COP29 closes: New Collective Quantified Goal on Climate Finance in effect

UN Climate Change News, 24 November 2024 – The UN Climate Change Conference (COP29) closed today with a new finance goal to help countries to protect their people and economies against climate disasters, and share in the vast benefits of the clean energy boom.

With a central focus on climate finance, COP29 brought together nearly 200 countries in Baku, Azerbaijan, and 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 [upon] 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.”

“It will keep the clean energy boom growing, helping all countries to share in its huge benefits: more jobs, stronger growth, cheaper and cleaner energy for all.”

The International Energy Agency expects global clean energy investment to exceed USD 2 trillion for the first time in 2024.

The new finance goal at COP29 builds on significant strides forward on global climate action at COP27, which agreed [on] an historic Loss and Damage Fund, and COP28, which delivered a global agreement to transition away from all fossil fuels in energy systems swiftly and fairly, triple renewable energy and boost climate resilience.

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.

Stiell also acknowledged that the agreement reached in Baku did not meet all Parties’ expectations, and substantially more work is still needed next year on several crucial issues.

“No country got everything [it] wanted, and we leave Baku with a mountain of work to do,” said Stiell. “The many other issues we need to [see] progress [on] may not be headlines but they are lifelines for billions of people. So this is no time for victory laps, we need to set our sights and redouble our efforts on the road to Belem.”

The finance agreement at COP29 comes as stronger [Nationally Determined Contributions, or NDC (national climate plans)] become due from all countries next year. These new climate plans must cover all greenhouse gases and all sectors, to keep the 1.5°C warming limit within reach. COP29 saw two G20 countries – the UK and Brazil – signal clearly that they plan to ramp up climate action in their NDCs 3.0, because they are entirely in the interests of their economies and peoples.

“We still have a very long road ahead, but here in Baku we took another important step forward,” said Stiell. “The UN Paris Agreement is humanity’s life-raft; there is nothing else. So here in Baku and all of the countries represented in this room we’re taking that journey forward together.”

For more, access to the “COP29 Conference Agrees to Triple Finance to Developing Countries, Protecting Lives and Livelihoods,” Nov. 24, 2024 United Nations Climate Change news release can be had here.

Corresponding, connected home-page-featured image: UN Climate Change | Lucia Vasquez Tumi

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