India Urges Action on Climate Finance at COP29: A Call for Justice for the Global South  

The ongoing COP29 climate summit has highlighted the pressing need for enhanced financial commitments from developed countries to address the mounting climate challenges faced by vulnerable nations in the Global South. India has underscored this urgency, emphasizing that the talks represent a critical opportunity for nations most affected by climate change to adopt ambitious mitigation and adaptation measures. During key discussions, India reiterated its demand for the rich world to mobilize a minimum of $1.3 trillion annually to support developing nations in combating the climate crisis.

At Thursday’s High-Level Ministerial on Climate Finance, Naresh Pal Gangwar, India’s lead negotiator, firmly opposed efforts to dilute the financial responsibilities of developed nations under the Paris Agreement. He criticized the significant presence of fossil fuel interests at the summit, describing it as a distraction from the core objectives of climate action. Gangwar called for the financial support to come in the form of grants, concessional finance, and non-debt-inducing mechanisms to avoid further burdening developing nations that are already grappling with climate-induced adversities.

“We are at a crucial juncture in our fight against Climate Change. What we decide here will enable all of us, particularly those in the Global South, to not only take ambitious mitigation action but also adapt to Climate Change,” Gangwar stated, stressing the devastating impact of extreme weather events on vulnerable populations.

Upholding Historical Responsibilities

India took a strong position against redefining the New Collective Quantified Goal (NCQG) on climate finance. This goal is set to succeed the Paris Agreement’s $100 billion annual target, a promise made in 2009 that remains unfulfilled. Gangwar insisted that the NCQG must remain a unidirectional commitment from developed to developing countries, as originally outlined in the Paris Agreement. “NCQG cannot be changed into an investment goal when it is a unidirectional provision and mobilisation goal from the developed to the developing countries,” he emphasized. “Bringing in elements of any new goal, which are outside the mandate of the convention and its Paris Agreement, is unacceptable.”

India’s concerns centered on two key issues: the shift of financial obligations from public sources in developed countries to private investment mechanisms and the need to uphold the principle of historical responsibility, which holds wealthier nations accountable for their disproportionate contributions to global emissions.

This stance resonated strongly with other developing nations, particularly the African Group of Negotiators (AGN), which echoed India’s demands. “We are standing firm against attempts to re-define Paris Agreement’s obligations. The funding commitments by developed nations remain binding. For Africa and other developing nations, the $1.3 trillion is essential for achieving climate adaptation, resilience, and emissions reductions,” said AGN chair Ali D Mohamed, highlighting the collective resolve of the Global South.

A Test for Future Ambitions

India’s remarks also pointed to the importance of making tangible progress at COP29 as a precursor to COP30, set to be hosted by Brazil. At COP30, nations are expected to submit updated Nationally Determined Contributions (NDCs), a key mechanism for advancing global climate goals. However, the persistent failure of developed countries to meet existing financial commitments has dampened expectations.

“We have a common time frame for expressing ambitions every five years. There is a similar need in terms of Climate Finance. We are very hopeful that developed countries will realise their responsibility to enable enhanced ambitions and make this COP29 a success,” Gangwar said.

The outcome of the ongoing financial discussions will play a pivotal role in determining whether the global community can meet the objectives of the Paris Agreement. Current estimates suggest the world has already reached 1.3°C of warming above pre-industrial levels, nearing the critical 1.5°C threshold established in the accord.

Private Sector Finance Falls Short

The reliance on private sector funding as a solution to climate finance gaps has come under scrutiny. A recent report by Oil Change International revealed that low- and lower-middle-income countries, representing 42% of the global population, received only 7% of clean energy investments in 2022. The analysis also debunked the assumption that public finance could significantly leverage private investment, showing that each dollar of public funds attracted only 85 cents in private financing on average. For low-income countries, this figure dropped to 69 cents.

These findings challenge the developed nations’ emphasis on mobilizing private investment as a substitute for direct public financing. The report underscores the inadequacy of private sector contributions to meet the urgent and large-scale financial needs of vulnerable nations.

Fossil Fuel Interests Under Scrutiny

The COP29 talks have also been overshadowed by concerns over the influence of the fossil fuel industry. Analysis by the Kick Big Polluters Out (KBPO) coalition revealed that at least 1,773 fossil fuel lobbyists are attending the summit, surpassing the delegation sizes of most participating countries. Only Azerbaijan, COP30 host Brazil, and Türkiye have sent larger contingents.

“The fossil fuel lobby’s grip on climate negotiations is like a venomous snake coiling around the very future of our planet,” said Nnimmo Bassey, a representative of KBPO. The coalition has called for an end to the industry’s influence on global climate discussions, warning that their presence undermines the credibility and effectiveness of the negotiations.

KBPO’s analysis was based on the UNFCCC’s provisional participant list, cross-referenced with fossil fuel lobbying records from previous COPs and external registers. The growing representation of fossil fuel interests has raised alarms among climate activists and negotiators alike, who fear that the industry’s involvement may derail efforts to achieve meaningful outcomes.

A Crucial Moment for Global Climate Action

As COP29 unfolds, the demands of India and other developing nations reflect a broader call for justice and equity in climate action. The Global South, bearing the brunt of climate impacts despite contributing the least to global emissions, is seeking not just acknowledgment but concrete support from wealthier nations.

India’s firm stance, supported by the African Group of Negotiators and other developing countries, highlights the critical need for developed nations to fulfill their financial obligations. With the Paris Agreement’s goals hanging in the balance and the planet nearing dangerous levels of warming, the decisions made at COP29 could shape the trajectory of global climate action for years to come.