A surge in gas prices triggered by the Iran war has caused a knock-on spike in the price of electricity in the UK, Italy and many other European markets.
This is because gas almost always sets the price of power in these countries, even though a significant share of their electricity comes from cheaper sources.
This “coupling”, which is part of what UK energy secretary Ed Miliband calls the “fossil-fuel rollercoaster”, is due to the “marginal pricing” system used in most electricity markets globally.
After another fossil-fuel price shock, just four years after Russia’s invasion of Ukraine, this coupling between gas and electricity prices is once again under the spotlight, in the UK and the EU.
There are various alternatives that have been put forward as ways to break – or “decouple” – the link between gas and electricity prices.
Electricity prices could be “decoupled” from gas prices by changing the way the market works, but ideas for doing this either have not been tested or have problems of their own.
Some people have implied that the UK could insulate itself from high and volatile international gas prices by extracting more gas from the North Sea.
However, contrary to false claims by, for example, the hard-right climate-sceptic Reform UK party, this would not be expected to cut energy bills, because gas prices are set on international markets.
Finally, electricity prices can be “decoupled” from gas by burning less of it, a shift that is nearly complete in Spain and that is already having an impact in the UK.
- Why does gas set the price of electricity?
- What is the impact of gas setting the electricity price?
- What market reforms have been proposed?
- Why is ‘marginal pricing’ in the news again?
- Would it help if more gas were extracted domestically?
- Would burning less gas stop it setting electricity prices?
Why does gas set the price of electricity?
In liberalised economies, electricity is bought and sold via market trading. The market uses a system called “marginal pricing” to match buyers with enough supply to meet their demand.
(The same system is used in most commodity markets, including for oil, gas or food products.)
All of the power plants that are available to generate make “bids” to sell electricity at a particular price. The bids are arranged in a “merit order stack”, from the cheapest to the most expensive, shown in the illustrative schematic below.

This means that the price of gas sets the price of electricity, whenever gas plants are at the margin.
In the UK, the marginal unit is almost always a gas-fired power plant. As a result, one widely cited academic analysis found that gas set the price of power 97% of the time in the UK in 2021.
In contrast, the analysis found that gas only sets the price of power 7% of the time in France, as shown in the figure below. This is because the French market is dominated by nuclear power.

The “pay as clear” marginal-pricing system means that gas sets the price of power more often than might be expected, given its share of electricity generation overall.
For example, gas set the price of power 97% of the time in 2021, even though it only accounted for 37% of electricity generation that year. Equally, even though renewables now make up around half of UK electricity supplies, gas still usually sets the price of power in the UK.
(There are some important subtleties to this, due to the fact that not all gas-fired power plants are equally expensive to run. This is discussed further below.)
Overall, the fact that gas hardly ever sets the price of power in some European markets hints at the potential to decouple electricity prices from gas, by shifting towards alternative sources.
What is the impact of gas setting the electricity price?
The tight coupling of gas and electricity prices in the UK and other markets is the source of significant political debate, particularly during periods when the price of gas soars.
When gas prices hit record highs after Russia’s invasion of Ukraine in 2022, politicians, commentators and the media rushed to understand why this also spiked electricity bills.
The same dynamic is playing out in 2026, following the attacks on Iran by the US and Israel, the closure of the Strait of Hormuz and the resulting surge in international gas prices.
An editorial in the Financial Times published earlier this month is headlined: “The déjà vu of Europe’s energy shock.” It says the crisis is once again raising questions over electricity pricing:
“In Britain, in particular, questions remain on how to reform its electricity pricing, which currently leaves it highly exposed to volatile wholesale gas prices.”
This exposure is illustrated in the figure below, which shows the tight link between prices on the “day-ahead” markets for gas and electricity.

Indeed, recent analysis from the UK Energy Research Centre (UKERC), published before the Iran war, found that high gas prices were still the biggest driver of high UK electricity bills.
The UK is not the only market being hit by high electricity prices after the outbreak of war in the Middle East. Italy is also suffering, at a time when it was already in the midst of a major debate over how to cut electricity prices, which are also high due to its heavy reliance on gas power.
What market reforms have been proposed?
Historically, some governments set the price of electricity themselves. However, this is increasingly rare and most countries now have “liberalised” electricity markets to determine prices.
These markets use the “pay as clear” system of marginal pricing, described above, to balance supply and demand in each hour of the day.
Alternative models include “pay as bid”, where each power plant is only paid the amount that it bid to supply electricity, rather than the higher price of the marginal unit.
However, this “would not provide cheaper prices”, according to the European Commission, because bidders would seek to maximise their profits by guessing the clearing price:
“In the pay-as-bid model, producers (including cheap renewables) would simply bid at the price they expect the market to clear, not at zero or at their generation costs.”
Another option would be to create two separate markets, one “green power pool” for renewables and another for conventional sources of electricity.
One proponent of this idea is Prof Michael Grubb at University College London. In a March 2026 post on LinkedIn he says:
“The impact of surging gas prices on electricity will again highlight the oddities of our current electricity market – which make sense to many economists, but to hardly anyone else.”
Explaining his rationale for creating separate power markets, he continues:
“The crisis again emphasises that gas-generated power and renewables are not really the same commodity and deserve distinct and tailored market structures to also enhance transparency. Unless and until that occurs, no amount of policy tinkering can overcome the volatility imposed by geopolitical events outside our control.”
However, the UK government concluded in 2024 that it “[did] not consider [a green power pool] to be deliverable”, adding that, even if it were possible, it “would not provide additional benefits”.
This was part of the UK government “review of electricity market arrangements” (REMA), which considered – and then rejected – a series of alternative ways to structure the market.
Similarly, it is less than two years since the European Commission also considered – and then rejected – alternatives to the marginal pricing system, notes Jon Ferris, head of flexibility and storage at consultancy LCP Delta, in a LinkedIn post. The commission explains:
“This model provides efficiency, transparency and incentives to keep costs as low as possible. There is general consensus that the marginal model is the most efficient for liberalised electricity markets.”
In the UK, a debate in parliament in early March 2026 saw Labour MP Toby Perkins questioning the marginal pricing system, which he said was now “far less robust”. He said:
“Because renewables are cheaper, should we not look to benefit from that, rather than having a system that allows gas to set the price, even if it accounts for only 1% of our energy?”
Ultimately, however, marginal pricing is the “worst approach to clearing markets apart from all the others”, Ferris tells Carbon Brief.
The Iran crisis has also been used to resurface a more radical option, put forward last year by consultancy Stonehaven and NGO Greenpeace, of taking gas out of the market completely.
The idea would effectively see gas plants being taken into a strategic reserve, where they would receive a regulated return for remaining open. They would be managed centrally and called on to generate power as needed outside of the market, which would continue to use marginal pricing.
Adam Bell, partner at Stonehaven and the government’s former head of energy policy, tells Carbon Brief that it would be possible to implement within 18 months, but only if moving at a pace that the civil service might describe as “brave”.
Why is ‘marginal pricing’ in the news again?
Despite the decisions at UK and EU level to reject the alternatives, interest in moving away from marginal pricing has recently been reignited – even before the shock of the Iran war.
For example, in a speech in February, European Commission president Ursula von der Leyen said a recent meeting of member states had seen “intense discussion” over marginal pricing:
“We did not come to a conclusion. I want to be very clear on this one. But to the next European Council, I will bring different options and findings on whether it is time to move forward on the market design or whether we are still good on this market design.”
A subsequent leak from the commission, seen by Carbon Brief, also implies that marginal pricing is up for debate, as part of ongoing discussions on how to tackle high energy prices.
Subsequently, Philippe Lamberts, climate advisor to von der Leyen, made comments implying that the marginal pricing system was problematic.
In response, ahead of a meeting of EU governments in the week beginning 16 March, a group of seven member states wrote to the commission warning against market reform.
Their letter says that “no satisfactory alternative model has been identified” and that “all other options discussed would introduce inefficiencies”, compared with sticking to marginal pricing.
Industry group Eurelectric makes similar comments in its own letter, as well as warning about the uncertainty that would be created by market reform. It says:
“Delivering massive investments in clean power generation is the structural answer to reduce our dependence on fossil fuels. Reopening the fundamental principles of market design risks increasing uncertainty, delaying investment decisions and, ultimately, raising system costs.”
Another element to the debate has come from Italian government proposals to subsidise gas plants, in an effort to reduce electricity prices in the country.
The proposal has drawn comparisons with the so-called “Iberian mechanism”, under which the governments of Spain and Portugal subsidised gas power during the 2022 energy crisis.
This support did yield “short-term price relief”, says Chris Rosslowe, senior analyst at thinktank Ember in a post on LinkedIn. However, he says it also had “perverse consequences”, including increasing demand for gas “in the middle of a gas supply crisis”.
These sorts of ideas “would cause a lot of collateral damage” in terms of market efficiency, investor confidence and other areas, says Prof Lion Hirth at the Hertie School in Berlin, in a LinkedIn post.
Jean-Paul Harreman, director at consultancy Montel Analytics, writes in an article on LinkedIn:
“[R]eplacing transparent marginal pricing with political price formation is often like replacing a thermometer because you dislike the temperature reading. It may feel satisfying. It does not change the weather.”
Would it help if more gas were extracted domestically?
In the UK, there has also been intense pressure from opposition politicians and some sections of the media to expand gas production in the North Sea.
Nigel Farage, the climate-sceptic head of Reform UK, was recently quoted by Bloomberg as claiming: “Producing our own gas would reduce everybody’s electricity bills significantly.”
There is no evidence to support this claim.
While the opposition Conservatives have also been loudly calling for an expansion of North Sea drilling, they have been more circumspect about any impact on bills.
Writing in the Daily Telegraph, Conservative leader Kemi Badenoch only indirectly links such an expansion in domestic gas production with lower bills. She writes:
“[P]art of the reason we’re being hit so hard by [the Iran war] is because we are not drilling our own oil and gas thanks to [the government’s] net-zero madness.”
Badenoch’s own shadow energy secretary Claire Coutinho contradicted this idea in 2023, when she was in government. She said at the time that awarding new oil and gas licensing “wouldn’t necessarily bring energy bills down”.
This is because, as the UK’s energy minister Michael Shanks said at a recent event: “We will always be a price taker in international fossil-fuel markets, not a price maker.”
What he is saying is that UK gas production is small relative to the size of the European and global market for the fuel. As such, any increases in UK production would not materially affect prices.
Moreover, North Sea gas production has been in decline for decades and this is set to continue, whether or not the government allows new drilling to take place. This is because much of the gas it once contained has already been extracted and burned.
Would burning less gas stop it setting electricity prices?
The final idea for breaking the link between gas and electricity prices is simply to burn less gas.
This is one of the key motivations behind the UK government’s “clean power 2030” plan, which aims to largely decarbonise electricity supplies by 2030.
The government said when launching its plan:
“These investments will protect electricity consumers from volatile gas prices and be the foundation of a UK energy system that can bring down consumer bills for good.”
In 2026, however, UK electricity prices are still largely dictated by gas prices, as described above.
Yet this does not mean that the expansion of renewables has had no impact. Indeed, analysis by thinktank the Energy and Climate Intelligence Unit (ECIU) suggests that renewables have already reduced UK wholesale electricity prices by a third in 2025.
As more renewable generation is added to the system, the most expensive gas plants in the merit order “stack” are knocked out of the market. Even though another gas plant may still be setting power prices, it will be a cheaper and more efficient unit.
This intermediate impact of renewables is already visible when comparing electricity prices in the UK with those in Italy and Spain, as shown in the figure below.
The figure shows that UK wholesale electricity prices have been lower than those in Italy, as a result of the expansion of renewable sources over the past decade. (Prior to this, wholesale prices were similar in both countries.)
The contrast with prices in Spain is even larger , where Ember says “strong solar and wind growth [has] reduced the influence of expensive coal and gas power on the electricity market”.

The UK is already seeing electricity prices that are “decoupled” from gas prices on windy days. In addition, an increasing amount of electricity is set to be generated by renewable sources that hold “contracts for difference” (CfDs).
CfD projects are paid a fixed price for the electricity they generate, regardless of the price on the “day-ahead” wholesale market. As such, they dilute the impact of gas on consumer bills.
In 2022, when the last energy crisis hit, only 7% of UK generation was covered by CfDs, according to freelance “energy geek” Ben Watts. As of 2026, he says this has climbed to 13%.
By 2030, CfD projects will make up as much as half of total electricity supplies in the UK.
Callum McIver, research fellow at the University of Strathclyde and a member of the UKERC, tells Carbon Brief that CfDs are a “mechanism to decouple bills from the cost of gas”. He adds:
“With significant volumes of new and lower cost renewables on CfDs expected to connect to the system over the next few years, the impact of the scheme on price decoupling should accelerate…This provides an ever increasing hedge against future price shocks.”
Power-purchase agreements (PPAs) can have a similar effect. Here, large users such as industrial sites sign a contract with a power plant to buy the electricity they generate at a fixed price. Again, this takes some electricity out of the wholesale market, diluting the impact of gas prices.
Increases in UK renewable generation are yet to unseat gas from its role in determining electricity prices in most hours of the year, but this shift is starting to have an impact.
Analysis by consultancy Modo Energy suggests that electricity prices in the UK were above the price of gas power in nearly 90% of hours in 2018, a figure that had fallen to below 80% in 2024. Modo’s director Ed Porter said on Twitter: “The link between gas and power prices is weakening.”
In Spain, analysis by Ember shows that the link is well on the way to being completely broken. Ember data shared with Carbon Brief shows that power prices were above the cost of gas power in 52% of hours in 2021, but this had fallen to 15% of hours in 2026 to date.
This data, shown in the figure below, is in stark contrast with Italy, where the influence of gas on electricity prices has actually increased in recent years.

A similar effect would be possible for the UK. Recent analysis from LCP Delta shows that the UK electricity system would be “almost entirely insulated from gas price shocks”, if it reaches the government’s clean-power 2030 targets.
Posting on LinkedIn, Sam Hollister, principal and head of UK market strategy, writes that a spike in gas prices similar to current levels would only increase household bills by 8%, if the 2030 targets are met. In contrast, bills would rise by 45%, if no CfD-backed renewables were on the system.
In his LinkedIn article, Montel’s Harreman concludes:
“The real structural solution to high power prices is not to mute marginal pricing, but to reduce exposure to fossil fuels and accelerate clean capacity, grids and flexibility. That lowers marginal costs structurally rather than cosmetically.”
“Marginal pricing is uncomfortable in volatile times. But discomfort is not evidence of failure. It is often evidence that the system is telling the truth. And, in energy markets, obscuring the truth is usually more expensive than confronting it.”
The post Q&A: Why does gas set the price of electricity – and is there an alternative? appeared first on Carbon Brief.
Q&A: Why does gas set the price of electricity – and is there an alternative?
Climate Change
Despite African walkout, fractious land COP ends without drought deal
The African continent’s hopes for a legally binding agreement to combat drought have been dashed again, as UN land restoration talks in Mongolia passed the issue onto the next set of talks in Egypt in two years’ time.
For over a decade, Africa has pushed for a UN protocol on drought risk management that would acknowledge drought as an issue requiring a regional and global – not just a national – response, potentially paving the way for more finance to help ensure water is available when drought hits.
A formal protocol would enable countries to transition from reacting to drought once it hits to “a proactive enabling mechanism to address drought and its effects such as migration”, said a Tunisian negotiator on behalf of the African Group of countries last week. Once land is regularly too dry and infertile to grow crops or graze animals, people often leave to seek a living elsewhere.
But this effort to adopt a protocol, led by Africa, has been resisted at successive land restoration COPs under the UN Convention to Combat Desertification (UNCCD), mainly by developed countries, which argue that a legally weaker alternative – a framework – would be faster and cheaper to set up.
Governments at the previous COP in Saudi Arabia in 2024 failed to reach agreement despite talks running past midnight, while this year’s saw African officials coordinate a walkout from negotiating rooms on Wednesday morning, according to two sources at the talks.
Drought deal delayed until 2028
The IISD’s Earth Negotiations Bulletin, a non-governmental organisation which unlike the media is allowed to watch and report on closed-door talks, said a call to suspend negotiations on Wednesday showed negotiations had reached “boiling point” and “made some jaws drop”.
Negotiations resumed after a lunchtime meeting with the Mongolian COP presidency although governments were only eventually able to agree that they could not find consensus in Ulaanbaatar and should resume talks on an instrument to deal with drought in 2028.
Christine Colvin, WWF’s head of freshwater policy, told Climate Home News that, with droughts hitting from Honduras to the English region of Hampshire, something concrete – whether a protocol or a framework – is needed urgently “rather than the can being kicked down the road for another two years as will now happen with the protocol procrastination”.

But, in a closing press conference on Friday, the Mongolian minister presiding over talks celebrated that governments had reached consensus on several “contentious” issues and that agenda items blocked at this year’s COP17 would be put on the agenda for COP18 in Egypt.
US blocks agenda items
Other agenda items that divided countries were on measuring land degradation’s effects on women, enhancing the involvement of civil society and women in land COPs, and the UNCCD working more closely and effectively with the UN’s climate and nature conventions.
On the COP’s opening day two weeks ago, the US representative said the Trump government objects to these agenda items “on their premise and no amount of negotiation will allow us to join consensus on these items. As such we request that they be struck from the agenda at which time we will then be able to approve it, saving us valuable negotiating time.”
A US State Department spokesperson later told Climate Home News that the US wants the UN “to get back to basics by refocusing on its core mandate, eliminating overlap, and reducing competition for scarce resources”.
The spokesperson added, “that means prioritising the concrete work member states created [the UN] to do – rather than diverting limited time, attention, and resources toward social and political agendas, including gender-related initiatives.”

On COP’s first day, the European Union and Brazil pushed back against the blocking of these agenda items, with a Brazilian negotiator saying his country attaches “great importance” to them. But the Mongolian presidency directed governments to adopt the rest of the agenda without the controversial items, which were discussed privately with countries throughout the two weeks.
An EU statement, read out later by Irish minister Timmy Dooley, accused “some parties” (meaning national governments) of having adopted a “less constructive approach” and preventing “discussions on important matters from even commencing”.
The agenda items the US refused to engage with were never discussed and were only placed onto the agenda for the next COP on the last day. Those talks will take place in Egypt in two years’ time, with Donald Trump due then to be in his last year as US president.
No restoration without women
The blocking of the gender agenda item has stymied attempts, agreed on by governments at the last COP, to develop gender-specific indicators for the UNCCD’s next overall framework and to facilitate more women delegates at COPs. Women made up only about a quarter of delegates to COP15 in 2022, UNCCD analysis with the latest data shows
Criticising the move to keep gender off the agenda, the EU said in a statement that it welcomes “the attention being given at COP17 to women pastoralists and herders, recognising their contribution to sustainable land management and resilient rural livelihoods”.
The head of the UNCCD, former Egyptian environment minister Yasmine Fouad, said on Friday that “regardless that the agenda item was blocked”, she was proud that she and COP17 President Batmunkh Battsetseg had led the COP as women and attended the gender caucus (a meeting of groups supporting women at the talks).

“Without the women,” she told the closing press conference on Friday, “we will not be able to restore land, restore hope, restore life or restore even our children and grandchildren. And we will keep on pushing that agenda.”
The civil society agenda item aimed to allow NGOs to attend land COP negotiations, as they do at climate COPs, and included terms of reference for an Indigenous Peoples Caucus.
A representative of Indigenous Peoples told the COP’s closing plenary meeting that the group had “deep disappointment that the agenda of this COP has removed the dedicated space for indigenous peoples”. “We cannot restore the land while removing the voices of those who care for it,” she said.
On Tuesday, the UNCCD’s deputy head Andrea Meza was asked about Indigenous Peoples’ participation. She said that the blocking of “one agenda item” is “generating uncertainty in the progress” towards creating caucuses for Indigenous Peoples and for Local Communities within the talks.
Because of the “complex geopolitical situation” making it hard to obtain consensus, coalitions of the willing have become more important, she added.
Mining out, money in
Outside the formal negotiations, the summit was marked by a focus on the strongly Mongolian issues of the role played by pastoralists and rangelands like grasslands, as well as mining, in both degrading and restoring land.
Part of the conference was sponsored by Australian mining company Rio Tinto and its local partner Oyu Tolgoi. Their presence was protested by campaigners wearing T-shirts calling on the companies to “stop wasting drinking water” and to “get out of Mongolia”.

The UNCDD and others praised the success of the summit in raising more finance for land restoration. The COP saw institutions like the Asian Development Bank and Global Environment Facility pledge money to combat land degradation, with the UNCCD estimating that $645 million of new commitments were made.
An estimated $355 billion a year is needed through 2030 to meet global land restoration commitments, compared with around $77 billion currently invested. Private finance accounts for only around 6% of global investment, according to the UNCCD.
UNCCD chief scientist Baron Orr told a press conference that many of the announcements were public-private partnerships that use government money to “even the playing field” for companies that want to protect land, in a bid to ensure they are not disadvantaged compared with those that do not.
Such partnerships are a “huge opportunity”, he said, especially as “we’re not in a moment of public finance – public finance is tight in every country.”
The post Despite African walkout, fractious land COP ends without drought deal appeared first on Climate Home News.
Despite African walkout, fractious land COP ends without drought deal
Climate Change
Pacific islands seek backing for new regional fund ahead of COP31
Burdened by rising fuel import costs and an “ocean crisis” of record-breaking heat, Pacific island nations are seeking to build support for a new regional fund ahead of COP31, intended to channel investment into renewable energy, community resilience and ocean protection, experts said.
Leaders from the 18-member Pacific Islands Forum (PIF), including Australia and New Zealand, are expected to issue a call for global pledges to the Pacific Resilience Facility (PRF) at a high-level meeting this coming week in Palau, seeking to build a new model for financing climate action.
The new regional fund was formally launched in May this year and is meant to “serve communities at a community level”, swiftly channelling investments for their projects on the ground, according to Fiji’s assistant minister for foreign affairs, Lenora Qereqeretabua.
“We are expecting pledges for the PRF, and these funds will go to communities that apply,” she told journalists at an online briefing. “We have organised it in such a way that it makes our application processes much, much easier than applying for global funding.”
Qereqeretabua added that she expects that PRF funds will be “utilised by communities to protect themselves from climate change and the effects of climate change.”
The Pacific Islands Forum meeting is expected to shape the region’s priorities ahead of this year’s pre-COP, hosted by Fiji and Tuvalu, and COP31, which will be co-led by Australia and Türkiye.
At COP31, a dedicated session on the climate finance needs of small island states will seek to drive pledges into the PRF. The fund has so far received about $172 million in capital – with about $67 million coming from Australia – and aims to close the year with $500 million.
Ocean heat and fossil fuel shocks
Leaders from the Pacific will meet in Palau from Sunday amid an “ocean crisis” of record-breaking ocean heat caused by this year’s “super El Niño”, according to Kevin Chand, Pacific ocean policy director at National Geographic’s Pristine Seas conservation project.
Leaders at the PIF are expected to put forward commitments towards new marine protected areas, which will be key for shielding ecosystems from future climate extremes, Chand said. The forum is expected to issue a statement on the need for ocean action at COP31, and announce commitments towards reaching the global goal of protecting 30% of the planet’s land and sea ecosystems by 2030.
Rising ocean heat could lead to food insecurity and lost government earnings in the region, as key fish stocks like tuna start migrating away from their coastline in search of colder waters, said Coral Pasisi, director of climate change and sustainability at the Pacific Community (SPC).
Climate shocks are deepening existing economic pressures, as Pacific nations have spent up to a quarter of their GDP on fossil fuel imports due to the war in Iran, according to a recent report by the University of New South Wales (UNSW) in Australia.
Wesley Morgan, one of the study’s authors, told journalists that partner nations “ought to be putting their money where their mouth is”, and should support the energy transition in the Pacific by covering the upfront costs of switching from polluting diesel to solar power, batteries and electricity grid upgrades.
China keeps Indonesia’s battery dream afloat but future less certain
Given the increase in climate-related shocks and sea-level rise, the PIF should also mention the need to phase out fossil fuel extraction and consumption, said Sindra Sharma, international policy lead at the Pacific Islands Climate Action Network (PICAN).
Last year’s COP30 failed to deliver a global roadmap on transitioning away from fossil fuels, which led to a group of countries – including several Pacific island nations – pursuing their own fossil fuel phase-out summit in Santa Marta, Colombia. Next year’s conference will be hosted by Tuvalu and co-chaired by Ireland, which should also receive backing from the PIF, Sharma said.
Both the chairs of the Santa Marta coalition and the Australian COP31 co-presidency have vowed to continue a push for this topic to be discussed at COP31.

New fund to test allies
As local communities in the Pacific struggle to access global climate funds, the PRF’s planned model for quick, direct disbursements has “very solid and good” intentions, Sharma said, but it will need political and financial backing from donor countries.
“The proof is going to be when the fund actually starts operating and delivering to communities,” she added. “If there is too much bureaucracy in being able to access the funds, for example. These things will have to be scrutinised.”
The facility aims to deliver funds in two categories: one for climate adaptation and “disaster resilience”, and another for social and community resilience that includes areas like community capacity-building, education, data analytics and financial management, among others. It will launch its first call for proposals at the PIF.
Morgan added that Australia will need to “leverage global interests” so that funding is directed to the Pacific Resilience Facility “or else the Pacific won’t be able to trust Australia as a partner”. The country ratified the PRF treaty in May, triggering its entry into force.
“The perception [of Australia] in the region is genuinely divided, and it’s worth being honest about it,” Sharma said, adding that the pre-COP31 in Fiji, which is usually limited to a technical space for negotiations, will determine how meaningful Australia’s advocacy for the Pacific can be.
This time, Pacific nations want to use the pre-COP in early October as an opportunity to demonstrate the challenges their largely low-lying islands face and to advocate for their political priorities, including a renewed global effort to limit global warming to 1.5C by cutting emissions faster and deeper. World leaders are due to visit Tuvalu to experience the frontline of rising sea levels, although Australia and Fiji have yet to confirm who will attend.
“In Bonn, Australia was largely missing on the negotiated outcomes that we so urgently need to see. It’s not enough to get Pacific priorities on the agenda. Agenda placement is not delivery,” Sharma added.
The post Pacific islands seek backing for new regional fund ahead of COP31 appeared first on Climate Home News.
Pacific islands seek backing for new regional fund ahead of COP31
Climate Change
Climate change exposes 580 million children to 20 extra ‘heat-stress days’ every year
More than 40% of children under the age of 10 globally are already experiencing at least 20 additional “heat-stress days” due to climate change.
This is according to a new attribution study, published in Science Advances, which combines climate models with demographic data to assess the age groups and regions that are exposed to the most hot, humid days.
The study finds that children up to the age of nine already face more additional heat-stress days globally as a result of climate change than any other age group.
It adds that south Asia and west Africa are recording the greatest childhood exposure to dangerous levels of humid heat – largely because these regions have a rapidly growing population with the highest proportion of young children.
As the climate warms, children will continue to be more exposed to heat stress than any other age group, the paper warns.
The lead author of the study tells Carbon Brief that the findings should inform discussions about climate justice, noting that children in developing countries “have contributed the least to historical greenhouse gas emissions”.
Humid heat
High temperatures can be deadly. For example, the heatwaves that swept across Europe in the summer of 2026 have been linked to tens of thousands of “excess deaths”.
A prominent 2021 study found that children born in the 21st century will be exposed to more extreme weather events in their lifetimes than their parents and grandparents.
Four years later, a study conducted by scientists from the same team found that more than half of children born in 2020 – around 62 million people – will experience “unprecedented lifetime exposure” to heatwaves, even if warming is limited to 1.5C.
Now, the latest research from the same team finds that children already face greater exposure to dangerous levels of humid heat than adults as a result of human-caused climate change.
Extreme heat is particularly dangerous when combined with high humidity. In hot weather, the human body produces sweat to cool itself down. However, as humidity increases, sweating becomes less effective.
The study uses wet-bulb globe temperature – a measure of temperature that takes humidity and wind into account – to calculate heat stress. It defines a “heat-stress day” as any day with a wet-bulb globe temperature above 28C, as this is considered the threshold for “moderate heat stress”
The authors then use climate models to simulate global temperature patterns in the present-day climate. (The authors use the climate of 2023, in which human activity has caused 1.3C of warming, to represent the “present-day”.)
They then count the number of heat-stress days that each country records on average, per year. The authors then repeat this exercise, simulating a pre-industrial climate without human-caused warming.
By comparing the number of heat-stress days in the present-day climate with the number in a pre-industrial climate, the authors can determine how many extra heat-stress days were driven by climate change. They refer to these as “extra” or “attributable” heat-stress days.
The authors find that “low-latitude” countries, located in the tropics, record the most extra heat-stress days.
For example, the paper finds that people living in Côte d’Ivoire currently face 112 heat-stress days every year. It adds that around half of these are due to human-caused climate change.
In contrast, Germany sees only 0.1 heat-stress days per year in today’s climate on average, which is largely attributable to human-caused climate change.
Rosa Pietroiusti, a PhD student at Vrije Universiteit Brussel and lead author on the study, explains why this number may seem lower than expected.
She tells Carbon Brief that the paper “really focuses on humid heat, at levels that are relatively rarely felt in Europe”. She adds:
“Our data also doesn’t capture the urban heat island effect, due to the resolution of the data we use, which also would lead to underestimations of heat stress locally, and lead to a mismatch with what people are experiencing at local scales, particularly in cities.”
Inequality
Extreme heat affects some people more severely than others. Children, people over 65 and those with pre-existing medical conditions or certain disabilities are among the most vulnerable. This is because their bodies are less able to regulate their temperature.
The authors use gridded demographic data to determine the age structure of each country. From this, they calculate how many people from each age cohort are exposed to extra heat days as a result of climate change.
The research finds that globally, 583 million children under the age of 10 already live through at least 20 attributable heat days every year. This accounts for 44% of all children in this age bracket.
In comparison, 190 million people aged 60-69 face at least 20 attributable heat days per year, accounting for 30% of this age cohort.
The authors find that children face the greatest exposure to humid heat for two main reasons.
First, there are more young people alive today than older people, with 1.3 billion children aged under 10 in the world, compared to 0.6 billion people aged 60-69.
Second, they find that countries in Africa and Asia typically have rapidly growing populations with more young children. In contrast, many countries in the northern hemisphere – which are typically cooler – have older populations.
The map below shows how many extra stress heat days each country currently faces as a result of human-caused climate change. Darker reds indicate a higher number of attributable heat days. The blue circles show the percentage of the population under the age of 10, with larger circles indicating a higher percentage.

Warming world
The authors also repeat their analysis for a 1.5C and 2C warmer world. They use population estimates from the SSP2 scenario, which projects that the world’s population will peak at more than nine billion in the second half of the 21st century, with most growth occurring in low-latitude regions – especially in sub-Saharan Africa.
The research finds that, in today’s climate, 11% of all under 10s currently experience 100 or more extra heat-stress days per year due to climate change. In worlds warmed by 1.5C and 2C, the percentage rises to 13% and 23%, respectively.
In contrast, only 6% of all people aged 60-69 currently face 100 or more extra heat-stress days each year due to climate change. This number rises to 9% and 17% for 1.5C and 2C worlds, respectively.
These results are shown in the plot below. The three rows represent the climates of 2023 (top), a 1.5C world (middle) and a 2C world (bottom). The columns show different age cohorts, from the oldest on the left to the youngest on the right.
Each circle contains 100 coloured dots, with each dot representing 1% of the age cohort.
The colour of the dot represents exposure to annual heat-stress day, with darker dots indicating more heat-stress days. Grey dots mean that people experience fewer than one extra heat-stress day per year due to human-caused climate change, while black dots mean more than 150 extra heat-stress days due to climate change.
The figure shows that higher warming levels expose more people to heat stress and that younger cohorts tend to be worst affected.
For example, the top-right circle represents heat stress for under 10s in the present-day climate. Three of these dots are coloured black, indicating that 3% faced at least 150 attributable heat-stress days in 2023.

Pietroiusti tells Carbon Brief the study uses wet-bulb temperature because it is a “well-established heat stress metric”. However, she notes that it was not “explicitly defined to focus on children”. She continues:
“A really important step forward in the research community would be to link up climate science and health science experts to do research on what metrics are really most representative of, for example, health impacts and educational impacts that children will be suffering.”
Vulnerability
Dr Qinqin Kong, a postdoctoral researcher at the departments of medicine and health policy at Stanford University, who was not involved in the study, praises its “robust” methodology.
He tells Carbon Brief that the research provides “a timely quantitative evidence for discussions of climate justice, children’s rights and intergenerational equity”.
However, Kong suggests that the paper “may overstate the contrast between children and the elderly and underestimate the relative burden of older adults”.
He says:
“The elderly may also be more vulnerable due to their social circumstances. Children often benefit from parental supervision and caregiving, whereas many older adults live alone, have limited mobility and face barriers to accessing cooling or emergency assistance during heat events.”
Kong also notes that “people and societies in the mid-latitudes [for example, across much of Europe and North America] are less adapted to heat”, which may make them vulnerable to its impacts.
For example, he says that Europe “shows substantially stronger relative risk of heat mortality likely due to less heat-acclimatised populations, lower air conditioning prevalence and urban designs that don’t favour heat dissipation”.
Similarly, Dr Daniel Vecellio – a researcher at the University of Nebraska, who was not involved in the study – tells Carbon Brief that children are an “understudied cohort”.
However, he says there is “reason for hope” because “children are typically pretty good behavioural adapters to extreme heat” and because people who are “chronically exposed to extreme heat” will “have a better chance at better acclimatisation”.
Pietroiusti tells Carbon Brief that global reporting on heatwaves is often skewed towards wealthier nations.
For example, she notes that large-scale databases of disasters, such as EM-DAT, often underrepresent heatwaves in Africa, due in part to a lack of news coverage and formal reporting. She adds:
“Studies like this, which start from the climate data, can start to fill some of these gaps.”
She adds that the paper should inform discussions about climate justice, noting that children in developing countries, who are most severely affected by the increase in heat-stress days, “have contributed the least to historical greenhouse gas emissions”.
Pietroiusti, R. et al. (2026) Age-specific exposure to human-induced increases in humid heat, Science Advances, doi:10.1126/sciadv.aeb3232
The post Climate change exposes 580 million children to 20 extra ‘heat-stress days’ every year appeared first on Carbon Brief.
Climate change exposes 580 million children to 20 extra ‘heat-stress days’ every year
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