Climate Change Impact on India and World – International Reports, Key Observations, etc.

Accounting methods of climate fund questioned

Note4students

Mains Paper 3: Environment | Conservation, environmental pollution and degradation, environmental impact assessment

From UPSC perspective, the following things are important:

Prelims level: Not Much

Mains level:  Assessing developed countries ambitious climate actions


News

  • The Finance Ministry has issued a ‘discussion paper’ that has criticized the accounting methods used by developed countries to report how much money they have given, so far, to developing countries to address climate change.

Accounting methods under lens

  1. Accounting procedures, regarding the flow of climate finance, is one of the most controversial issues being debated at COP Katowice, Poland.
  2. Countries have gathered to agree upon a ‘Rule Book’ to implement the Paris Agreement of 2015, that commits countries to ensure the earth doesn’t warm 2C beyond pre-industrial levels.

Not delivering their Pledges

  1. In 2019, developed countries are expected to make available $100 billion annually to developing countries, according to a 2010 agreement in Cancun.
  2. In 2016, developed countries published a road map to $100 billion, which claimed that public climate finance levels had reached $41 billion per year in 2013-14.
  3. In 2015, India had disputed this figure arguing it was only $ 2.2 billion.
  4. The 2017 numbers also tell a similar story. Only around 12% of total pledges to climate funds have actually materialized into disbursements.

Discontent over meager Climate Funds

  1. India has argued that the definition of climate finance in the UNFCCC has remained “imprecise and incomplete.”
  2. There was no clarity on whether the developed countries’ commitment to ‘provide funds’ meant funds committed or those that made it to their intended recipients.
  3. The total pledges to the Green Climate Fund, the largest multilateral fund, were a “meagre” $10.3 billion.
  4. Further, most of the total climate finance has flowed into mitigation (a reference to preventing carbon dioxide from being emitted).
  5. The growth in the reported climate specific finance actually slowed down from 24% between 2014 and 2015 to 14% between 2015 and 2016, the paper notes, quoting a report by the finance committee of the UN that manages climate-affairs.
Subscribe
Notify of
0 Comments
Inline Feedbacks
View all comments