The high-level ministerial dialogue on climate finance, namely Warsaw Climate Change Conference, took place from November 20-23Â at Warsaw in Poland to pave the way for a new global climate deal. The two-part ministerial dialogue was mandated by the Conference of Parties (COP)-18 with a view to scaling up long-term climate finance after 2012, especially from developed countries. All the participating countries emphasised strong pledges by 2015 and the reduction of carbon emission over the rest of the current decade.
The main objectives of the Warsaw talks were to call on the world's leaders to pay more attention to severe threats from climate change and enlarge the scope of climate financing through initiating a new global climate change agreement by 2015. It was also aimed at maintaining a balance between adaptation and mitigation finance, immediate capitalisation of the Green Climate Fund and so on.
The conference urged for both public and private finance and support to the Green Climate Fund for accomplishing a common action. United Nations Secretary-General Ban Ki-moon called for increasing the amount of climate financing up to $ 100 billion a year by 2020 for poor and developing countries.
Nicholas Stern, the United Kingdom's economist, warned that the government-induced policy risk would be the biggest barrier for private investment. Environmentalists stressed the need for enhanced collaboration among donor countries in order to strengthen public finance and leverage private investment. In addition, developing countries also urged for clear political commitment to scaling up both public and private financing. These countries sought $ 100 billion under a mid-term target to mitigate the risks of climate change. Mr Ban Ki-moon urged the necessity of taking comprehensive attempts in order to break down barriers towards smooth sustainable investment. He also underscored the importance of climate finance for both addressing and mitigating the threats from climate change.
Now, it raises the question: what is the matter of concern in today's world and why do the Warsaw talks focus on climate fund? According to Smita Nakhooda, a climate finance analyst, "The sharp drop in pledges is caused, in part, by a slow progress in agreeing the remit of the GCF. We've seen a sharp decline in commitments coming through multilateral funds. We need to get the GCF to move from a good idea in theory to a game-changer in practice". During the Warsaw talks, Mr Ban Ki-moon said: "Finance is critical to the success. There are serious concerns about how to mobilise $ 100 billion". Till 2015, climate finance will remain a thorny issue around the world. In fact, the rich countries have not even made any further pledge for climate funding at Warsaw.
The United Nations' climate talks in Warsaw have seen a widening debate over climate aid between richer and poorer countries. Though industrial countries have pledged to boost aid to $ 100 billion a year by 2020 for developing countries, most of the developed countries have failed to fulfill their commitments. These countries also lack clear plans for proper distribution of climate funding.
In Warsaw, North and South clashed over the responsibilities for environmental pollution and the burden-sharing of climate change through climate financing. The least-developed countries (LDCs) are now demanding clarity on climate finance. Developing countries demanded setting up of a new UN institution in order to oversee compensation. It became a major cause of concern while rich countries became dismissive over that issue. While the rich countries refused to discuss climate change recompense until after 2015, the bloc of 132 countries exited Warsaw conference.
Due to the slow progress in managing the United Nations Green Climate Fund, the pledges over climate finance have not properly been fulfilled. The Oxfam study cites that poor countries are now in the dark about climate finance. It also mentions that these countries are very much concerned about unavailability of climate funds due to the lack of transparency of rich countries.
According to the London-based Overseas Development Institute (ODI) and the Heinrich Boll Foundation, the rich countries pledged $ 1.21 billion in 2012. In 2013, the rate declined 71 per cent to stand at $ 356 million. During the 'fast-start' period from 2010 to 2012, rich countries delivered about $ 35 billion in funding. The Oxfam has reported that developed countries still have not announced any figures of climate fund except Britain. On this, Ban Ki-moon reiterated in the Warsaw conference that developed countries must deliver their public finance commitments.
The Oxfam report 'After the Fast Start: Climate Finance in 2013 and beyond' has said that at least 24 developed countries have still not confirmed their climate finance for 2013. The report also warns that the situation might be worse by 2014 due to the lack of any concrete figure from rich countries.
Though there is no standard definition of climate finance, the concept means flows of funds from developed to developing nations to help poorer countries cut their emissions and adapt to climate change. Climate financing is one of the options for developing countries and LDCs to cope with the severe impacts of climate change. These poor countries are the worst victims of the rapid changes in climate. The low-lying countries of the world, for instance, Bangladesh and the Maldives in South Asia, are on the verge of grave threats from climate change.
Environmental scientists warn that if vulnerable countries are not well-equipped with proper funds to continue their development process and build sustainable development, they may face trans-boundary threats. As a result, they mainly need proper funds for enhancing climate change adaptation strategies.
Climate change is not a problem with any single country or region. It is a global security threat. So, the world needs a comprehensive and binding approach to addressing the global problem of climate change. Collaboration among donor countries is very important for strengthening public finance as a means to leverage private investment. All the countries of the world should extend a helping hand for mitigating common threats of climate change across the world.
The writer is a research assistant, Bangladesh Institute of Peace and Security Studies (BIPSS).                        sultanayesmindu@gmail.com
Warsaw talks: Concerns over climate finance
Sultana Yesmin | Published: November 29, 2013 00:00:00 | Updated: November 30, 2024 06:01:00
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