COP27: The Plan and Highlights
As COP27 ended, a new global climate pact - the Sharm el-Sheikh Implementation Plan, was introduced, including a historic commitment from various rich nations to support the poorer ones financially in recovering from the damage and economic losses due to ongoing climate change impacts.
Sharm el-Sheikh Implementation Plan
A loss and damage fund is established under the "Sharm el-Sheikh Implementation Plan" for nations most susceptible to the consequences of climate change. The proposal was hailed as a major victory for climate justice and a turning point in global climate politics because it recognised that the world's richer nations, who also happen to be the greatest carbon polluters, are accountable to the poor world for the suffering caused by global warming.
Instead of just depending on wealthy countries, the Sharm El-Sheikh agreement has established a voluntary fund for such countries with funding from a range of sources, including financial organisations. The agreement lays out a plan for resolving outstanding concerns such who would be in charge of the fund and how the money would be distributed.
More importantly, the fund contains guarantees that no legal responsibility would be assumed for past emissions or climate damages incurred by other nations, which is a small print that is sought after by stakeholders like the European Union and the United States.
Beyond the difficulties Egypt is facing, COP28 will be hosted in Abu Dhabi, United Arab Emirates, the following year. Discussions on enhanced accessibility are still in the early stages, and concerns about the further suppression of civil society have already been voiced. But after two weeks of tense discussions, a Sharm el-Sheikh Implementation Plan that was reached and which contains a loss and damage fund and has preserved the possibility of 1.5°C is a positive development.
COP27 Achievements
High-Level Expert Group on the Net-Zero Emissions Commitments of Non-State Entities: first report, Integrity Matters: Net Zero Commitments by Businesses, Financial Institutions, Cities and Regions, was released. It focuses on greenwashing and weak net-zero pledges and provides a roadmap for bringing integrity to these commitments while also assisting in a just and universal transition to a sustainable future.
The International Sustainability Standard Board's (ISSB) IFRS S2 Climate-related Disclosures Standard [IFRS S2] will be included into CDP (previously the Carbon Disclosure Project), the not-for-profit that manages the worldwide environmental disclosure platform for businesses. The adoption of ISSB standards is a significant step toward providing a thorough worldwide foundation for financial markets.
Executive Action Plan for the Early Warnings for All initiative: asks for $3.1 billion in first new targeted expenditures between 2023 and 2027, or just 50 cents per person per year.
Climate TRACE Coalition: Utilises satellite data and artificial intelligence, a new independent inventory of greenhouse gas emissions shows the facility-level carbon and methane emissions of over 70,000 locations worldwide, including businesses in China, the United States, and India.
The Breakthrough Agenda: a "master plan" to expedite the decarbonisation of five key industries by delivering 25 new cooperative measures by COP28, including electricity, transportation, steel, hydrogen, and agriculture.
Food and Agriculture for Sustainable Transformation initiative (FAST): to increase both the number and quality of climate financing contributions by 2030 in order to change the food and agricultural industries. For the first time at a COP, there was a day specifically devoted to agriculture, which accounts for a third of greenhouse gas emissions and should be a key component of the solution.
The Sharm El-Sheikh Adaptation Agenda: outlines 30 Adaptation outcomes to enhance resilience for 4 billion people living in the most climate vulnerable communities by 2030.
Action on Water Adaptation and Resilience Initiative (AWARe): a project that will promote broad-based collaboration to solve water-related issues and climate change adaption solutions.
African Carbon Market Initiative (ACMI): intends to foster the expansion of Africa's voluntary carbon markets and provide employment there.
The Insurance Adaptation Acceleration Campaign: This programme, which is a component of the Race to Resilience, aims to mobilise 3,000 insurance firms by COP28 in 2023, or 50% of the market.
The Global Renewables Alliance: a partnership of organisations and companies that represent important low-carbon technologies including wind, solar, hydrogen, and energy storage that will aid in accelerating the adoption of renewables internationally.
The First Movers Coalition (FMC) Cement & Concrete Commitment: a group of multinational corporations pledging $12 billion to decarbonize long-distance transportation and heavy industry.