Glaring disagreements

Finance, semantics and syntax have slowed negotiations at Sharm El-Sheikh

- AVANTIKA GOSWAMI

The issue of loss and damage finance is the most high-profile theme at the 27th Conference of Parties (COP27) to the United Nations Framework Convention on Climate Change (UNFCCC) at Sharm El-Sheikh (SES), Egypt.

It was adopted as a ‘formal agenda item’ at the conference this year. It was termed as “matters relating to funding arrangements for addressing loss and damage”.

This has been considered a major win for the developing world at the UNFCCC’s intergovernmental climate negotiations since it allows discussions on climate reparations to be deliberated under the formal mandates of the Convention and the 2015 Paris Agreement.

The first discussions after the adoption of the agenda item took place on November 8 in SES. The popularity and attention assigned to the issue was reflected in serpentine queues lined up outside the meeting and spill-over rooms.

At the first discussion, countries made statements on their expectations from the agenda item. Island countries and other developing countries emphasised the need to operationalise a loss and damage finance facility by 2024.

Finance must be new, additional, predictable, publicly funded, grant-based, and eligibility should extend to all developing countries.

It was also proposed by some that funds for loss and damage must be rapidly disbursed within 24 to 48 hours of a disaster.

Loss and damage must focus on resilient recovery and reconstruction after a disaster by building back better. Historical emissions and the UNFCCC’s principle of Common But Differentiated Responsibilities (CBDR) should be the benchmark of funding, India stated.