HomeCarbon NewsUnresolved Decarbonization and the Rising Tensions for the Upcoming COP28

Unresolved Decarbonization and the Rising Tensions for the Upcoming COP28

Climate talks in Bonn, Germany kicked off this month where diplomats around the globe meet to agree on a common agenda for the next big UN climate summit, COP28, taking place in Dubai in November. 

However, negotiators parted ways with some decarbonization issues left hanging. These particularly include climate finance and how quick emissions cuts must be done formally known as the Global Stocktake

Global Stocktake provides a picture of where the world is in addressing climate change, where it needs to go, and how to get there.

The Bonn delegates have the huge task to lay the groundwork for the Global Stocktake before its finalization at COP28. But early in the two-long-week talks, tensions were high as negotiators couldn’t agree on the agenda. 

This prompted the climate conference’s co-chair Nabeel Munir to call the diplomats “a class of primary school”.

Here are the key issues that caused agenda woes and disputes among delegates.

Where Are We Right Now in Cutting Emissions? 

The Global Stocktake is a key element of the Paris Agreement that will inform the next round of climate pledges by countries. It’s a critical turning point when it comes to national efforts in reducing carbon emissions to tackle climate change. 

In other words, it’s a defining moment to take a deeper look at the state of the Earth and chart a better course ahead. It will help nations bolster their ambition as necessary to avoid more global warming. 

The first talks on Global Stocktake also happened in Bonn in June last year. The second one took place at COP27 in Egypt, while this is the third one it’s discussed for COP28. 

To have the final output of the Global Stocktake (GST), here’s how it will go for the participating parties:

global stocktake in Bonn climate talks
Mapping of the indicative elements of Global Stocktake (GST) outputs with Paris Agreement Article 7.14 mandates (Source: NAP Global Network)

There’s a common understanding that countries aren’t on track to achieve their climate goals. These targets even fall short to meet the 1.5°C warming threshold. And so, the Global Stocktake was designed to bring countries back on the right course in addressing the climate crisis.  

Only decided upon on the last day of the Bonn talks, negotiators were able to draft a framework for the Global Stocktake with these key areas:

Global Stocktake Draft Framework

But there were significant disagreements on some points discussed within Global Stocktake (third section) among delegates. And one of them is on climate finance.

Climate Finance: The Most Disputed Agenda 

Since the Paris Accord in 2015, the Dubai COP28 will see the UN publish the Global Stocktake for the first time. But disputes arise on how to incorporate finance and support. 

In the words of a delegate from a global nonprofit organization, “Progress was underwhelming on nearly every front, with one main culprit: money.”

While climate finance isn’t directly part of the agenda, it casts a shadow over the talks. 

During the conference, low-income nations expressed frustrations on the funds promised by rich countries that didn’t come. The $100 billion 2020 pledge by wealthy developed nations to finance developing countries’ climate actions remains unmet. 

Meanwhile, there’s a new post-2025 climate finance target to help developing nations cut their carbon emissions and improve climate resilience. They call it the “new collective quantified goal” (NCQG) that’s the agenda for COP29 in 2024. 

Yet, discussions for this new climate finance goal in Bonn were so technical.

The general sense is that rich nations, particularly the U.S. and the EU, are trying to avoid specific talks on climate finance. 

For instance, the US wants to make developing nations also rely on private financing and suggest including wealthy developing nations in the list of climate finance donors. These include China and the Gulf states, in particular. 

For Tom Evans of E3G, developed countries are using that as a shield to block talks on climate finance at Bonn. He remarked that they’re bothered that “the more we talk about financial flows, we’re literally talking about ending fossil fuel investment.”

Commenting on this issue, Harjeet Singh from Climate Action Network tweeted that wealthy nations showed indifference toward developing countries. She further asserted that:

“Let’s be clear: without honouring their financial pledges—directly tied to their historical role in driving the climate crisis—these affluent nations lack the moral authority to exert pressure on poorer countries.”

That climate money is not only due to developing nations; it’s also critical to ensure a transition to a renewable energy system for all. 

The COP for Global Stocktake

Looking forward to COP28, many believe it would be a big fight between the rich and the poor countries over climate finance. 

Others dub this year’s climate summit as “Global Stocktake COP”.

After Bonn climate talks, there will be a summary report on the 3rd meeting of the Global Stocktake’s technical dialogue by August. Then a synthesis report ensues by September that brings together all the assessments of the entire 3rd Global Stocktake dialogue. All these in preparation for COP28 final talk. 

In his closing speech, the UN Climate Change secretary Simon Stiell noted that pledges and implementation are far from enough. Thus, “the response to the Global Stocktake will determine the success of COP28 and, far more importantly, success in stabilizing our climate”, he adds. 

Most Popular

Tesla Signs A Landmark Multi-Billion Dollar 15 GWh Megapack Deal

While Tesla's energy storage segment is smaller than its automotive business, it has been experiencing significant growth. This segment has rapidly accelerated and expanded...

Nickel Market in Turmoil: BHP to Halt Operations Due to Price Plunge

In recent developments within the global nickel market, the trajectory of prices has undergone a significant downturn. Consequently, nickel prices have plummeted from the highs...

HSBC Opens New Unit For Low-Carbon Finance, Alongside $1 Trillion Pledge

Global financial services group HSBC is launching a new business unit, HSBC Infrastructure Finance (HIF), to focus on infrastructure financing and project finance advisory...

Sungrow and Algihaz Join Forces for 7.8 GW Energy Storage in Saudi Arabia

Sungrow Power Supply, a Chinese photovoltaic inverter manufacturing giant recently announced to partner with Saudi Arabia’s Algihaz Holding for a massive energy storage project....

The Ultimate Guide to Understanding Carbon Credits

Everything you need to know about carbon credits, voluntary and compulsory carbon markets, and carbon investment...

Top 4 Carbon Stocks To Watch In 2024

Carbon stocks, credits and capture technology are getting a lot of interest from investors. Companies will attract even more capital in 2023.

What Is COP28? Key Issues to Watch Out at 2023 Climate Summit

After a record-breaking year of devastating effects of climate change, from record wildfires in Greece and Canada to floods in Libya, the United Nations...

Climate Disclosure: New Corporate Standards for a Net Zero World

As part of the world’s continued efforts to combat climate change and transition towards net zero, one important piece of the puzzle is new...