Missed chance

The 29th Conference of Parties (CoP 29) held in Baku, Azerbaijan, has concluded with a weak agreement, disappointing many climate activists and developing countries. The primary goal of securing a robust climate finance deal was not met, leaving developing nations with inadequate support to transition to a sustainable future. This outcome has raised concerns about the global commitment to tackling climate change.

Key Issues with the Baku Agreement

• Failure to Secure Adequate Climate Finance: The main objective of CoP 29 was to establish a New Collective Quantified Goal (NCQG) on climate finance, which would provide developing countries with the necessary funds to combat climate change. However, the agreement only promised to mobilize USD 300 billion annually from 2035, far below the USD 1.3 trillion needed, primarily through grants and loans, which allows wealthy nations to avoid fulfilling their financial obligations.
• Developed Nations’ Influence in the Deal: Last-minute political maneuvering by developed countries, particularly the United States under Donald Trump, heavily influenced the outcome of the deal. Developing nations were pressured into accepting this insufficient financial arrangement, with the argument that this was the best deal they could secure due to the political climate, further exacerbating the global divide on climate action.
• China's Voluntary Contribution: Despite being classified as a developing nation, China has voluntarily agreed to contribute to the climate finance fund under the new deal. While not obligated, this move by China is seen as a positive step in climate negotiations, as it could inspire other nations to make voluntary contributions, helping to fill the financial gap.

Implications of CoP 29's Outcome

• Impact on Future Emission Reduction Plans: CoP 29's lackluster outcome will likely have long-term consequences on national climate plans due to be published next year. These plans will outline how each country intends to limit emissions over the next decade. A more substantial financial agreement could have incentivized countries to make more ambitious commitments, but with the current agreement, the planet is still on track for a dangerous 2.7°C rise in global temperatures.
• India's Slipping Climate Performance: India, while among the few nations on track to meet its goals, has slipped three ranks in the latest Climate Change Performance Index. This is a concerning development, as India’s progress is critical in meeting the Paris Agreement targets. The CoPs serve as an important platform to hold countries accountable for failing to meet climate goals, and this year’s missed opportunity could have lasting negative effects.
• The Risk of Missed Opportunities: The CoP 29 was an opportunity to press countries on their emission targets and financial commitments, especially those who have not made significant progress. With the global climate crisis accelerating, the failure to achieve a stronger deal at this conference may limit the chances of reversing the harmful trajectory of climate change in future negotiations.

Practice Question

Q. Critically analyze the outcomes of the 29th Conference of Parties (CoP 29) held in Baku, Azerbaijan, with respect to climate finance, and its implications for global climate action.