Home > Finance > Push for carbon loopholes sends climate talks into overtime

Push for carbon loopholes sends climate talks into overtime

MADRID – Negotiations in the UN climate talks are going into extra time as diplomats are at loggerheads over commitments to boost ambition and rules to set-up a brand new global carbon market.

As the 2nd week of negotiations drew to some close, negotiators were set to work through the night on Friday to locate landing zones and finalise the final unresolved rules of the Paris Agreement.

“We are reaching the ultimate hours from the Cop and now is time to display to the world we are capable of reaching a contract,” Cop25 president Carolina Schmidt told negotiators.

“The eyes of the world take presctiption us. Our kids, the ladies around the globe, indigenous people, our communities, the youth will not realize that we're not able to get for an agreement that is committed ambition around the world. It's our responsibility to find that agreement,” she said.

But entrenched positions have encounter political deadlock, with little progress around the most contentious issues, including developing a new carbon market, known as Article 6.

In a unique move, Costa Rica's environment and energy minister Carlos Manuel Rodríguez called out “Australia, Brazil and also the US” for blocking progress – an expression of the tense atmosphere from the talks.

“Some from the positions are totally unacceptable since they're inconsistent with the commitment and the spirit that people were able to agree upon [in Paris in 2023],” he explained. The united states is leaving the agreement but remains a party until the coming year.

“On the last day's the Cop we should be very concerned because that high ambition for environmental integrity has been threatened by the insufficient agreement,” he warned.

The question of environmental integrity is dominating the stalemate on carbon markets discussions. Loopholes to allow double counting emissions reductions and allowing old credits under the Kyoto-era to be traded around the new market – a choice favoured by Australia – are still up for grabs. For many countries, they are red lines.

Meanwhile, developing countries warned the deadlock was undermining a bundle of measures that could have delivered much-needed finance and support to vulnerable countries affected by sea-level rise, droughts, floods and extreme weather events.

Calls for further finance to assist developing countries get over damages caused by climate impacts were not contained in the latest draft text. Instead, the written text on loss and damage “urges” countries to “scale-up” finance and capacity-building. It also requests the creation of an expert group to understand more about further choices to support vulnerable countries.

Another demand by developing countries to deploy a share from the arises from bilateral carbon trading between countries towards the adaptation fund has been opposed by richer countries.

Chair of the African group, ambassador Mohamed Nasr of Egypt, told reporters: “We are seeing a regression not a progression, specifically because some countries don't wish to come forward on climate finance.”

“Our view is extremely clear: either we have so as to the funding, we've got the technology that people think we deserve and should get or this method can go on for another year, we're fine with that.”

“No deal is better than a poor deal for our people,” he added.

One diplomat in the Philippines told the plenary on Friday afternoon the nation was “concerned” about developments regarding long-term finance. “It is becoming increasingly apparent that we are backsliding with an hard-fought issue that is crucial for the successful attainment from the objectives of the Paris Agreement.”

Countries that joined a high-ambition coalition also expressed concerns the language of the draft Cop decision failed to include a clear demand countries to enhance their climate plans the coming year.

Under the Paris agreement, countries need to revisit their climate plans by 2023 and are pressurized to boost climate action before next year's talks in Glasgow, UK.

“The high-ambition coalition will not leave without a clear call for all countries to enhance their ambition the coming year,” said Tina Stege, the Marshall Islands' climate envoy. “This is exactly what was decided to in Paris.”

The EU Commission has backed the coalition's demands. Executive vice-president Frans Timmermans said all countries should head to Glasgow with plans and be held accountable for his or her implementation.

But other countries, including Brazil, China and India, have to date refused to commit to boost their climate plans the coming year before rich countries deliver on pledges for providing finance and support to developing countries made before 2023.

One Indian diplomat told the plenary there was “no mandate” to make a top down decision on whether countries should boost their target. “Of course,” he added “parties are welcome to update or scale up their ambition at any time over time.”

You may also like
Coronavirus: investors and policymakers must shift to increase resilience
Green bailouts? – Climate Weekly
Governments urged to attach green strings to long-term coronavirus recovery plans
'Historic opportunity' – Climate Weekly