{"id":218874,"date":"2022-12-17T19:32:15","date_gmt":"2022-12-17T14:02:15","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=218874"},"modified":"2022-12-17T19:35:47","modified_gmt":"2022-12-17T14:05:47","slug":"funding-the-energy-transition-indias-g20-presidency-must-follow-lessons-from-cop27","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/funding-the-energy-transition-indias-g20-presidency-must-follow-lessons-from-cop27\/","title":{"rendered":"Funding the energy transition: India\u2019s G20 presidency must follow lessons from COP27"},"content":{"rendered":"\n

Source<\/strong>– The post is based on the article \u201cFunding the energy transition: India\u2019s G20 presidency must follow lessons from COP27\u201d <\/strong>published in The Indian Express <\/strong>on 17th December 2022<\/strong>.<\/p>\n

Syllabus: <\/strong>GS3- Environment<\/p>\n

Relevance<\/strong>– Issues related to climate change<\/p>\n

News<\/strong>– The article explains the issue for funding needed to tackle climate change. It also explains the scope of private capital for climate financing<\/p>\n

What is the difference of approach among countries on climate actions?<\/strong><\/h5>\n

There remains a rift between developing and developed countries. It is on account of asymmetries<\/strong> between the contribution and the financial responsibility<\/strong> assumed for climate change.<\/p>\n

It is estimated that 92% of excess historical emissions<\/strong> are attributable to developed countries. Yet the economic impact of climate change is disproportionately borne by vulnerable developing countries. The 58 vulnerable countries account for 5% of global emissions <\/strong>while the costs incurred are significant.<\/p>\n

What are the issues related to climate financing?<\/strong><\/h5>\n

UNEP <\/strong>estimates that efforts on climate adaptation<\/strong> would require $160-340 billion by 2030. But, current financial flows are inadequate. Developing countries are\u00a0 receiving only a third of what is required.<\/p>\n

COP27 underscored the need to accelerate finance<\/strong>. In its draft decision, the UN highlighted that it will require a transformation of the financial systems, structures and processes<\/strong>. The recognition is not novel and is self-evident from estimated gaps in finance. The 2009 commitment of $100 billion in transfers remains unmet.<\/p>\n

There exist funding mechanisms like Green Climate Fund<\/strong> meant to support adaptation and mitigation<\/strong>. But, there is wide discontent with the pace and extent of access to such facilities. The institutional architecture <\/strong>of multilateral funds has been demonstrably slow to deliver. There is the visible reluctance to contribute among the big economies.<\/p>\n

What is the scope of private capital to finance climate actions? <\/strong>As the public finances <\/strong>are not adequate to fight climate change, private capital will be needed. But for private capital flows, a proper regulatory response <\/strong>is needed by the countries.<\/p>\n

Even as private capital shifts to the green sectors on account of regulatory action, its accessibility<\/strong> for countries will depend on financial expectations.<\/p>\n

We are watching climate actions connected with tax policy<\/strong>. This is evident from the revival of the Financial Transaction Tax in the EU<\/strong>. A general overhaul of tax architecture <\/strong>is inevitable.<\/p>\n

What should be the course of action on climate change for India as it assumes the G20 presidency?<\/strong><\/h5>\n

Then there have been repeated questions as to why India chooses to use the term \u201cphase down\u201d<\/strong> and its slow response. The question of phasing down coal will be asked repeatedly. The learnings from COP27 <\/strong>must inform the G-20 presidency.<\/p>\n

It is also important to remain conscious that dramatic shifts in policy are pursued domestically and not all change is pursued by consensus<\/strong>.<\/p>\n

There needs to be better guidance on the pathway to net zero<\/strong>.<\/p>\n

The principle of common but differentiated responsibility<\/strong> should not be traded for the promise of finance.<\/p>\n","protected":false},"excerpt":{"rendered":"

Source– The post is based on the article \u201cFunding the energy transition: India\u2019s G20 presidency must follow lessons from COP27\u201d published in The Indian Express on 17th December 2022. Syllabus: GS3- Environment Relevance– Issues related to climate change News– The article explains the issue for funding needed to tackle climate change. It also explains the… Continue reading Funding the energy transition: India\u2019s G20 presidency must follow lessons from COP27<\/span><\/a><\/p>\n","protected":false},"author":10320,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[1230,9],"tags":[216,10500],"class_list":["post-218874","post","type-post","status-publish","format-standard","hentry","category-9-pm-daily-articles","category-public","tag-gs-paper-3","tag-indian-express","entry"],"jetpack_featured_media_url":"","views":{"total":0,"cached_at":"","cached_date":1704941250},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/218874","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/10320"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=218874"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/218874\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=218874"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=218874"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=218874"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}