A landmark deal to help the world’s poorest and most vulnerable countries pay for the irreversible impacts of climate disaster was agreed on the first day of the Cop28 UN summit.
The agreement was met with a standing ovation from delegates.
Host country UAE and Germany both pledged $100m (£79m) to the loss and damage startup fund, which will aim to keep up with the rising costs caused by extreme weather and slow-onset disasters such as sea level rise, ocean acidification and melting glaciers.
Germany’s development minister, Svenja Schulze, said: “Germany and the United Arab Emirates are jointly leading the way. At the same time, we are jointly calling on all countries that are willing and able to make contributions of their own to the new fund responding to loss and damage. In this way, we are building bridges between traditional donor countries and new, non-traditional donors. After all, many countries that were still developing countries 30 years ago can now afford shouldering their share of responsibility for global climate-related loss and damage.”
The initial funding is close to US$429m. €225m ($245m) will come from the EU, including US$100m from Germany. There is also £60m ($75m) from the UK, $24.5m from the US and $10m from Japan. The funding will be a much-needed boost for the agreement, as the loss and damage resolution does not mention scale or the replenishment cycle, which climate justice advocates say raises questions about the fund’s long-term sustainability.
The UAE is likely to see this as a major win for its presidency, as the two-week climate conference kicks off amid controversy over the country’s oil and gas expansion plans. Adnoc, the UAE national oil company, boasted $802m in net profits last year – a 33% rise from 2021. Sultan Al Jaber is president of both Cop28 and Adnoc.
Simon Stiell, executive secretary to the UNFCCC, said: “Today’s news on loss and damage gives this UN climate conference a running start on governments, and their negotiators must use this as a mentor to deliver truly ambitious outcomes here in Dubai. We must keep our eyes on the prize and every minute counts.” Al Jaber said: “I am more confident than ever that we will deliver an unprecedented result.”
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Tzeporah Berman - Got into Dubai late last night. Opened up my curtains in my hotel this morning to what I now know is the largest single site natural gas power generation facility in the world. Fitting. I am going to stare at this through the haze of pollution for two weeks. Welcome to #cop28. https://twitter.com/Tzeporah/status/1729698850640658911