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Last month in the South Korean city of Busan, government negotiators failed to agree to set up a treaty to tackle plastic pollution, instead only deciding to continue the two years of negotiations in 2025.

While over 100 developed and developing countries wanted the treaty to limit plastic production, a handful of oil and gas reliant states – vocally led by Saudi Arabia, Russia and Iran – wanted it to focus on the consumption and recycling of plastics.

Experts told Climate Home that Iran’s opposition is largely because plastic production is a lifeline to the country’s sanction-hit economy as it is a key source of foreign currency to contain soaring inflation and of jobs in some of the country’s poor and dissatisfied southern provinces. 

Plastics and gas

Plastics are made from oil and gas and Iran’s plastics industry boomed after the country discovered vast natural gas reserves in the late 1980s. Iran is now by far the world’s biggest exporter of methanol, a key feedstock for making ethylene and propylene, the essential building blocks of most plastics. 

The plastics industry contributed nearly 2% of Iran’s GDP in 2022 and polymers – of which plastics are a major part – was the second biggest source of export revenue in the country after oil and gas. Despite privatisation attempts, the industry remains effectively controlled by the government.

Climate Home spoke to a former senior manager in Iran’s petrochemical industry, who did not want to be named.  With its “diverse range of products, critical role in employment and contributions to growth and earnings, the petrochemical industry is a cornerstone of the nation’s economy,” they said.

They said that because of the challenges posed by oil sanctions and fluctuations in crude oil exports, the foreign currency generated by exports of petrochemicals like plastics has become an important tool for managing the country’s soaring inflation rate, which is one of the worst in the world

The Iranian government uses foreign currency to import basic staples like wheat and rice and its central bank uses foreign currency to buy the Iranian Rial, propping up its value. Both measures help control the cost of living and inflation.

Plastic production curbs are a threat to Iran’s geopolitical power too, according to Maria Ivanova, a Northeastern University professor who has followed the plastics talks. She said that much of Iran’s geopolitical power comes from controlling the supply of oil and gas and of petrochemicals. Global moves away from plastics are a “potential threat to geopolitical leverage”, she said.

Iran has also been hesitant to sign up to global treaties in general. It is one of only three countries not to have ratified the 2015 Paris climate agreement and in 2022 was one of only eight nations not to vote for a right to a clean, healthy and sustainable environment as a human right.

Kaveh Madani is a former deputy head of Iran’s environment department and now director of the United Nations University Institute for Water, Environment and Health. He told Climate Home that “historically, Iran has been under international pressure for fair and unfair reasons and is not keen on committing to agreements that may create obligations for it down the road.”

Local importance

While it is of national importance, much of the industry is located in the country’s south, close to the offshore gas reserves that are needed to make plastic and near to the ports from which it can be exported to nations like China, India and Türkiye.

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This part of the country is important politically. Its oil and gas resources are the backbone of the economy but its people are relatively poor. It is home to many religious and ethnic minorities and has been active in nationwide anti-government protests like the 2021 Khuzestan water protests and the 2022/2023 Mahsa Amini uprising. Economic instability from plastic production cuts could lead to further turmoil.

While opposing production curbs, the Iranian government has taken some measures to reduce plastic waste. After a viral campaign spearheaded by Madani and involving celebrities, the environment department  banned plastic bottles of water from its offices. 

Madani said that Iran is concerned with plastic pollution like other nations but, with a sanctioned economy that relies heavily on the petrochemical industry, it does not want to take measures that would put its survival at risk. 

“As long as its economy is under pressure, Iran considers [plastic production curbs] as irrational and even suicidal,” he said.

The post An economic lifeline – Why Iran opposes production curbs in UN plastics treaty appeared first on Climate Home News.

An economic lifeline – Why Iran opposes production curbs in UN plastics treaty

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Climate Change

What Is the Economic Impact of Data Centers? It’s a Secret.

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N.C. Gov. Josh Stein wants state lawmakers to rethink tax breaks for data centers. The industry’s opacity makes it difficult to evaluate costs and benefits.

Tax breaks for data centers in North Carolina keep as much as $57 million each year into from state and local government coffers, state figures show, an amount that could balloon to billions of dollars if all the proposed projects are built.

What Is the Economic Impact of Data Centers? It’s a Secret.

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GEF raises $3.9bn ahead of funding deadline, $1bn below previous budget

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The Global Environment Facility (GEF), a multilateral fund that provides climate and nature finance to developing countries, has raised $3.9 billion from donor governments in its last pledging session ahead of a key fundraising deadline at the end of May.

The amount, which is meant to cover the fund’s activities for the next four years (July 2026-June 2030), falls significantly short of the previous four-year cycle for which the GEF managed to raise $5.3bn from governments. Since then, military and other political priorities have squeezed rich nations’ budgets for climate and development aid.

The facility said in a statement that it expects more pledges ahead of the final replenishment package, which is set for approval at the next GEF Council meeting from May 31 to June 3.

Claude Gascon, interim CEO of the GEF, said that “donor countries have risen to the challenge and made bold commitments towards a more positive future for the planet”. He added that the pledges send a message that “the world is not giving up on nature even in a time of competing priorities”.

    Donors under pressure

    But Brian O’Donnell, director of the environmental non-profit Campaign for Nature, said the announcement shows “an alarming trend” of donor governments cutting public finance for climate and nature.

    “Wealthy nations pledged to increase international nature finance, and yet we are seeing cuts and lower contributions. Investing in nature prevents extinctions and supports livelihoods, security, health, food, clean water and climate,” he said. “Failing to safeguard nature now will result in much larger costs later.”

    At COP29 in Baku, developed countries pledged to mobilise $300bn a year in public climate finance by 2035, while at UN biodiversity talks they have also pledged to raise $30bn per year by 2030. Yet several wealthy governments have announced cuts to green finance to increase defense spending, among them most recently the UK.

    As for the US, despite Trump’s cuts to international climate finance, Congress approved a $150 million increase in its contribution to the GEF after what was described as the organisation’s “refocus on non-climate priorities like biodiversity, plastics and ocean ecosystems, per US Treasury guidance”.

    The facility will only reveal how much each country has pledged when its assembly of 186 member countries meets in early June. The last period’s largest donors were Germany ($575 million), Japan ($451 million), and the US ($425 million).

    The GEF has also gone through a change in leadership halfway through its fundraising cycle. Last December, the GEF Council asked former CEO Carlos Manuel Rodriguez to step down effective immediately and appointed Gascon as interim CEO.

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    New guidelines

    As part of the upcoming funding cycle, the GEF has approved a set of guidelines for spending the $3.9bn raised so far, which include allocating 35% of resources for least developed countries and small island states, as well as 20% of the money going to Indigenous people and communities.

    Its programs will help countries shift five key systems – nature, food, urban, energy and health – from models that drive degradation to alternatives that protect the planet and support human well-being by integrating the value of nature into production and consumption systems.

    The new priorities also include a target to allocate 25% of the GEF’s budget for mobilising private funds through blended finance. This aligns with efforts by wealthy countries to increase contributions from the private sector to international climate finance.

    Niels Annen, Germany’s State Secretary for Economic Cooperation and Development, said in a statement that the country’s priorities are “very well reflected” in the GEF’s new spending guidelines, including on “innovative finance for nature and people, better cooperation with the private sector, and stable resources for the most vulnerable countries”.

    Aliou Mustafa, of the GEF Indigenous Peoples Advisory Group (IPAG), also welcomed the announcement, adding that “the GEF is strengthening trust and meaningful partnerships with Indigenous Peoples and local communities” by placing them at the “centre of decision-making”.

    The post GEF raises $3.9bn ahead of funding deadline, $1bn below previous budget appeared first on Climate Home News.

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    Climate Change

    Marine heatwaves ‘nearly double’ the economic damage caused by tropical cyclones

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    Tropical cyclones that rapidly intensify when passing over marine heatwaves can become “supercharged”, increasing the likelihood of high economic losses, a new study finds.

    Such storms also have higher rates of rainfall and higher maximum windspeeds, according to the research.

    The study, published in Science Advances, looks at the economic damages caused by nearly 800 tropical cyclones that occurred around the world between 1981 and 2023.

    It finds that rapidly intensifying tropical cyclones that pass near abnormally warm parts of the ocean produce nearly double – 93% – the economic damages as storms that do not, even when levels of coastal development are taken into account.

    One researcher, who was not involved in the study, tells Carbon Brief that the new analysis is a “step forward in understanding how we can better refine our predictions of what might happen in the future” in an increasingly warm world.

    As marine heatwaves are projected to become more frequent under future climate change, the authors say that the interactions between storms and these heatwaves “should be given greater consideration in future strategies for climate adaptation and climate preparedness”.

    ‘Rapid intensification’

    Tropical cyclones are rapidly rotating storm systems that form over warm ocean waters, characterised by low pressure at their cores and sustained winds that can reach more than 120 kilometres per hour.

    The term “tropical cyclones” encompasses hurricanes, cyclones and typhoons, which are named as such depending on which ocean basin they occur in.

    When they make landfall, these storms can cause major damage. They accounted for six of the top 10 disasters between 1900 and 2024 in terms of economic loss, according to the insurance company Aon’s 2025 climate catastrophe insight report.

    These economic losses are largely caused by high wind speeds, large amounts of rainfall and damaging storm surges.

    Storms can become particularly dangerous through a process called “rapid intensification”.

    Rapid intensification is when a storm strengthens considerably in a short period of time. It is defined as an increase in sustained wind speed of at least 30 knots (around 55 kilometres per hour) in a 24-hour period.

    There are several factors that can lead to rapid intensification, including warm ocean temperatures, high humidity and low vertical “wind shear” – meaning that the wind speeds higher up in the atmosphere are very similar to the wind speeds near the surface.

    Rapid intensification has become more common since the 1980s and is projected to become even more frequent in the future with continued warming. (Although there is uncertainty as to how climate change will impact the frequency of tropical cyclones, the increase in strength and intensification is more clear.)

    Marine heatwaves are another type of extreme event that are becoming more frequent due to recent warming. Like their atmospheric counterparts, marine heatwaves are periods of abnormally high ocean temperatures.

    Previous research has shown that these marine heatwaves can contribute to a cyclone undergoing rapid intensification. This is because the warm ocean water acts as a “fuel” for a storm, says Dr Hamed Moftakhari, an associate professor of civil engineering at the University of Alabama who was one of the authors of the new study. He explains:

    “The entire strength of the tropical cyclone [depends on] how hot the [ocean] surface is. Marine heatwave means we have an abundance of hot water that is like a gas [petrol] station. As you move over that, it’s going to supercharge you.”

    However, the authors say, there is no global assessment of how rapid intensification and marine heatwaves interact – or how they contribute to economic damages.

    Using the International Best Track Archive for Climate Stewardship (IBTrACS) – a database of tropical cyclone paths and intensities – the researchers identify 1,600 storms that made landfall during the 1981-2023 period, out of a total of 3,464 events.

    Of these 1,600 storms, they were able to match 789 individual, land-falling cyclones with economic loss data from the Emergency Events Database (EM-DAT) and other official sources.

    Then, using the IBTrACS storm data and ocean-temperature data from the European Centre for Medium-Range Weather Forecasts, the researchers classify each cyclone by whether or not it underwent rapid intensification and if it passed near a recent marine heatwave event before making landfall.

    The researchers find that there is a “modest” rise in the number of marine heatwave-influenced tropical cyclones globally since 1981, but with significant regional variations. In particular, they say, there are “clear” upward trends in the north Atlantic Ocean, the north Indian Ocean and the northern hemisphere basin of the eastern Pacific Ocean.

    ‘Storm characteristics’

    The researchers find substantial differences in the characteristics of tropical cyclones that experience rapid intensification and those that do not, as well as between rapidly intensifying storms that occur with marine heatwaves and those that occur without them.

    For example, tropical cyclones that do not experience rapid intensification have, on average, maximum wind speeds of around 40 knots (74km/hr), whereas storms that rapidly intensify have an average maximum wind speed of nearly 80 knots (148km/hr).

    Of the rapidly intensifying storms, those that are influenced by marine heatwaves maintain higher wind speeds during the days leading up to landfall.

    Although the wind speeds are very similar between the two groups once the storms make landfall, the pre-landfall difference still has an impact on a storm’s destructiveness, says Dr Soheil Radfar, a hurricane-hazard modeller at Princeton University. Radfar, who is the lead author of the new study, tells Carbon Brief:

    “Hurricane damage starts days before the landfall…Four or five days before a hurricane making landfall, we expect to have high wind speeds and, because of that high wind speed, we expect to have storm surges that impact coastal communities.”

    They also find that rapidly intensifying storms have higher peak rainfall than non-rapidly intensifying storms, with marine heatwave-influenced, rapidly intensifying storms exhibiting the highest average rainfall at landfall.

    The charts below show the mean sustained wind speed in knots (top) and the mean rainfall in millimetres per hour (bottom) for the tropical cyclones analysed in the study in the five days leading up to and two days following a storm making landfall.

    The four lines show storms that: rapidly intensified with the influence of marine heatwaves (red); those that rapidly intensified without marine heatwaves (purple); those that experienced marine heatwaves, but did not rapidly intensify (orange); and those that neither rapidly intensified nor experienced a marine heatwave (blue).

    Average maximum sustained wind speed (top) and rate of rainfall (bottom) for tropical cyclones in the period leading up to and following landfall. Storms are categorised as: rapidly intensifying with marine heatwaves (red); rapidly intensifying without marine heatwaves (purple); not rapidly intensifying with marine heatwaves (orange); and not rapidly intensifying, without marine heatwaves (blue). Source: Radfar et al. (2026)
    Average maximum sustained wind speed (top) and rate of rainfall (bottom) for tropical cyclones in the period leading up to and following landfall. Storms are categorised as: rapidly intensifying with marine heatwaves (red); rapidly intensifying without marine heatwaves (purple); not rapidly intensifying with marine heatwaves (orange); and not rapidly intensifying, without marine heatwaves (blue). Source: Radfar et al. (2026)

    Dr Daneeja Mawren, an ocean and climate consultant at the Mauritius-based Mascarene Environmental Consulting who was not involved in the study, tells Carbon Brief that the new study “helps clarify how marine heatwaves amplify storm characteristics”, such as stronger winds and heavier rainfall. She notes that this “has not been done on a global scale before”.

    However, Mawren adds that other factors not considered in the analysis can “make a huge difference” in the rapid intensification of tropical cyclones, including subsurface marine heatwaves and eddies – circular, spinning ocean currents that can trap warm water.

    Dr Jonathan Lin, an atmospheric scientist at Cornell University who was also not involved in the study, tells Carbon Brief that, while the intensification found by the study “makes physical sense”, it is inherently limited by the relatively small number of storms that occur. He adds:

    “There’s not that many storms, to tease out the physical mechanisms and observational data. So being able to reproduce this kind of work in a physical model would be really important.”

    Economic costs

    Storm intensity is not the only factor that determines how destructive a given cyclone can be – the economic damages also depend strongly on the population density and the amount of infrastructure development where a storm hits. The study explains:

    “A high storm surge in a sparsely populated area may cause less economic damage than a smaller surge in a densely populated, economically important region.”

    To account for the differences in development, the researchers use a type of data called “built-up volume”, from the Global Human Settlement Layer. Built-up volume is a quantity derived from satellite data and other high-resolution imagery that combines measurements of building area and average building height in a given area. This can be used as a proxy for the level of development, the authors explain.

    By comparing different cyclones that impacted areas with similar built-up volumes, the researchers can analyse how rapid intensification and marine heatwaves contribute to the overall economic damages of a storm.

    They find that, even when controlling for levels of coastal development, storms that pass through a marine heatwave during their rapid intensification cause 93% higher economic damages than storms that do not.

    They identify 71 marine heatwave-influenced storms that cause more than $1bn (inflation-adjusted across the dataset) in damages, compared to 45 storms that cause those levels of damage without the influence of marine heatwaves.

    This quantification of the cyclones’ economic impact is one of the study’s most “important contributions”, says Mawren.

    The authors also note that the continued development in coastal regions may increase the likelihood of tropical cyclone damages over time.

    Towards forecasting

    The study notes that the increased damages caused by marine heatwave-influenced tropical cyclones, along with the projected increases in marine heatwaves, means such storms “should be given greater consideration” in planning for future climate change.

    For Radfar and Moftakhari, the new study emphasises the importance of understanding the interactions between extreme events, such as tropical cyclones and marine heatwaves.

    Moftakhari notes that extreme events in the future are expected to become both more intense and more complex. This becomes a problem for climate resilience because “we basically design in the future based on what we’ve observed in the past”, he says. This may lead to underestimating potential hazards, he adds.

    Mawren agrees, telling Carbon Brief that, in order to “fully capture the intensification potential”, future forecasts and risk assessments must account for marine heatwaves and other ocean phenomena, such as subsurface heat.

    Lin adds that the actions needed to reduce storm damages “take on the order of decades to do right”. He tells Carbon Brief:

    “All these [planning] decisions have to come by understanding the future uncertainty and so this research is a step forward in understanding how we can better refine our predictions of what might happen in the future.”

    The post Marine heatwaves ‘nearly double’ the economic damage caused by tropical cyclones appeared first on Carbon Brief.

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