Differences on new finance goal for COP29 likely to impact talks

New Delhi: There is no consensus on the most critical COP29 negotiated agenda — a fair and ambitious New Collective Quantified Goal on climate finance (NCQG) — people familiar with the matter said on Monday.
The new financial goal is to be set from the floor of $100 billion for the post-2025 period. The people added that the two major outstanding issues on NCQG are the quantum of the fund and the list of “contributors.”
Developed countries are pushing to expand the contributor base by inducting emerging economies (not necessarily historical polluters) in the list of contributors. “They are not ready to budge,” one person said.
Developing countries are clear that they will stick to the provisions of the Paris Agreement and the United Nations Framework Convention on Climate Change (UNFCCC) which state that finance must flow from developed to developing countries. Developing countries expect contributions in the trillions annually from developed nations, for climate change mitigation efforts as defined in their nationally determined contributions.
“I would say differences have narrowed over the past few months but they haven’t resolved,” a second person added.
With less than two months to go for the COP 29 negotiations, these outstanding issues can jeopardise the Baku NCQG deal. Developed countries are pushing to include high emission economies such as China and the gulf countries in the list of contributors.
India has made a strong intervention at the third meeting of the ad hoc work programme on the new climate finance goal, last week in Baku, asserting that there should be “no digressions” from provision of finance to developing countries.
“The goal is for developing countries to be provided finance by developed countries and there should be no digressions from this,” the Indian spokesperson said aligning with the Arab group, Like Minded Developing Countries, Alliance of Latin America and the Caribbean, and Alliance of Small Island States.
Meanwhile, the Baku COP29 Presidency launched an action agenda on Tuesday seeking support of countries on certain non-negotiated partnerships and initiatives to accelerate climate action.
These are to supplement the negotiated COP29 agenda, the host, Azerbaijan said on Tuesday. In a letter addressed to all Parties and non-party stakeholders, COP29 President-Designate Mukhtar Babayev set out the details of the package and how global stakeholders can contribute to the COP29 Presidency’s vision to enhance ambition and enable action.
“Azerbaijan is honoured by the confidence that the global community has placed in us to host COP29. But we are just one country and we cannot solve the climate crisis alone. We seek to inspire every actor and demonstrate what is possible with commitment and determination, and we never underestimate the value of an individual contribution. We hope to remind everyone that even in the face of such an enormous challenge, every action matters because every fraction of a degree matters,” Babayev said in a statement.
“The failure of rich nations to meet their longstanding financial commitments to developing countries is a blatant disregard for climate justice. Rather than taking responsibility for their legacy of climate harm, they are unfairly shifting the burden onto large developing countries, who bear no historical responsibility for the crisis. This approach not only undermines trust but risks derailing the COP29 conference, delaying critical decisions on the new global climate goal. We cannot allow the voices of vulnerable nations to be drowned out by those who continue to shirk their obligations,” said Harjeet Singh, climate activist and global engagement director for the Fossil Fuel Non-Proliferation Treaty Initiative.
Among COP29 Presidency initiatives are the Finance Action Fund (CFAF), a fund, capitalised with voluntary contributions from fossil fuel producing countries and companies, to catalyse the public and private sectors across mitigation, adaptation, and research and development; COP Truce Appeal, an appeal for a COP Truce, modelled on the Olympic Truce, to highlight the importance of peace and climate action; and the Baku Global Climate Transparency Platform (BTP), a platform to support developing country parties in the preparation and submission of Biennial Transparency Reports.
COP29 will be held in Baku from November 11 to 22.