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🌍 COP29 Day 4: Accelerating Climate Finance for a Just Transition 🌍 Today, António Guterres, Secretary-General of the United Nations, emphasized that the climate catastrophe is no longer a distant threat—it is our new reality. The urgency to adapt is undeniable. Mobilizing climate finance and fostering commitments from public and private sectors are essential to bridge gaps between the Global North and South. Key Takeaways from the Third Report of the Independent High-Level Expert Group on Climate Finance The report underscores the scale of action needed: 💰 US$6.5 trillion in annual investment is required by 2030 to achieve the Paris Agreement goals. 🌎 By 2030, over 50% of global emissions will originate from emerging markets and developing countries (EMDCs) outside China. Key Findings 1. Cross-sector investment is vital: Clean energy, adaptation, loss and damage, natural capital, and just transition require immediate attention. 2. Energy transition clarity: Investment needs for energy are well-documented, but other sectors face significant gaps. 3. Proactive action saves costs: Delays in investment today will result in exponentially higher costs tomorrow. Ocean-Based Climate Action The report highlights the critical role of oceans, calling for their integration into national climate strategies. Ocean-based solutions are pivotal to achieving sustainable climate goals. Mandatory Corporate Climate Policies Stronger, enforceable policies are essential to align corporate entities with a 1.5°C climate goal. Companies must develop credible transition plans that reflect meaningful commitments. Industrial Transition Accelerator This initiative urges governments to drive demand for low-carbon products, unlocking up to $1 trillion in green investments while reducing emissions in high-emission sectors. Climate Finance as a Justice Issue Climate action isn’t just about numbers; it’s about equity. Vulnerable communities must be prioritized to ensure that climate efforts are fair and inclusive. Now is the time for coordinated, scalable action. Delaying will only escalate costs and jeopardize our shared future. Let’s work together to ensure a sustainable and just transition for all. #COP29 #ClimateFinance #ClimateJustice #SustainableDevelopment #ParisAgreement #NetZero #GreenInvestment #ClimateAction #PublicPrivatePartnerships #JustTransition

Simon Stiell, Executive Secretary of the UNFCCC UN gave a speach earlier this week in London called “Two Years to Save the World.” In it, he stressed that governments need to step up now to put more ambitious plans in place to cut emissions by 45% by 2030 to stay within 1.5 degress. The current national plans barely reduce emissions. 80% of global emissions are attributable to G20 countries. It is estimated that at least $1 Trillion annually needs to go into climate funding, and much of this should be directed toward developing countries for adaptation and mitigation efforts. “A quantum leap this year in climate finance is both essential and entirely achievable. Every day, finance ministers, CEOs, investors, and development bankers direct trillions of dollars. It’s time to shift those dollars from the energy and infrastructure of the past, towards that of a cleaner, more resilient future… And to ensure that the poorest and most vulnerable countries benefit,” Stiell said at Chatham House. He also stressed how important it is for everyone to raise their voice on this topic. “A recent survey by Gallup of 130,000 people in 125 countries found that 89% want stronger climate action by governments. Yet too often we’re seeing signs of climate action slipping down cabinet agendas,” Stiell said. “The only surefire way to get climate up the cabinet agenda is if enough people raise their voices. So my final message today is for people everywhere. Every voice matters. Yours have never been more important. If you want bolder climate action, now is the time to make yours count.” The clock continues to tick. It seems that not everyone can hear it. #climatechange #climateaction #sustainability #sustainablebusiness #sustainableinnovation

This month's U.N. climate summit - COP29 in Baku, Azerbaijan - has been dubbed the "climate finance COP" for its central goal: to agree on how much money should go each year to helping developing countries cope with climate-related costs. That discussion could be tough following Tuesday's re-election of former U.S. President Donald Trump, a climate denier whose campaign vowed to remove the top historic greenhouse gas emitter and leading oil and gas producer from the landmark 2015 Paris Agreement to fight climate change for a second time. Negotiations So Far Articles 2 and 9 of the Paris Agreement are central to climate finance discussions, underscoring the need to align financial flows with pathways that support low-carbon, climate-resilient development. Originating from the 2009 Copenhagen Accord, developed countries committed to providing $30 billion in "new and additional" financial resources for 2010-2012 and agreed to mobilise $100 billion annually by 2020. Building from a $100 billion floor, the NCQG was set for establishment ahead of 2025, reflecting the needs and priorities of developing countries. Despite the guiding principles of predictability, effectiveness, additionality, fairness and intergenerational equity, reaching a consensus on the NCQG remains challenging. After 11 technical expert dialogues and three ad hoc meetings, deep divisions persist on key issues. Some countries support a single, unified target, while others propose a layered approach with annual targets across various climate action areas. This debate, alongside differing preferences for five- or 10-year timelines and alignment with Nationally Determined Contributions (NDCs) and Biennial Transparency Reports (BTRs), adds layers of complexity. Ambition for the New Goal The NCQG must reflect the growing needs of developing nations and surpass the $100 billion benchmark, which represents more of a political compromise than actual financial needs. As financing requirements are projected in the trillions annually, the NCQG should address this scale, with specific targets for mitigation, adaptation, and loss and damage. This would also help redress the current imbalance, where mitigation receives the majority of funding, leaving adaptation and loss and damage underfunded.

Developed Nations Commit to $300 Billion Annually by 2035 for Climate Action – But Is It Enough? The new climate finance goal, as reaffirmed under Article 9 of the Paris Agreement, sets a target of at least $300 billion per year by 2035 to help developing countries combat the effects of climate change. While this may sound significant, it raises a critical question: Is it enough for those who are least responsible but bear the greatest burden? Key Takeaways: 🔹 The funding will support mitigation (reducing emissions) and adaptation (building resilience to climate impacts). 🔹 It will come from public and private sources, including multilateral and bilateral contributions. 🔹 Developed countries, which historically contributed the most to emissions, will lead this effort in line with the principle of "common but differentiated responsibilities." Why This Matters for Developing Countries: Least Emitting, Most Affected: Developing countries contribute the least to global emissions yet face the worst consequences of climate change—rising sea levels, extreme weather, and biodiversity loss. They are paying the price for a crisis they didn’t cause. Adaptation Costs are High: Transitioning to clean energy, building climate-resilient infrastructure, and recovering from frequent climate disasters require trillions, not billions. Many nations simply cannot afford these costs without external support. A Question of Justice: Climate change is not just an environmental issue—it’s an issue of equity and justice. Developed countries have the resources and historical responsibility to step up, while developing nations struggle to protect their people and economies. But is $300 Billion Enough? While this pledge shows progress, it falls far short of the actual needs: Developing countries face an adaptation funding gap of $160-340 billion annually by 2030, according to UNEP estimates. Previous promises, such as the $100 billion per year by 2020, have not been fully met, raising concerns about accountability and trust. The compounding challenges of poverty, food insecurity, and health crises in developing nations further strain their ability to address climate impacts. The harsh reality: $300 billion is a fraction of what is required to address the scale of the crisis. To ensure a just and equitable transition, climate finance must move from billions to trillions, with clear commitments and transparent delivery mechanisms. As we move forward, the world must recognize that climate action is not charity—it is a shared responsibility and a moral imperative to safeguard our collective future

Investor Agenda has gathered support from 650 investors, who collectively manage $33 trillion in assets, for the 2024 Global Investor Statement to Governments on the Climate Crisis. This statement urges governments to strengthen their climate commitments, known as Nationally Determined Contributions (NDCs), to meet the Paris Agreement’s 1.5°C goal. The aim is to drive a transition to a climate-resilient, nature-positive, and fair net-zero economy. Read more: https://lnkd.in/g23xWiRD Asia Investor Group on Climate Change (AIGCC) CDP Ceres Investor Group on Climate Change (IGCC) Institutional Investors Group on Climate Change (IIGCC) Principles for Responsible Investment United Nations Environment Programme Finance Initiative (UNEP FI)

A missed opportunity for climate finance? Several major financial firms are planning to skip COP29 in Baku later this month. This is due to a number of issues and raises concerns over the future of climate finance. Public-private partnerships are crucial in setting up strong financial pathways to support developing nations suffering from climate change impacts. Without significant backing these nations will struggle. Read more about this issue and why it matters on our website: https://lnkd.in/eQxqymut Article written by Emilia O'Keefe Article edited by Despina Kavroulaki Be Curious! Keep up to date with events in the US election(http://politico.com/), and for polling news(https://lnkd.in/e_yxYMCf)! Follow along with COP29 later this month through the UNFCCC: http://unfccc.int/ To learn more about the African Group of Negotiators, visit this website: https://agnesafrica.org/ #BeCurious #CuriousEarth #ClimateFinance #GreenFunds #ClimateBonds #DevelopingNations #SustainableFinance #USElection #COP29

🌍 Just returned from the Bonn Climate Conference (SB60), where I’ve followed the negotiations of a new climate finance goal and the discussions around Article 2.1c of the Paris Agreement, which aims to make finance flows “consistent with a pathway towards low greenhouse gas emissions and climate-resilient development.” 💸 In 2009, high-income countries committed to mobilise $100 billion per year by 2020 to support the Global South’s climate action. According to the OECD - OCDE this target was finally met in 2022, two years past the original deadline. And now, negotiators are working on an even more ambitious goal. 🥅 When the Paris Agreement was signed in 2015, countries agreed to set a "new collective quantified goal” on climate finance (NCQG) to replace the $100 billion per year target. This NCQG is slated for adoption at COP29 in Azerbaijan this year. 🌱The new finance goal is crucial for directing greater funds towards the urgent climate action needed in the Global South. By boosting financial support, it should enable these countries to enhance their climate ambitions in the next round of national climate plans (NDCs), due in 2025. 💬🗣️However, progress has been slow. In Bonn, negotiators struggled to reach a consensus on key issues, including the total amount of the goal, its configuration (what to include and what not), and the donor base. ⏳For those looking to the UNFCCC process for answers, the outcomes from this meeting are disappointing. It seems unlikely that positions will align before Baku; they appear too cemented and polarised at this moment. However, I sincerely hope so for the planet’s sake, but especially for the people living in climate-vulnerable countries that are already experiencing extreme weather events, food insecurity, governance instability and a much more uncertain future. #BonnClimateConference #UNFCCC #ParisAgreement #COP29

❗️MORE IS NOT ENOUGH - A CALL FOR SMARTER CLIMATE FINANCE❗️ 🌍 Fighting climate change successfully means tackling carbon emissions on a global scale - nearly 50% of current emissions come from outside industrialized nations and China. 📉 Further, most scholars agree that the most cost-effective opportunities to reduce emissions globally lie in supporting developing countries that lack the financial means to phase out greenhouse gases in the near future. ❌ Remarkably, global financial flows supporting these regions' transition still remain below $15 billion — a negligible fraction of what the Global North is spending within its borders, and far below what's needed. 🇦🇿With the upcoming "Finance COP" in Baku, the focus will rightly be on scaling up these efforts. But at CLIMA: Results-Based Subsidy Auctions for Global Climate Finance, we believe it’s not just about the "How much?" but also about the "How?". 💡During my PhD and through collaboration with my colleagues at CLIMA, we crafted a policy solution to address this: Building upon lessons from policies that focus on setting the right incentives in India, Europe, and the US, we developed the CLIMA proposal to channel Climate Finance effectively through Results-Based Subsidy Auctions. 🌱 If you are interested in a global, impact-focused perspective on climate policy, check out CLIMA: Results-Based Subsidy Auctions for Global Climate Finance for more details!

A historic moment at #COP29: the adoption of the New Collective Quantified Goal (NCQG) on climate finance! 🌍💰 The NCQG sets the stage for scaling up climate finance to at least $1.3 trillion annually by 2035, ensuring developing countries receive the resources they need to combat climate change and enhance resilience. This milestone aims to address the glaring gap between current financial flows and the estimated $5.1–6.8 trillion needed by 2030 for mitigation and adaptation efforts in these regions. Key highlights of the NCQG: ✅ Prioritizing support for least developed countries (LDCs) and small island developing states (SIDS), which face the most severe climate impacts. ✅ Reducing barriers to access by simplifying application processes and lowering transaction costs. ✅ Encouraging innovative financing instruments, such as guarantees and local currency financing, to lower the cost of capital for vulnerable nations. ✅ Achieving a balance between adaptation and mitigation finance to address urgent on-the-ground needs while pursuing long-term climate goals. This adoption is a testament to the collective urgency to act on climate finance gaps and empower countries to deliver on their climate ambitions. Let’s work towards making these commitments a reality and creating an equitable future for all. What are your thoughts on the implications of the NCQG for developing nations? Let’s discuss

Currently, only 24 developed countries are responsible for contributing to the $100 billion climate finance target flowing to developing countries. But to meet the growing financial needs of climate action, more countries should step up. Our briefing note, NDCs, NCQG, and Financing the Transition, stresses that countries with high emissions and significant financial resources should take on greater responsibility under the New Collective Quantified Goal (NCQG). Expanding the group of contributors is essential to meet the $3 trillion per year needed for climate mitigation and adaptation. At #COP29, we must discuss not only how much finance is needed, but who needs to provide it. Read our analysis: https://lnkd.in/dhArVGK5 #ClimateFinance #NCQG