Nearly all nations participate in the United Nations Climate Change conferences, commonly referred to as COPs, which serve as the sole multilateral platform for making decisions on climate change globally. These conferences are crucial for reaching a global consensus on solutions to the climate crisis, such as achieving net-zero emissions by 2050, supporting vulnerable populations in adapting to climate change impacts, and limiting the global temperature increase to 1.5 degrees Celsius.
The COP conferences bring together member nations of the UN Framework Convention on Climate Change (UNFCCC), business leaders, young people, climate scientists, journalists, experts, stakeholders, and delegates. These conferences play a vital role in addressing global climate change challenges, setting emission reduction targets, and fostering international cooperation.
The 29th Conference of the Parties to the UNFCCC, or COP, commenced this year in Baku, Azerbaijan. Among other objectives, this gathering aims to finalize the first enhanced transparency framework and the new collective quantified goal on finance. A key question arises: Why is COP significant for climate finance? What challenges does climate finance currently face? What steps should be taken to mitigate the adverse effects of climate change?
COP holds importance for climate financing due to several reasons. It establishes a global framework for various initiatives, including negotiating and agreeing on collective measures to combat climate change. Additionally, it contributes to the development of international standards and obligations that govern climate funding activities. Furthermore, COP conferences play a crucial role in mobilizing financial resources from developed countries to support developing nations. The goal of raising $100 billion USD annually to aid vulnerable countries in climate mitigation and adaptation efforts is frequently discussed.
Moreover, COP promotes private-sector investment by showcasing successful climate financing models and projects that can attract private investment. It also facilitates climate loss and damage, technology transfer, and networking among stakeholders like governments, NGOs, businesses, and international organizations to form partnerships.
However, COP conferences are essential for establishing a coordinated global approach to climate financing, resource mobilization, ensuring accountability, fostering collaboration, and driving innovation in climate action. Yet, countries, especially developed ones, often fail to translate their promises and pledges into action fully.
Reports indicate that climate financing faces various obstacles that could hinder the effective implementation of climate action plans and initiatives, particularly in developing countries. Many developing nations struggle to access available climate funds due to complex application processes and stringent criteria imposed by institutions. This may discourage potential applicants and limit the number of initiatives receiving funding.
Furthermore, developed countries’ lack of commitment to climate financing could hinder their ability to support climate action both domestically and internationally. Political will and commitment may change with shifts in government or leadership, leading to less public support and complex funding channels that pose barriers to climate finance.
Climate financing often requires long-term investments, but political cycles in developed countries may prioritize short-term outcomes, resulting in underfunding for crucial long-term climate projects. Lack of coordination among donors and stakeholders also presents hurdles to climate financing, making it challenging to collect committed funds annually.
These challenges impede the financial resources allocated to support climate change mitigation and adaptation activities, affecting developing countries’ development initiatives and climate change efforts.
For example, Ethiopia is advancing commitments from the Paris Agreement and COP28 through initiatives like the Green Legacy Initiative, which has increased forest cover by 6 percent, the irrigated wheat program that transformed a grain deficit into a surplus, and climate-smart urban projects creating sustainable cities with renewable energy and electric vehicles.
Efforts like those in Ethiopia to address climate change require support through climate financing. Addressing the climate financing needs of developing countries is crucial for achieving global climate goals and promoting sustainable development. By improving access to finance, the global community can empower developing nations to take meaningful action against climate change while fostering economic growth and resilience.
Furthermore, providing climate financing to developing countries is essential for reducing poverty, achieving long-term self-sufficiency, and addressing related issues through their development initiatives. Therefore, developed countries must commit to fulfilling their pledges. COP 29 should particularly focus on climate funding as a key element of the global response to climate change and enhancing developing nations’ efforts worldwide.
Editor’s Note: The views entertained in this article do not necessarily reflect the stance of The Ethiopian Herald
BY EPHREM ANDARGACHEW
THE ETHIOPIAN HERALD THURSDAY 14 NOVEMBER 2024
