Deadlock in COP27 conference over funds for loss and damage

SHARM EL SHEIKH: At the 27th Conference of Parties (COP27), being held in Sharm El Sheikh, Egypt, negotiations came to a standstill over the issue of creating a dedicated fund to compensate for loss and damage suffered by the vulnerable nations due to natural disasters.

It is an established fact that countries most vulnerable to the impact of climate change are the least responsible for global greenhouse gas emissions. Therefore, these vulnerable countries are pressing the countries responsible for historic emissions at the conference to create a dedicated ’loss and damage’ fund for the countries bearing the brunt of climate change.

The proposal to create a dedicated fund came from a group of 134 countries called G77, including China, while the rest of the details could be negotiated at the next climate summit.

Ralph Regenvanu, Minister of Climate Change, Vanuatu, during a press conference said, “We are out of time and we are out of money and we are out of patience.”

While Frans Timmermans, Vice President of the European Commission, said that the proposal presented by G77+China, will restrict the donor base to a list of two-dozen rich nations’ groups drawn up in 1992, and some of the developing countries, including China, would escape their liability to contribute to the fund.

Sherry Rehman, Minister of Climate Change from Pakistan, said that developed countries’ concerns regarding the issue of liability could be talked upon. She also highlighted that this year’s floods has caused damage of $30 billion to the country.

Deadlock over the issue of loss and damage has overtaken the rest of the discussions in COP27, including the one where rich nations finally decided to fulfil their pledge to provide $100 billion annually to facilitate green development and mitigation of future impacts of disasters. It is being said that the issue of loss and damage would be the make-or-break issue for COP27.