Hindustan Times (Noida)

COP27: New draft of deal released as parleys over vexing issues continue

- Jayashree Nandi letters@hindustant­imes.com

A new draft of the deal being discussed at the UN Climate Change Conference (COP27) in Egypt’s Sharm El Sheikh was released on the last day of the negotiatio­ns on Friday morning following overnight parleys and closed-door meetings, even as the European Union took a hard stance on various issues, including one on peaking emissions by 2025.

The new draft still has only placeholde­rs for important agenda items such as loss and damage finance, the new collective quantified goal for finance (post-2025), and adaptation fund replenishm­ent, indicating a lack of consensus. Negotiatio­ns are definitely expected to spill over to Saturday and perhaps even Sunday, officials said.

India intervened to oppose what it saw as an erroneous introducti­on of the word “phase out of unabated coal power” in the new draft. India’s negotiator said that the country wants “a phase down of unabated fossil fuels” to be placed within the context of a global and equitable just transition with the lead taken by developed countries in accordance with equity and common but differenti­ated responsibi­lity, in the context of sustainabl­e developmen­t and eradicatio­n of poverty.”

Meanwhile, the European Union took a hard stance on Friday, and said loss and damage funding and mitigation are two sides of the same coin. EU wants a reaffirmat­ion of the Glasgow Climate Pact and pursuit to limit global warming to 1.5 degrees; peaking global emissions before 2025; reducing by 2030 non-carbon dioxide greenhouse gas emissions like methane; pushing all parties to urgently increase their efforts to closing the remaining mitigation gap to pathways consistent with 1.5 degrees; and accelerati­ng the phase down of unabated coal

power as soon as possible.

EU’S climate policy chief Frans Timmermans at a COP27 echoed these calls drawing a red line over the loss and damage finance facility which is being demanded by the G77 and China, least developed countries and small island states.

Vulnerable countries have said they will not leave COP27 without this loss and damage finance facility arrangemen­t. “We are running out of time and patience. The developed countries have failed to mobilise $100 billion but they have unlimited money for pharmaceut­icals and weapons and not for loss and damage. Our need is existentia­l and waiting for two years is untenable,” said Ralph Regenvanu, minister of climate change, Vanuatu, in a press briefing on Thursday.

But, some of the elements of EU’S proposals could pose major redlines for India and most other developing countries, experts said.

Indeed Timmermans said that while the EU believes a loss and damage fund is not needed, it will go with one if “that is the only way we are going to get an agreement”, but put down two conditions for the fund: ”The fund should be targeted towards the most vulnerable (island nations and least developed countries) and it should also have a broad donor base, which means that it has to be based on the Paris Agreement so that you take into account the economic situation of the member countries in 2022 and not in 1992.”

Referring to the draft’s call, the Indian negotiator added: “To ask for phase out - of one fossil energy source is not appropriat­e, not as per convention and Paris agreement that mentions that countries must take climate action in the context of sustainabl­e developmen­t and eradicatio­n of poverty.”

The call, “may be an erroneous introducti­on because earlier in the text it states phase down unabated coal. But we have made our position very clear,” the negotiator said.

The new draft has been reduced from 20 to 10 pages and has been toned down with the removal of references to important issues for developing countries, including disproport­ionate consumptio­n of the carbon budget, and the need for developed nations to attain net negative carbon emissions by 2030. The reference to 785 million people with no access to electricit­y has also been removed.

A developing country negotiator said a lot of issues remain unresolved.

The 1.5°C goal

The new draft recognises the impact of climate change will be much lower at the temperatur­e increase of 1.5°C compared with 2°C. It reaffirms the resolution to pursue efforts to limit the temperatur­e increase to 1.5°C compared to pre-industrial levels. The draft notes this requires immediate, deep, and sustained reductions in global greenhouse gas emissions. It urges parties to communicat­e new or updated long-term low-emission developmen­t strategies aimed at enhancing contributi­on to global net zero emissions by or around mid-century, in line with the best available science, and aligned with their NDCS taking into account different national circumstan­ces. India has already submitted its long-term strategy to achieve net zero emissions by 2070 and has updated its NDCS.

Coal

The same language on coal has been retained in the new draft, which calls on “the importance of enhancing the share of renewable energy in the energy mix at all level as part of diversifyi­ng energy mixes and systems, and encourages the continued efforts to accelerate measures towards the phase down of unabated coal power and phase out and rationalis­e inefficien­t fossil fuel subsidies.” The new draft seeks for this to be done in line with national circumstan­ces. It recognises the need for support towards just transition­s. India’s call to treat all fossil fuels equally has been ignored. There is no reference to curbing fossil fuel fuels like oil and gas on which developed countries are dependent.

Loss and damage

The draft gives three options for a funding facility, but only one that actually involves a fund. Observers and negotiator­s earlier this week said both the US and EU were looking to expand the donor base to include “high income” and “emerging economies” including China and India, ignoring the Paris Agreement provision that climate finance will flow from developed to developing nations.

Climate finance

The new draft refers to the nondeliver­y of climate finance compared to the scale of funding required by developing countries. It notes global climate finance flows are small relative to overall needs of developing countries. Global climate finance in 2019-2020 was estimated to be $803 billion. This amount is 31–32% of the annual investment needed for the global temperatur­e rise to follow a well below 2 degrees or a 1.5 degrees pathway.

The text urges developed country parties to provide enhanced support, including through financial resources, technology transfer, and capacity building. It asks them to respect both mitigation and adaptation and encourages others to provide or continue to such support voluntaril­y.

Experts said there is nothing new or powerful in the new draft. They said the main fight revolves around expanding the donor base for mitigation, adaptation, and loss and damage finance likely to be negotiated on Friday.

Diego Pacheco, Bolivia’s negotiator, and the Like-minded Developing Countries spokespers­on, said developed countries do not want to provide financial resources to the developing nations and are trying very hard to open new ways for the provision of finance. “...we witnessed efforts by developed countries in...the negotiatio­n process...to dilute all the agenda items...”

The COP27 Presidency acknowledg­ed the logjam. “It’s (EU’S proposal) an option now. The two ministers (minister Maisa Rojas (Chile) and state minister Jennifer Morgan (Germany) who are overseeing negotiatio­ns on the matter) came to COP27 President, Sameh Shoukry indicated to us who supported what so we are aware of that issue. President Shoukry will take the discussion forward. It is all on the table and more variations and combinatio­ns on loss and damage funding is being worked out,” said Egypt’s COP27 ambassador Wael Aboulmagd on Friday, answering HT’S question on the stalling of talks.

“All developing countries are opposed to the text at the moment because there is no mention of equity in it. They do not subscribe to EU proposal,” said Harjeet Singh, head of Global Political Strategy, Climate Action Network Internatio­nal.

 ?? REUTERS FILE ?? The new draft still has only placeholde­rs for important agenda items.
REUTERS FILE The new draft still has only placeholde­rs for important agenda items.

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