Developing countries need financial assistance for climate efforts

The Agreement’s Implications

The agreement sets a goal for climate finance but leaves many details unclear. It will likely face scrutiny and criticism in the coming months as the road map is developed and implemented.

COP29 Agreement: Key Points

Climate Finance Deal Reached, But Not Without Controversy

The Conference of the Parties (COP) at Baku, Azerbaijan, concluded on November 25, 2024, with a climate finance agreement that has been met with both praise and criticism.

The Agreement

• Developed countries have agreed to provide $300 billion per year in climate finance for developing nations by 2035.

• The initial target of $1.3 trillion every 12 months by 2035 is still mentioned in the text, but it serves as an invitation rather than a binding commitment.

Who Will Contribute?

• The agreement does not specify who will provide the funding, leaving room for clarification in the coming months through a road map dubbed the “Baku to Belém Road Map to 1.3T”.

• China, considered a developing country under the 1992 agreements, has not had its status changed and is therefore not obliged to contribute to climate financing.

• However, China will make a voluntary contribution via the COP system, but this will not result in an obligation to do so.

Reaction to the Agreement

The COP29 agreement reached a consensus to provide climate finance for developing nations, but the details are still unclear.

Climate Finance Commitment

Developed countries have agreed to commit $300 billion per year to climate finance for developing nations by 2035. The initial target of $1.3 trillion every 12 months by 2035 remains in the agreement as an invitation, but it did not meet the expected commitment.

Unclear Funding Source

The agreement does not specify who will contribute to this funding, whether it be governments or private finance. This clarification is intended to come in a road map dubbed the “Baku to Belém Road Map to 1.3T” leading up to COP30 next year.

China’s Status and Contribution

China, considered a developing country under the 1992 agreements governing climate action, has not had its status changed. Therefore, it is not obligated to contribute to climate financing. However, for the first time, China will make a voluntary contribution via the COP system but this does not result in an obligation to do so.

Reactions and Criticisms

Some view the agreement as an achievement given the challenging geopolitical circumstances, while others consider it a disaster and a betrayal of the people and the planet. Climate-vulnerable countries and activists have been vocal about their dissatisfaction with the deal, stating that it does not give the developing world what it needs.

• Climate-vulnerable countries and activists have expressed strong dissatisfaction with the deal, stating that it does not provide the developing world with what it needs.

• Some have criticized the vagueness of the agreement regarding who will contribute to the funding.

• Others have highlighted the geopolitical challenges faced by the conference, which may have limited the scope for a more ambitious agreement.

Conclusion

The COP29 climate finance agreement has been reached, but its implementation and effectiveness remain uncertain. The lack of specificity on contributors and the voluntary nature of China’s contribution have raised concerns among some stakeholders.