Ms. Shweta Tyagi*
The 29th Conference of the Parties (COP29) to the United Nations Framework Convention on Climate Change, held in Baku, Azerbaijan, from November 11 to 22, 2024, marked a pivotal moment in global climate negotiations. This year’s conference was characterized by a strong emphasis on climate finance, adaptation strategies, and the operationalization of the Loss and Damage Fund. One of the most significant developments was the discussion surrounding the New Collective Quantified Goal (NCQG), aimed at establishing a financial target to support developing countries in their climate efforts post-2025.A more generous cash settlement at COP29 would undoubtedly have had a positive knock-on effect on those efforts. And at a time of geopolitical uncertainty and distraction, keeping countries united on climate should be critical. The big fight over money re-opened old divisions between rich and poor, with an anger and bitterness I have not seen in years.
Shepherding 200 nations to an intricate deal on climate finance was always going to be a tough task, but for hosts Azerbaijan a country with no real history of involvement in the COP process, it proved to be almost beyond them. COP29 attracted over 55,000 participants, including representatives from nearly 200 countries, civil society members, businesses, Indigenous Peoples, youth, and international organizations. Notably, dedicated spaces were created for youth engagement, allowing children as young as 10 to participate actively in discussions. The conference took place at the Baku Stadium, which served as the main hub for negotiations and discussions. It encompassed multiple sessions, including the 29th session of the Conference of the Parties (COP), the 19th meeting of the COP serving as the Meeting of the Parties to the Kyoto Protocol (CMP), and the sixth meeting of the COP serving as the Meeting of the Parties to the Paris Agreement (CMA).
The opening session, led by COP28 President Sultan Al Jaber, emphasized the urgent need for unity and action among nations. He called for contributions to the Loss and Damage Fund and highlighted the importance of establishing a robust New Collective Quantified Goal (NCQG) for climate finance. COP29 President Mukhtar Babayev echoed this sentiment, describing COP29 as an “unmissable moment” for delivering a fair and ambitious NCQG that would signal to financial markets the seriousness of climate commitments. He stressed that the upcoming round of Nationally Determined Contributions (NDCs) should be informed by the outcomes of the first Global Stocktake (GST), particularly regarding a just transition away from fossil fuels.
With a central focus on climate finance, COP29 reached a breakthrough agreement that will:
- Triple finance to developing countries, from the previous goal of USD 100 billion annually, to USD 300 billion annually by 2035.
- Secure efforts of all actors to work together to scale up finance to developing countries, from public and private sources, to the amount of USD 1.3 trillion per year by 2035.
Known formally as the New Collective Quantified Goal on Climate Finance (NCQG), it was agreed after two weeks of intensive negotiations and several years of preparatory work, in a process that requires all nations to unanimously agree on every word of the agreement.
“This new finance goal is an insurance policy for humanity, amid worsening climate impacts hitting every country,” said Simon Stiell, Executive Secretary of UN Climate Change. “But like any insurance policy – it only works – if premiums are paid in full, and on time. Promises must be kept, to protect billions of lives.”
The International Energy Agency expects global clean energy investment to exceed USD 2 trillion for the first time in 2024. Steering towards the same, COP29 also reached agreement on carbon markets – which several previous COPs had not been able to achieve. These agreements will help countries deliver their climate plans more quickly and cheaply, and make faster progress in halving global emissions this decade, as required by science.
Article 6 of the Paris Agreement
A notable achievement in recent weeks has been the progress made in the realm of carbon markets. After nearly a decade of discussions, countries have reached an agreement on the fundamental elements that will regulate the functioning of carbon markets under the Paris Agreement, thus enabling effective trading between nations and the establishment of a carbon crediting mechanism.
Concerning the trading of carbon credits between countries (Article 6.2), the resolution from COP29 elucidates the procedures through which nations will authorize the exchange of these credits and the operation of registries that oversee these transactions. Additionally, there is now a commitment to maintain environmental integrity through upfront technical reviews conducted transparently.
On the first day of COP29, nations set forth standards for a centralized carbon market under the UN (Article 6.4 mechanism). This development is particularly beneficial for developing countries, as it will encourage new financial investments. It is especially advantageous for the least developed nations, which will receive essential capacity-building support to help them engage in the market.
This mechanism, known as the Paris Agreement Crediting Mechanism, is based on mandatory assessments for projects that comply with rigorous environmental and human rights standards, including safeguards that ensure a project cannot proceed without the explicit and informed consent of Indigenous Peoples. Furthermore, it establishes a framework for individuals impacted by a project to appeal decisions or file complaints.
The text ratified for Article 6.4 includes a clear mandate for the UN carbon market to adhere to scientific principles. It requires that the body responsible for implementing this market must take into account the best available scientific evidence in all future activities.
Transparency
Significant progress in transparent climate reporting was made in Baku, which has contributed to a stronger evidence base that will improve climate policies over time and aid in identifying financing needs and opportunities. To date, 13 Parties have submitted their first Biennial Transparency Reports (BTR), a requirement for all Parties by the end of the year. Andorra, Azerbaijan, the European Union, Germany, Guyana, Japan, Kazakhstan, Maldives, Netherlands, Panama, Singapore, Spain, and Türkiye have taken the initiative in transparent climate reporting, establishing a standard for others to follow. The compilation of submitted BTRs is being continuously updated.
Moreover, all transparency negotiation items were successfully resolved at COP29, with Parties expressing appreciation for the timely completion of the Enhanced Transparency Framework (ETF) reporting tools, the technical training sessions, and the support provided to developing countries for ETF reporting that took place in 2024.
A total of 42 events were organized under the #Together4Transparency initiative, a collaborative effort by UNFCCC aimed at enhancing climate transparency among Parties and non-Party stakeholders. These events emphasized the critical role of transparency in developing Nationally Determined Contributions (NDCs) and net-zero strategies, as well as in recognizing climate actions from non-Party stakeholders. The events included high-level discussions, mandated meetings, and training sessions designed to prepare countries for their BTRs and to equip technical experts for the upcoming review process.
The significance of REDD+ was highlighted by a £3 million commitment from the UK International Forest Unit to support UN Climate Change initiatives over the next four years. This funding will bolster REDD+ activities in various countries, enabling the secretariat to create dedicated forums for REDD+ experts to engage in technical discussions. These initiatives are expected to enhance transparency and implementation.
Adaptation
COP29 marked a pivotal moment for adaptation, yielding several important results. The Adaptation Fund reported contributions totaling only $61 million, falling short of the annual target of $300 million, which underscores a considerable adaptation finance shortfall, estimated to reach as high as $359 billion. A decision made at COP concerning the least developed countries (LDCs) includes a provision for establishing a support program designed to assist in the implementation of National Adaptation Plans (NAPs) for these nations. Extensive discussions took place among parties regarding the second five-year assessment of progress in developing and executing NAPs, with intentions to continue this dialogue in June 2025. A High-Level Dialogue on National Adaptation Plans convened ministers from LDCs and small island developing states, alongside financial experts and international donors, to address the urgent need for climate adaptation. Their discussions focused on innovative financing, technical assistance, and the acceleration of actions required to meet the 2025 deadline for NAP submissions. The event concluded with a strong call to action aimed at hastening NAPs and transforming plans into tangible outcomes.
The results concerning the global goal on adaptation delineate a clear path leading to COP30, establishing a work program for indicators that enables experts to enhance their technical efforts prior to transferring responsibilities to the Parties. Furthermore, COP29 launched the Baku Adaptation Road Map and the Baku high-level dialogue on adaptation to strengthen the implementation of the UAE Framework. Ultimately, the outcome raises ambition by agreeing to further investigate transformational adaptation in the future.
COP29 also made notable progress in elevating the voices of Indigenous Peoples and local communities in climate action, adopting the Baku Workplan and extending the mandate of the Facilitative Working Group (FWG) of the Local Communities and Indigenous Peoples Platform (LCIPP). The decision acknowledges the FWG’s achievements in promoting collaboration among Parties, Indigenous Peoples, and local communities, while emphasizing the leadership role of these groups in tackling the climate crisis.
Gender and Climate Change
Countries reached a consensus on the issue of gender and climate change, extending the enhanced Lima Work Programme on Gender and Climate Change for an additional decade. This decision underscores the significance of gender equality and promotes the integration of gender considerations across the convention.
Furthermore, they committed to formulating a new gender action plan to be adopted at COP30, which will outline the framework for effective implementation.
Civil society participation, children and youth
World leaders at COP29 were accompanied by representatives from civil society, sub-national entities, businesses, Indigenous Peoples, youth, philanthropic organizations, and international bodies. The event attracted over 55,000 attendees who came together to exchange ideas, propose solutions, and forge partnerships and coalitions.
The resolutions made at COP29 underscored the vital need to empower all stakeholders in climate action, particularly through Action for Climate Empowerment (ACE). Participants acknowledged the significance of incorporating ACE components into national climate change policies, plans, strategies, and actions, and referenced the secretariat’s compilation of best practices for integrating ACE elements into Nationally Determined Contributions (NDCs).
A notable achievement of COP29 was the establishment of dedicated spaces to facilitate the meaningful involvement of children in the Youth-led Climate Forum for the first time. Four children, including the youngest participant at merely 10 years old, served as moderators and speakers, directly engaging with Parties and observer organizations. Their involvement underscored the importance of inclusivity and intergenerational collaboration in advancing climate action.
Alongside the formal negotiations, the Global Climate Action space at COP29 offered a venue for governments, businesses, and civil society to collaborate and present their practical climate solutions. A summary of these initiatives is available here.
The High-Level Champions, as part of the Marrakech Partnership for Global Climate Action, unveiled their 2024 Yearbook of Global Climate Action at COP29. This publication illustrates how climate initiatives by non-Party stakeholders, including businesses, investors, sub-national actors, and civil society, are propelling progress toward the objectives of the Paris Agreement, emphasizing the increasing importance of their engagement.
In addition to these highlights, Multilateral development banks pledged to increase climate-related lending significantly. For instance, the World Bank and European Investment Bank committed to $120 billion annually for low- and middle-income countries, while the Asian Development Bank announced $7.2 billion in additional investments.
India Water Foundation at COP-29
The High-Level Policy Dialogue on Water Transversality for Climate Adaptation and Resilience
On Monday, November 18, 2024, a High-Level Policy Dialogue on Water Transversality for Climate Adaptation and Resilience an official side event organized by India Water Foundation in collaboration with Earth savers movement, Gorakhpur Environmental Action Group, Nigerian Conservation foundation, Startup Nation central and Womenvai was convened in Baku, Azerbaijan. The event, scheduled from 16:45 to 18:15 Baku time, brought together esteemed experts and stakeholders to discuss the pressing issue of global water security.
The dialogue was introduced and moderated by Shweta Tyagi, Chief Functionary of the India Water Foundation, who welcomed the participants and highlighted the benefits and co-benefits of water and water ecosystem management and how it allows for more targeted climate finance and raise awareness for the role of water for both climate mitigation and adaptation as well as resilience building. Dr. Arvind Kumar, President of the India Water Foundation, delivered the opening remarks, providing an overview of the session and emphasizing the importance of water transversality in addressing climate change. He further said, that optimized financing, improved data and information; enhanced capacity, innovations and enhanced governance when all of it comes together it is called transversality approach. All these accelerators need to be filled with actions by all actors.
The dialogue featured a distinguished panel of experts, including:
– Meike van Ginneken, Water Envoy, Government of the Netherlands
– Ms. Nivedita Mani, Gorakhpur Environmental Action Group
– Dr. Zahra Khan, Women’s Environmental Network
– Mrs. Cecile Guidote-Alvarez, Earth Savers Movement, UNESCO Artist for Peace
– Dr. Joseph Onoja, Director General, Nigerian Conservation Foundation
– Representative from Start-Up Nation Central
-Representative from Womenvai
-Mr. Barak Graber, Director, Mekorot
Each panelist shared their insights and expertise on water transversality, climate adaptation, and resilience. The discussions highlighted the need for integrated approaches to address the complex challenges facing global water security.
The dialogue emphasized the importance of collaboration and partnerships among diverse stakeholders, including local communities, water agencies, utilities, and policymakers. The experts stressed that a holistic and cross-cutting approach to water management is essential for building resilient water systems and accelerating climate actions.
This High-Level Policy Dialogue marked a significant step towards fostering global cooperation and knowledge sharing on water transversality and climate resilience. The discussions and recommendations emanating from this event are expected to inform policy decisions and shape the future of water management and climate action.
India’s Stance on Climate Finance
India recently expressed strong objections to the new climate finance deal finalized at the COP29 UN Climate Change Conference in Baku, Azerbaijan. India felt that the deal prioritized mitigation over securing adequate climate finance, which is crucial for developing countries. India emphasized the need for a balanced approach to climate action, stressing that mitigation ambitions must be supported by adequate finance and technology.
India’s concerns centered around four key areas: the New Collective Quantitative Goal (NCQG), which India felt didn’t provide sufficient grant-based concessional climate finance; mitigation, where India protested against changing the scope of the Mitigation Work Programme; just transition, where India declined to accept any renegotiation of the shared understanding; and adaptation, where India highlighted the need for indicators on means of implementation.
India rejected the deal, along with other developing countries like Bolivia, Nigeria, and Cuba, citing concerns that it didn’t meet their priorities and demands. Although their rejection doesn’t have legal implications, it underscores the need for a more inclusive and equitable approach to climate finance.
Why India opposed the deal?
India’s, and many other developing countries’, opposition to the final NCQG decision have been majorly on three counts. First, the quantum of the amount is too little, second it comes too late and third the decision dilutes the responsibility of the developed countries under the Paris Agreement.
India also collaborated with various agencies to organize side events on several aspects of climate action during the CoP29 UN Climate Change Conference at Baku, Azerbaijan, from 11th-22nd November, 2024. India participated in these side events and shared experiences/initiatives to deal with the climate challenges.
Several key side events were held during the UNFCCC-CoP29, focusing on crucial aspects of climate action. One such event, “Integrating Disaster Resilient Infrastructure into Adaptation Strategies,” emphasized the importance of incorporating disaster risk reduction into national adaptation strategies. The discussion highlighted the need for holistic approaches to resilient infrastructure development, which can play a critical role in strengthening the global climate adaptation agenda.
Another significant event was the LeadIT Summit 2024, which marked the fifth year of the Leadership Group for Industry Transition (LeadIT). The summit brought together governments, industries, and stakeholders to discuss industrial low-carbon transition, innovation, and public-private partnerships. The event underscored the shared commitment of LeadIT’s members to aligning industry with the Paris Agreement.
The India-Sweden Industry Transition Partnership (ITP) was also showcased, highlighting progress made under this partnership and its links to the Brazil-UK Industry Decarbonisation and Hydrogen Hubs. The discussion emphasized the importance of swift transition to renewable energy resources to confront climate change threats and ensure a stable energy future.
Other notable events included “Unlocking Investments for Climate Resilient and Sustainable Infrastructure in Small Island Developing States (SIDS)” and “Solarizing Communities through Women-led Climate Action.” These events focused on enhancing energy security, mitigating emissions, and fostering equitable development in the Global South, as well as promoting women-led clean energy solutions and gender-balanced approaches to climate action.
Way Forward:
Developed countries must fulfill their commitment to mobilize $300 billion annually by 2035, with a balanced allocation between mitigation and adaptation. Countries should prioritize adaptation planning, implementation, and finance, with a focus on vulnerable communities and ecosystems. The fund should be fully operationalized, with clear guidelines and procedures for accessing and utilizing funds. Countries should continue to develop and refine carbon markets and non-market approaches, ensuring environmental integrity and transparency. Countries should enhance transparency in their climate actions, progress, and support, with robust accountability mechanisms to ensure compliance. Climate policies and actions should prioritize the needs and rights of vulnerable groups, including Indigenous Peoples, women, and children. Countries should foster global cooperation, partnerships, and knowledge sharing to accelerate climate action and achieve the goals of the Paris Agreement. Climate policies and actions should be guided by principles of climate justice, human rights, and sustainable development.
Overall, COP29 served as a critical platform for addressing ongoing challenges in global climate governance. While significant pledges were made towards climate finance and adaptation efforts, persistent disagreements over funding amounts and responsibilities between developed and developing nations remain a barrier to achieving collective climate goals. The outcomes from this conference will undoubtedly influence future negotiations leading up to COP30, reinforcing the urgent need for collaborative action in combating climate change.
*Chief Functionary, India Water Foundation
