COP 28: Anticipation builds for increased progress in substantive negotiations, with the hope that the momentum generated by substantial financial pledges will translate into meaningful actions to address the global climate crisis
The initial week of COP28's global climate talks concluded with a significant milestone—the operationalization of the Loss and Damage Fund, along with pledges exceeding USD 83 billion. However, concerns linger about the voluntary nature of these commitments and the actual fulfilment by participating nations.
Despite the substantial financial commitments, questions arose about the voluntary nature and true fulfilment of the pledges made by participating nations, totaling over USD 83 billion. The draft text for the Global Stocktake, released on Tuesday, marked a noteworthy development by including, for the first time in years, language advocating for the phasing out of all fossil fuels.
Fossil fuels became a focal point of discussions, with a new draft text proposing options for the phase-out of unabated coal and an orderly and just transition away from fossil fuels.
This proposition could be contentious, particularly for India, which had previously advocated for the phasedown of all fossil fuels, a stance supported by several countries, including the European Union. India's reluctance to sign the pledge committing to tripling global renewable energy capacity by 2030 was notable, as was its abstention from endorsing the COP28 Declaration on Climate and Health.
The Global Stocktake, a first periodic review of global efforts to limit temperature rise to 1.5 degrees Celsius, showcased India, representing the BASIC bloc, playing a prominent role in advocating for accountability. The BASIC grouping, comprising Brazil, South Africa, India, and China, voiced concerns about the fragmented multilateralism of developed nations during preliminary negotiations.
Despite initial challenges in substantive negotiations, the first week of COP28 witnessed a flurry of historic declarations on food systems transformation, health, renewable energy, and efficiency, along with initiatives to decarbonize heavy-emitting industries.
Notable pledges included a groundbreaking agreement to operationalize and capitalise on funding for loss and damage, with an impressive USD 726 million already pledged. Additionally, efforts were made to replenish the Green Climate Fund (GCF) with USD 3.5 billion, bringing the total to USD 12.8 billion.
Contributions to various climate funds were announced, including USD 133.6 million to the Adaptation Fund, USD 129.3 million to the Least Developed Countries Fund, and USD 31 million to the Special Climate Change Fund. The UAE committed USD 200 million through Special Drawing Rights (SDRs) to help vulnerable countries and an additional USD 150 million for water security solutions.
International financial institutions, including the World Bank and Multilateral Development Banks (MDBs), pledged over USD 22.6 billion towards climate action. The World Bank announced an annual increase of USD 9 billion for 2024 and 2025 to finance climate-related projects.
As COP28 enters its second week, there is anticipation for increased progress in substantive negotiations. The hope is that the momentum generated by substantial financial pledges will translate into meaningful actions to address the global climate crisis. The negotiations are set to continue until December 12.