Fast Tracking of COP28 in the UAE

Leaders and delegates of almost 200 countries of civil society, business and finance gathered in Dubai from November 30 to December 12 for the COP28 climate conference. Their aim is fast-tracking the transition to a clean-energy future.

COP28 took stock of the Paris Agreement with over 120,000 attendees in Dubai and created several key initiatives to foster climate action. Though we are way off target, the Global Stocktake of COP28 being adopted is a flicker of hope to help us keep the 1.5C within reach.

To meet the agreed Paris goals of 1.5C, the global greenhouse gas emissions need to be cut by 43% by 2030. While energy consumption accounts for 75% of greenhouse gases, the poorest nations that make up half of the world’s population only contribute to 12% of emissions.

Let us investigate what are some of the most important decisions made at COP28:

1. 𝗖𝗹𝗶𝗺𝗮𝘁𝗲 𝗙𝗶𝗻𝗮𝗻𝗰𝗲

A $30 billion fund for global climate solutions has been created that will look to attract $250 billion by the end of the decade. Countries have also announced $200 million for SDRs and $150 million for water security.

In addition to this, COP28 parties pledged to create a $700 million loss and damage fund to assist lower-income countries. This worked towards the creation of 10 principles to make finance more available, accessible, and affordable. Similarly, there is scope to reform the International Financial Institutions and Multilateral Development Banks to ensure that climate finance grows at scale with its ambition to streamline climate action.

2. 𝗠𝗲𝘁𝗵𝗮𝗻𝗲 𝗥𝗲𝗱𝘂𝗰𝘁𝗶𝗼𝗻

50 oil and gas companies that represent 40% of the global oil production will submit plans by 2025 on how they will achieve net zero methane emissions by 2030. Over $1 billion in grant funding was announced for efforts to reduce atmospheric methane.

While the world is on a fast track to 3C increase in temperature, it is critical to cut pollution at an accelerated pace. To ensure the safety of everyone, it would cost $3 billion to implement early warning systems which are a fraction of the hundreds of billions of dollars made with fossil fuels as suggested by Mr. Guterres, Secretary-General of the UN. The ‘Early Warnings for All’ Initiative aims to protect everyone from hazardous weather, water, or climate through life-saving early warning systems.

3. 𝗥𝗲𝗻𝗲𝘄𝗮𝗯𝗹𝗲 𝗘𝗻𝗲𝗿𝗴𝘆

With 118 countries looking to triple renewable energy production to 11,000 GW and double energy efficiency this decade. Key decisions at COP28 aimed at decarbonising the energy sector. This is the source of 75% of all global greenhouse gas emissions. Clean energy investments have skyrocketed from $32 billion in 2004 to almost $500 billion in 2022.

To limit this, work around expanding nuclear power, cutting methane emissions, and choking off private finance for coal power were the key discussion points. Africa received just 2% of the global investment and less than 10% of the $120 billion a year which is required.

4. 𝗛𝘆𝗱𝗿𝗼𝗴𝗲𝗻

39 countries have endorsed the UAW Hydrogen Declaration of Intent for a global hydrogen certification standard. This standard will ensure that decarbonisation is the focus in hard to abate sectors.

The World Bank launched an 18-month blueprint for methane reduction that will set up 15 national programs aimed at cutting methane emissions from activities like rice production, livestock operations, and waste management.

Turkmenistan and Kazakhstan, the largest methane emitters in the world have joined the Global Methane Pledge, a voluntary agreement by over 150 countries to slash their methane emissions by 30% by 2030.

5. Fuel, Carbon Markets and Adaption

A key debate on the fossil fuel phase out created a few divisions over the future of oil and gas. 80 countries advocated for the end of fossil fuel use. There has been an uptrend of fossil fuels in the past 2 decades with more than a 75% increase in this time.

The COP28 President and the IEA's Executive Director issued a summary calling for a significant increase in energy efficiency and renewable deployment, alongside a phase-down in fossil fuel supply and demand.

𝗜𝗻𝗱𝘂𝘀𝘁𝗿𝗶𝗮𝗹 𝗧𝗿𝗮𝗻𝘀𝗶𝘁𝗶𝗼𝗻 𝗔𝗰𝗰𝗲𝗹𝗲𝗿𝗮𝘁𝗼𝗿 (𝗜𝗧𝗔): A set of actions aimed at decarbonizing the current energy system and building the energy system of the future. It aims to “catalyse decarbonization” for energy, industrial, transportation and other polluting companies by supporting projects needed to cut emissions consistent with the Paris Agreement Goals

6 carbon crediting programs were announced to ensure that the integrity of the carbon markets is maintained. An 𝗔𝗱𝗮𝗽𝘁𝗮𝘁𝗶𝗼𝗻 𝗙𝘂𝗻𝗱 was discussed to establish of fund to support developing countries in adapting to climate impacts

In Closing

While the world looks to greener and more sustainable solutions, it is the think tanks and progressive governments that continue to make amends to bring in decisive climate action. The need to put nature, people, lives, and livelihoods at the heart of climate action is imperative for a future of sustainability and growth. Let us look forward to seeing what the Azerbaijan COP29 after an eventful COP28.

ProClime was at COP28 this year and we were at the Blue and Green Zones and covered sectors in Energy Transition, Climate Finance, Tech in Climate and more. If you are looking for solutions that are key to transitioning your business or industry into cleaner solutions for our world then we would like to connect with you. We are in this together for a cleaner, more sustainable future!