Home > Finance > Africa objects to all of us chairing UN climate fund, citing unpaid $2bn

Africa objects to all of us chairing UN climate fund, citing unpaid $2bn

African governments sought to bar the US from co-chairing saving money Climate Fund (GCF) board, citing its failure to deliver cash.

Developed countries nominated the US Treasury’s Victoria Gunderson to jointly lead the UN flagship climate fund’s deliberations in 2023. These appointments are usually approved without discussion.

On behalf of African board members, Kenyan environment official Pacifica Ogola raised the official objection. The united states has contributed just $1 billion towards the fund in the 12-year history, compared to $9bn from EU countries and $3bn from Japan. An additional $2bn pledged under former the president never was delivered. His successors Donald Trump and Joe Biden haven't paid inside a cent.

Ogola stressed, inside a letter dated 16 January, rich countries’ responsibility to inject money in to the GCF and required better enforcement of commitments. Approving Gunderson’s role must not “normalise the situation” of non-payers holding sway over decisions, she argued.

The outgoing co-chairs persuaded African members not to veto the appointment, around the assurance that the board would discuss their broader concerns.

In March 2023, GCF executive director Yannick Glemarec warned that without more resources, the fund would need to tightly ration support for carbon-cutting projects in the developing world. “Some turn-off will be unavoidable,” he said. “It's certainly one of my fears.”

US outreach

One week after African members raised the objection, US treasury secretary Janet Yellen visited a project in Zambia helping farmers adapt to the climate crisis.

Yellen told reporters: “It's funded by the Green Climate Fund, that the Usa is proud to be a a part of. We're committed to making sure that the Fund has sufficient resources to carry on this important work.”

The GCF is hosting its next regular request donations after 2023.

In December 2023, Congress did not earmark any finance for that GCF within the government’s 2023 fiscal year budget. There's enough flexibility within the spending bill that a contribution is still possible – but a Republican majority in the home of Representatives is expected to resist.

Liane Schalatek speaks for civil society as an observer to the GCF board. “The objection highlights the expectation that's placed on a developed country chairing during replenishment to dig deep with their own contributions,” she said.

During the GCF’s last request for donations in 2023, the united kingdom as board co-chair made the biggest pledge. But “it's doubtful the US can replicate the united kingdom example”, Schalatek added.

While the UK promised the most money, it has fallen behind on its payment plan. In October 2023, The Wire reported that three climate projects needed to be postponed following the UK failed to pay $288m it had promised by the end of September 2023.

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