Developed countries push to expand contributor base for new climate finance goal

| | New Delhi
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Developed countries push to expand contributor base for new climate finance goal

Wednesday, 21 August 2024 | PTI | New Delhi

As the deadline to agree on a new climate finance goal nears, developed nations are pushing to expand the list of countries responsible for contributing funds to help developing countries address climate change, with Switzerland even proposing criteria to broaden the donor base.

Submissions made by some developed countries to the UNFCCC regarding negotiations on the New Collective Quantified Goal (NCQG) — the new climate finance goal to be finalised in Baku, Azerbaijan, in November — suggest that wealthy nations might pressure countries with high emissions and high gross national income (GNI) per capita, such as Saudi Arabia, Russia and China, to contribute.

According to the United Nations Framework Convention on Climate Change (UNFCCC), adopted in 1992, high-income, industrialised nations (referred to as Annex II countries) are responsible for providing finance and technology to help developing countries combat and adapt to climate change. These countries include the United States, Canada, Japan, Australia, New Zealand, and European Union (EU) member states such as Germany, France and the UK.

Some developed countries, led by the EU and the US, argue that the global economic landscape has changed significantly since 1992.

They suggest that nations which have become wealthier during this period, like China and some Gulf states, should also contribute to the new climate finance goal.

Developing countries view this as an attempt to shift responsibility from those who have historically benefited from industrialisation and contributed the most to greenhouse gas emissions. They argue that expecting them to contribute, especially when many are still struggling with poverty and inadequate infrastructure amid worsening climate impacts, undermines the principle of equity.

In a submission to the UNFCCC last week, the European Commission said that the “collective goal can only be reached if parties with high GHG emissions and economic capabilities join the effort”.

The US said that while current contributors will continue to support developing countries, other nations with the “capacity to support others in pursuing mitigation and adaptation must also be accountable for delivering on the NCQG’s support layer”.

“Their contributions will also enable a larger quantum for the support layer of the NCQG,” the US said, adding that contributing parties could be identified in various ways — through a “definitional approach, a criteria-based approach, a de facto approach, or otherwise”.

“We are open to discussing various options. In no event are we considering a large number of new contributing parties,” said the US, the world’s second-largest GHG emitter.

Switzerland proposed that in addition to developed countries, parties that are among the “10 largest current emitters and have a purchasing power parity-adjusted gross national income per capita of more than USD 22,000” should also contribute to the new climate finance goal.

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