UN urges more funds to tackle climate change

The United Nations climate change watchdog called here Monday for more investment and funds to address climate changes and reduce greenhouse gas emissions.

UN urges more funds to tackle climate change
The United Nations climate change watchdog called here Monday for more investment and funds to address climate changes and reduce greenhouse gas emissions.

In a report presented to a preparation meeting for the UN climate change summit slated to be held in Bali of Indonesia in December, the secretariat of the United Nations Framework Convention on Climate Change (UNFCCC) said additional investment and financial flows of 200 to 210 billion U.S. dollars will be needed each year by 2030 in order to maintain greenhouse gas emissions at current levels.

The UN climate change watchdog said the developing countries need a large share of investment and financial flows because of their expected rapid economic growth.

"If the funding available ... remains at its current level and continues to rely mainly on voluntary contributions, it will not be sufficient," the report warns.

On Monday, more than 1,000 delegates from over 100 countries gathered in the Austrian capital for the preparation meeting for the UN climate change summit in Bali, which will focus on the financial and economic aspects of battling climate change.

According to the UN report, while the estimated investment flows to developing countries in 2030 represent 46 percent of global needs, the resulting emission reductions achieved by these countries in 2030 would amount to 68 percent of global emission reductions.

The report said additional financial flows needed in 2030 for adapting to climate change impacts amount to several tens of billions of dollars, in particular, in sectors and countries that are already highly dependent on external support, as well as in the least developed countries.

The UNFCCC believes addressing climate change in the next 25 years will require significant changes in the patterns of investment and financial flows.

"The study shows us that a conscious effort to shift from traditional investment to more climate-friendly alternatives will require governments to adopt new policies and change the way they use their funds," UNFCCC Executive Secretary Yvo de Boer said before the meeting.

"The required shift in future investment and financial flows needs a combination of actions by the intergovernmental process under the UNFCCC and national governments," explained de Boer.

Earlier, the UN climate change watchdog said in a report that the additional amount of investment and financial flows in 2030 will amount to between 1.1 to 1.7 percent of the global investment.

According to the UNFCCC, one key way of enabling increased funding is by means of the carbon markets.

The carbon market spawned by the Kyoto Protocol and policies to promote renewable energies are already playing an important role in shifting investment flows.

Activities in the Protocol's Clean Development Mechanism (CDM) alone are estimated to have generated investment of around 25 billion U.S. dollars in 2006.

The CDM permits industrialized countries to invest in sustainable development projects in developing countries and thereby generate tradable emission credits.

"This is indicative of how quickly investment flows can respond to changes in policies and incentives. A long-term international agreement on climate change will broaden the range of mitigation measures that are attracting investments and could allow the expansion of existing market mechanisms to a market of 100 billion U.S. dollars per year," de Boer said.

During the upcoming five days, the Vienna meeting will debate on the UN report.

Big parties, including the European Union, China, and South Africa, will present their own proposals to the meeting.

Agencies

Last Mod: 27 Ağustos 2007, 18:05
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