(Sharm el-Sheikh) United Nations Secretary General Antonio Guterres on Thursday called on the countries gathered at COP27 to find “an ambitious and credible agreement” on compensation for the devastation caused by climate change, a hot topic over which negotiations, one day before the scheduled end of the climate conference.
“The most effective way to rebuild trust is to find an ambitious and credible agreement on loss and damage and financial support for developing countries,” he said in Egypt, on his return from the G20 in Bali. “We need action.”
Poor countries, little responsible for the greenhouse gas emissions that cause global warming but are often very exposed to its consequences, are calling for an agreement at the Sharm el-Sheikh conference on the creation of a financial mechanism specifically dedicated to these damages. But the rich countries are very reluctant to do so.
The European Union, however, made an overture in a plenary session late Thursday evening, proposing “to establish a loss and damage response fund”, while insisting that COP27 also make strong commitments on the reduction of emissions.
This fund should be financed by “a broad base of donors”, insisted the Vice-President of the European Commission, Frans Timmermans. A keyword to designate countries with substantial financial means, including China, an ally of developing countries on this issue.
This fund would also be only one element of a “mosaic” of financing to be developed. And only “very vulnerable” countries could benefit from it.
Pakistan’s representative, Nabil Munir, who chairs the powerful G77+China negotiating group (more than 130 developing countries), described the European offer as “positive news”. However, he felt that “many differences remain”.
The delegate from China, the world’s largest emitter and second largest economy, spoke without commenting on the European proposal.
The United States, whose opposition to a dedicated fund is known, did not speak.
A motion for a resolution on loss and damage was subsequently published by the “facilitators” on this file. It lists three options, one of which is quite similar to the European offer. Another could eventually lead to a fund, a last only mentions a strengthening of funding.
The subject of loss and damage is made even more sensitive by the multiplication of devastating extreme events, illustrated by the procession of floods, droughts or giant fires in the current year.
The financial discussions are taking place in a context of great mistrust, the rich countries having moreover never kept a commitment of 2009 to increase to 100 billion dollars per year the financing to the poor countries for adaptation to climate change and the reduction greenhouse gas emissions.
trillions
The amounts currently on the table for these different sectors are derisory compared to the estimated needs, which according to experts amount to thousands of billions.
The Egyptian COP presidency was to publish a draft final declaration overnight or on Friday.
A first draft only listed various proposals, in particular a reminder of the objective of limiting warming if possible to 1.5°C compared to the pre-industrial era.
The draft also underlined that the current commitments to reduce greenhouse gas emissions from the various countries are far from allowing this objective to be met, calling once again for them to be raised. According to UN analyses, current commitments make it possible at best to limit global warming to 2.4°C by the end of the century.
The fate of fossil fuels will also be closely monitored. Several countries would like to see a target for reducing the use of oil and gas mentioned. A similar mention for coal was in extremis toned down at the last COP in Glasgow.
Once the various draft resolutions have been published, intense negotiations will begin before a possible agreement, which must be reached by consensus. The conference should theoretically end on Friday, but the COPs generally continue beyond the scheduled deadlines.