- Developed countries at the UN’s COP 27 summit agreed to create a “loss and damage” fund for climate change.
- The fund will compensate least developed countries that bear the brunt of climate change.
- The deal comes after 30 years of pushback from countries like the US.
World leaders from developed nations, including the United States, agreed on Sunday to create a fund for the poorest nations at the United Nations COP 27 climate summit in Egypt, reversing 30 years of hesitation to create such a fund, the New York Times. .
According to the Times, the final agreement on a “damage and damage fund” would require 24 countries to work together to sort out the details of who will contribute to the fund, who will receive funds and where the money will go — the U.S. is seeks to rule out China as one of the developing countries that could benefit from the fund.
It also adds a provision that developing countries cannot sue developed countries for these payments.
COP 27, or the Conference of the Parties, is an annual summit organized by the UN to address the negative effects of climate change. Following the UN Framework Convention on Climate Change in 1992, the COP began meeting annually from 1994, making this the 27th summit.
Since the 1992 convention, developing countries have called for a UN-facilitated “damage and damage fund” to be implemented.
The ruling will pave the way for developing countries, which are often the least responsible for the effects of climate change, to be compensated for the losses and damages suffered as a result of richer countries emitting the most greenhouse gases.
Dozens of developing countries, including small island nations such as Vanuatu and much of Africa, pressed the rest of the world during the two-week summit to make progress on the fund. Those countries managed to put it on the official agenda for the first time at an annual COP summit, the Times reported, signaling the urgency of the deal.
Pakistan, a country that experienced deadly floods at the end of summer this year, was one of the countries that lobbied for the fund.
Before this year’s summit, Scotland was the only developed country to offer to start putting money into the “loss and damage” of other nations. Other countries, including the US, have shelved the deal to avoid legal repercussions – a fear experts said is misplaced.
But developing countries in Europe changed course during this year’s climate talks, pledging millions of dollars to help developing countries combat damage and losses as a result of climate-induced natural disasters, the Times reported. After some pushback, the US soon agreed to the fund.
“The announcement offers hope to vulnerable communities around the world struggling to survive climate stress,” Sherry Rehman, Pakistan’s climate change minister, told The Times.