to renewables is well underway, and has advanced rapidly since Trump's first term in office. "The world is undergoing an energy transition that is unstoppable," Stiell said. Several private-sector representatives attending the WEF embraced the energy transition, pointing to increased efficiency and cost savings. "I haven't found one single area where climate smart wouldn't be resource smart and cost smart," Ikea chief executive Jesper Brodin said. "Technology will win the day in the end", Volvo Cars chief executive Jim Rowan said. The consensus from a CEO lunch during the WEF was that "we are not deviating from the plans we have. We're staying on track. We're moving on a decarbonisation path, we're electrifying our industry, we're not going to be shaken up by what's happening," Rockstrom said. Within the US, action to decarbonise looks set to consolidate beyond federal level. A group of 24 US state and territorial governors have assured the UNFCCC of their continued climate action. And Bloomberg Philanthropies this week said it would step in to cover the US' financial obligations to the UNFCCC, as well as support the country's climate reporting. The long-term realities of a heating world overshadow the relatively short-term politics. "It is one of the most challenging things we will be facing in the decades to come, and the effects are devastating," EU climate commissioner Wopke Hoekstra said this week. Extreme heat is projected to cause $2.4 trillion/yr in productivity losses by 2035, as well as $448 bn/yr in fixed-asset losses for publicly listed companies, financial services provider Allianz said. The US in particular has been hit hard by catastrophic weather events — proven to be exacerbated by climate change — in recent months. California governor Gavin Newsom pointed to wildfires, which have this month devastated swathes of Los Angeles. "If you don't believe in science, believe your own damn eyes," Newsom said. 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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