Discussions about climate finance are usually framed around national borders: wealthy countries rightfully paying more than less-developed states for their historic responsibility in the climate crisis.
But holding only countries accountable for the damage done to our planet lets other polluters, often much larger than some major economies, off the hook.
We have a unique opportunity to rethink the whole approach, and set an important precedent where a major emitting industry – for the first time ever – pays for its greenhouse gas (GHG) emissions at the global level.
This industry is international shipping, whose global climate regulator, the UN’s International Maritime Organization (IMO), is meeting on March 11-22 to negotiate on policies to achieve its climate commitments and cut GHG emissions from ships.
This includes putting a price on shipping emissions, which the IMO has agreed to adopt in 2025.
Pacific “mixed feelings” after compromise on shipping’s climate goals
A multi-billion dollar sector powered by cheap fossil fuels, shipping has reached the point of emitting more pollution than all but the top five emitting countries worldwide. This is roughly the same amount as Germany or Japan in a year, and yet it remains almost tax-free.
Last year, the IMO reached a historic agreement to cut emissions 30% by 2030 and 80% by 2040, in order to reach net-zero by mid-century. This was in great part due to the valiant efforts of the Pacific Island delegations, who have for years now led the push for the highest ambition possible at the IMO.
Even though these targets fall short of what climate scientists say is necessary to limit global temperature rise to the Paris Agreement’s 1.5°C goal, it is in of itself the first deal of its kind. If achieved, it will help avoid over 10 billion tonnes of emissions cumulatively from now to 2050.
Polluters must pay their fair share
A growing number of governments and industry players back putting a price on international shipping emissions, so that polluters pay their fair share for the transition through a levy.
But the devil is in the details, and all eyes must be on the IMO, where the final decisions will be taken.
A well-designed levy will speed up the phase out of GHG emissions, help close the price gap between fossil and sustainable alternative fuels, and send a strong market signal to move towards zero emission solutions. But this must be done in a way that is just and equitable, particularly for those in the developing countries most impacted by the climate crisis.
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Crucially, a good levy will also generate significant revenues – between $1 trillion to $3.7 trillion could be raised by 2050. As called for by the Pacific islands at IMO, and supported by analysis from the World Bank, these funds ought to be allocated first and foremost towards supporting climate-vulnerable countries.
These revenues are new and additional, and completely separate from developed countries’ climate finance commitments negotiated at the COP summits. This is of paramount importance – otherwise we would be shifting the historic responsibility for climate change from developed countries, and their commitments under the UN climate convention, to industry.
These are two completely distinct and independent sources of funding.
The push for an ambitious levy
There are several levy proposals the IMO can choose from. The most ambitious one – which could secure a just and equitable transition – is a levy put forward by Belize, Fiji, Kiribati, the Marshall Islands, Nauru, the Solomon Islands, Tonga, Tuvalu and Vanuatu of $150/tonne of greenhouse emissions. A significant part of the revenues from this levy would go towards helping climate-vulnerable poorer countries fund shipping’s renewable energy transition, compensate for any rise in transport costs, and adapt to climate change.
The European Union has also recently reiterated its support for pricing GHG emissions, but is yet to support any specific proposal on the table. As the biggest negotiating bloc at the IMO, it is absolutely crucial that EU member states support a truly ambitious proposal, such as the one put forward by the Pacific Islands and Belize. Not doing so risks allowing momentum to grow around proposals that do not live up to the level of ambition we need at the IMO.
Other proposals currently on the table pose serious risks of incentivising the use of fossil fuels, such as LNG, and do not prioritise funds to support climate-vulnerable countries, which stand to lose the most from this transition without the right supportive measures in place.
We are at a crossroads – not just when it comes to shipping‘s climate action but also the way countries approach new and additional financial flows, and the March talks need to lead us in the right direction.
I urge governments not to miss this important opportunity, and make their voice heard at the IMO in support of an ambitious levy, such as the Pacific and Belize proposal, to get ships off fossil fuels and secure a globally just and equitable transition that leaves no country behind.
Ana Laranjeira is senior international shipping policy manager with Opportunity Green, an NGO working to unlock the opportunities from tackling climate change using law, economics, and policy. Since 2022, Opportunity Green has been working bilaterally with a number of ambitious climate-vulnerable IMO Member States towards building their capacity to actively participate in negotiations.
The post How to hold shipping financially accountable for its climate impacts appeared first on Climate Home News.
How to hold shipping financially accountable for its climate impacts
Climate Change
Asheboro, North Carolina, Is Under Pressure to Control Discharges of a Toxic Chemical Into Drinking Water Supply
The EPA wants the city of 28,000 to rein in an industrial solvent, 1,4-Dioxane, from its wastewater discharges. So far, Asheboro has refused.
ASHEBORO, N.C.—Some members of the public in attendance at the Environmental Protection Agency hearing last week called the City of Asheboro’s actions “despicable.” Others said they were “shameless.” And still another remarked that those who pollute the water—which data show Asheboro is doing—await “a special circle of hell.”
Climate Change
Can COP30 mark a turning point for climate adaptation?
Cristina Rumbaitis del Rio is a senior advisor on adaptation and resilience and Pan Ei Ei Phyoe is a climate adaptation and resilience consultant with the United Nations Foundation.
COP 30 compels the world to make a decision. Already 3.6 billion people are highly vulnerable to rapidly worsening climate impacts such as droughts, floods, and heat stress. Meanwhile, Glasgow-era climate finance commitments are expiring, and elements of the Global Goal on Adaptation (GGA) are yet to be finalized.
This November provides the opportunity to elevate the issue of adaptation and resilience – and for countries to demonstrate they grasp the urgency and are prepared to act.
Success at COP30 will hinge on how three key questions are answered:
- Will countries agree on a new adaptation finance target backed with real commitments?
- Will countries finalize architecture to track progress toward the Global Goal on Adaptation and implement the UAE Targets for Global Climate Resilience?
- Will adaptation receive elevated political attention at COP30?
A new adaptation finance target backed with real commitments
Belém will test whether negotiators can agree on a new adaptation finance goal that is anchored in clear targets, timelines, and accountability. The Glasgow Climate Pact’s goal to double adaptation finance is set to reach its deadline at the end of this year and countries are facing the question of what, if anything, comes next.
The form of the finance goal also matters: will it be a provision-based target ensuring measurable public contributions, or a mobilization target dependent on less transparent private leverage?
After two consecutive years of falling short, all eyes will be on whether the Adaptation Fund can finally meet its mobilization target and secure a multi-year replenishment to deliver predictable support.
Multilateral development banks (MDBs) are under pressure to demonstrate how to integrate adaptation into country-platform approaches including aligning finance for accelerated country-driven action and providing fast-start financing for implementation of National Adaptation Plans. NAPs have been completed by 67 developing countries and are underway in another 77 countries.
Climate adaptation can’t be just for the rich, COP30 president says
Vulnerable countries currently need an estimated $215 billion-$387 billion annually to adapt to climate change, far exceeding available funding. And developed countries face growing expectations to renew or grow their bilateral commitments beyond Glasgow-era pledges that are expiring this year or next.
Without tangible new finance commitments, the ambition of the Global Goal on Adaptation risks remaining rhetorical.
System to track progress on the Global Goal on Adaptation
The GGA still has no mechanism to measure progress, despite being established under the Paris Agreement in 2015, shaped through multiple work programs since 2021, and further expanded by the UAE Framework for Global Climate Resilience of COP28 which set 11 targets and launched the UAE-Belém Work Programme.
Agreeing on a robust, streamlined indicator set that is both scientifically sound and usable by countries with differing capacities will be one of the hardest tasks at COP 30. These outcomes will be a test of whether we can move from measuring resilience to building it.
Foreign aid cuts put adaptation finance pledge at risk, NGOs warn
Negotiators must settle the inclusion of equitable means-of-implementation indicators covering finance, technology, and capacity building. Finally, they must decide what comes next under the UN Framework Convention on Climate Change to ensure the UAE targets are acted upon within the next two to five years.
Those targets include seven that set resilience priorities for water and sanitation, food and agriculture, health, ecosystems, infrastructure, livelihoods and cultural heritage.
Adaptation needs greater political attention at COP30
Last week, COP30 President Corrêa do Lago released the first-ever COP presidency letter focused on elevating adaptation, calling for solutions that will make Belém the “COP of adaptation implementation”. His task now is to embed that principle across every strand of COP30’s delivery architecture.
One test lies in how realistically adaptation is integrated into the Baku-to-Belém Roadmap to $1.3 trillion to be released by the presidency. The implementation of the COP 30 Action Agenda, which provides a blueprint for collective climate action and solutions, could become the bridge between political vision and practical delivery on adaptation.
Questions remain on whether Brazil’s leadership on adaptation thus far will position adaptation as a political priority that will be reflected in leaders’ statements at the opening of COP30. The inaugural High-level Dialogue on Adaptation – hosted by the outgoing COP President Azerbaijan and Brazil – is another opportunity where countries can reaffirm and institutionalize adaptation as a permanent pillar of climate action.
In the role as the host and president of COP30, Brazil has repeatedly stressed the importance of matching adaptation with actual resources and accountability, highlighting adaptation as one of the five guiding stars of the Paris Agreement alongside mitigation, finance, technology, and capacity building.
With the right outcomes in Belém on finance targets, measurement systems, and political commitments, COP30 could be remembered as the moment adaptation financing and implementation finally matched the scale of the challenge.
The post Can COP30 mark a turning point for climate adaptation? appeared first on Climate Home News.
Climate Change
Cranberry Farmers Consider Turning Bogs into Wetlands in Massachusetts As Temperatures Rise
The state is helping to transform cranberry bogs to into habitats that broaden conservation and climate change resilience.
What happens when a region no longer has the ideal climate for its star crop?
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