COP 29: FINANCE COP

Why finance COP?

This is because of the negotiations around the new climate finance goal, New Collective Quantified Goal (NCQG). Climate finance refers to the financial commitments and resources required to adapt and mitigate the effects of climate change.

Negotiation focus

1. New Collective Quantified Goal (NCQG)
2. Carbon Trading

New Collective Quantified Goal (NCQG)

During the Copenhagen Climate Summit in 2009, developed countries pledged to mobilise $100 billion per year by 2020 to address the needs of developing countries. It was expected that the following will be negotiated on at COP 29,

1. The headline figure for the new fund
2. Responsibility of developed OECD countries

COP 29 outcomes: $1.3trn would be raised annually under the NCQG till 2035, with developing countries pledging to raise $300bn annually till 2035.

Carbon Trading

Article 6.2: enabling bilateral trading of emissions between high-emitting countries and lower-emitting countries.

Article 6.4: creation of a multilateral carbon trading system for countries.

COP 29 Outcomes: Clarity was provided on how countries will authorize the trade of carbon credit and operationalisation on registry tracking (Article 6.2) Countries agreed on standards for a centralized carbon market (Article 6.4)

Other Outcomes

• Operationalisation of the Loss and Damage Fund.
• Countries must update their Nationally Determined Contributions (NDCs) by February 2025 under the terms of the Paris Agreement.
• Negotiations on the Mitigation Work Programme ended in a deadlock
• World's top multilateral development banks (MDBs) to increase climate financing for low-and-middle-income countries to read $120billion a year by 2030.

Gender and Climate Change

In summary, "Keep up the good work". Countries agreed to extend the Lima Work Programme on Gender and Climate Change for another 10 years.

Global Stock-take

COP29 president Babayev proposed that the UAE dialogue be taken up again at talks in Bonn in June 2025, to reach a deal at COP30.

Focus for COP 30

• NDCs
• Just Transition Work Programme
• Gender and Climate
• Adaptation

Do you think COP 29 was a failure?

What do you think can be done to yield better outcomes next year during the SB  and COP 30?

Do you think the host country negatively affected the outcomes?

What do you think will be the focus areas for COP 30?        

References