Cop: Developing countries reject new finance draft

: Emissions
24/11/21

Developing countries have expressed discontent with the climate finance draft text released today and continue to stick to their initial positions in negotiations at the UN Cop 29 climate summit, in Baku, Azerbaijan.

The Cop 29 presidency earlier today released a new draft text on the key issue of climate finance for developing countries, but entrenched positions remain with no progress on an amount.

Countries must agree on a new collective quantified goal (NCQG) — a new climate finance target — building on the $100bn/yr that developed countries agreed to deliver to developing countries over 2020-25.

Parties such as the group of 77 (G77) and China, Pakistan and Kenya — on behalf of the African Group of Negotiators — today responded with disappointment at the lack of an amount for finance. They are calling for a figure close to 1.3 trillion/yr in provided and mobilised finance, an amount that has long been pushed forward by developing countries.

Developed countries have not indicated a number.

"We cannot talk about a lower or higher number because there is no number," said Colombia's environment minister Susana Muhamad. The country seeks to end the country's dependence on fossil fuels, while promoting a transition to clean and renewable energy, but has long said that it is lacking the financial means to do so.

The finance goal "is not an investment goal, but there remains text on investment flows," complained the G77 and China group. China's representative emphasised that the text should not "cherry-pick single paragraphs" from the Cop 28 deal, as developed countries seek to add language on fossil fuels agreed in Dubai last year. The finance text should duplicate accurately and fully the wording of the Paris Agreement, they said.

China also reiterated that the finance goal is for developed countries to honour their obligations. The country pointed out that although it has provided 177bn yuan ($24.5mn) since 2016 in support of developing countries, "the voluntary support" of the global south is not part of the goal. It is different in nature from the obligation of developed countries to provide financial resources, the Chinese negotiator said.

UN secretary general Antonio Guterres today urged parties to "soften hard lines" and focus on the bigger picture. "Finance is not a hand-out… it's a downpayment on a safer, more prosperous future for every nation on earth."

"The time to repeat initial positions has come to an end, and parties should find areas of possible compromise," he said.

The summit is scheduled to end on 22 November, but many participants said it is likely to overrun.

By Prethika Nair and Georgia Gratton

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24/11/21

Cost of government support for fossil fuels still high

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Cop: Talks in Baku torn between mitigation and finance

24/11/21

Cop: Talks in Baku torn between mitigation and finance

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Brazil's Bndes approves $1.2bn in Climate Fund spending

24/11/21

Brazil's Bndes approves $1.2bn in Climate Fund spending

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Cop: EU, four countries commit to 1.5°C climate plans

24/11/21

Cop: EU, four countries commit to 1.5°C climate plans

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Cop: EU says finance draft text not acceptable

24/11/21

Cop: EU says finance draft text not acceptable

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