COP28 APPROVES HISTORIC DAMAGES FUND

After three decades of intense struggles and negotiations, a historic milestone was reached during COP28, the United Nations Climate Change Conference, held in Dubai, United Arab Emirates, at the end of 2023. More than 195 member countries of the United Nations joined forces to sign a crucial agreement: the creation of a fund dedicated to the loss and damage caused by climate change. This fund aims to provide vital assistance to the most affected and needy countries in the face of the devastating impacts of climate change.

"The Fund will provide financing to address a variety of challenges associated with the adverse effects of climate change, such as climate-related emergencies, sea level rise, displacement, relocation, migration, insufficient climate information and data, and the need for climate-resilient reconstruction and recovery," according to the document approved at COP28, which also mentions the possibility of financing sustainable development and poverty eradication.

A glaring example of this need is the situation of African countries, which contribute minimally to greenhouse gas emissions, but are the most vulnerable to their adverse effects. Meanwhile, the G20 countries (South Africa, Germany, Saudi Arabia, Argentina, Australia, Brazil, Canada, China, South Korea, the United States, France, India, Indonesia, Italy, Japan, Mexico, the United Kingdom, Russia and Turkey), responsible for around 75% of global emissions, recognize the urgency of taking significant measures to mitigate climate change.

During the conference, several nations, including the European Union, Germany, the United Arab Emirates, the United Kingdom and Japan, made significant voluntary donations to the fund, demonstrating a collective commitment to tackling this global crisis.

The fund will be administered by the World Bank and will have a board made up of 26 members from developed countries and "poor or emerging countries". This fund not only aims to deal with immediate climate emergencies, but also to finance sustainable development and poverty eradication, reflecting a comprehensive and proactive approach to tackling climate challenges.

Despite this significant advance, uncertainties remain regarding the definition of funders and the criteria for accessing the fund's resources, which raises questions about the future effectiveness of this policy. However, the creation of this fund represents a fundamental step in the global recognition of the urgency and need for concrete action to tackle climate change.

Sources:

UNITED NATIONS BRAZIL. Six things you should know about the Climate Loss and Damage Fund. https://brasil.un.org/pt-br/211254-seis-coisas-que-voc%C3%AA-deve-saber-sobre-o-fundo-de-perdas-e-danos-do-clima

GOV.BR. Loss and damage fund approved on first day of COP28. https://www.gov.br/mma/pt-br/cop28-aprova-fundo-para-perdas-e-danos

AGÊNCIA BRASIL. Understanding the Loss and Damage Fund for the COP28 climate crisis. https://agenciabrasil.ebc.com.br/internacional/noticia/2023-12/entenda-o-fundo-de-perdas-e-danos-para-crise-climatica-da-cop28