COP 27 to UNFCCC

COP 27 of UNFCCC took place at Sharm-El-Sheikh, Egypt (Located on the southern tip of Sinai Peninsula on the Red Sea). The Theme of COP 27 was ‘Together for implementation’.

Key initiative at C.O.P – 27

LOSS AND DAMAGE FUND: United Nations Climate Change Conference COP27 closed with a breakthrough agreement to provide “loss and damage” funding for vulnerable countries hit hard by climate disasters.

What is it?

• “Loss and damage” refers to costs being incurred from climate-fueled weather extremes or impacts, like rising sea levels.
• The fund will be aimed at helping developing countries that are “particularly vulnerable” to the effects of climate change.
• Developing countries made strong and repeated appeals for the establishment of a loss and damage fund, to compensate the countries that are the most vulnerable to climate disasters, yet who have contributed little to the climate crisis.
• Loss and damage refers to the negative consequences that arise from the unavoidable risks of climate change, like rising sea levels, prolonged heatwaves, desertification, the acidification of the sea and extreme events, such as bushfires, species extinction and crop failures.

Merits:

• Shift of focus: Climate funding so far has focused mostly on cutting carbon dioxide emissions to curb global warming, while about a third of it has gone towards projects to help communities adapt to future impacts.
• Urgency of the fund: A report by 55 vulnerable countries estimated their combined climate-linked losses over the last two decades totaled $525bn, or 20% of their collective gross domestic product (GDP). Some research suggests that by 2030, such losses could reach $580bn per year.

Issues:

• No agreement yet over what should count as “loss and damage” caused by climate change.
• No agreement over who will pay. Vulnerable countries and campaigners in the past argued that rich countries that caused the bulk of climate change with their historical greenhouse gas emissions should pay. The United States and European Union had resisted the argument, fearing spiraling liabilities. The EU has argued that China – the world’s second-largest economy, but classified by the UN as a developing country – should also pay into it.
• Huge chance of shifting responsibilities and deadlock.