Shenanigans at COP-26

“The American way of life is not up for negotiations.”

– George H. W. Bush

The COP-26 mess reminds one of the quote by the former American President George Bush before the 1992 Earth Summit. The developed world is still not ready to compromise on their lifestyle, but they are insisting that developing and poor countries compromise on their basic needs.

Despite all the hue and cry, the conference could not deliver on its promises, and it proved to be another Copenhagen 2009. The developed world, including USA and the European Union did not walk the talk. Although the West is a self-declared champion of human rights, it failed to recognize the threat of climate change to humans. Despite the need for urgent action, they prefer delay, as they are hell-bent on shifting the burden to the developing countries.

The developed world is not in the mood to fulfill their commitments and lead the fight against climate change. Regrettably, there is no sign that developed countries are serious on delivering their commitment of US$ 100 billion for poor and less developed countries to combat climate vulnerabilities.

The UN Secretary General António Guterres showed similar concerns about the outcome of COP-26, especially the disregard for the US$ 100 billion commitment and the needs of vulnerable countries.

It should be noted that the finance was mostly provided in the form of loans, not grants. Oxfam in 2020 highlighted that from US$ 59.5 billion provided between 2017 and 2018, US$ 47 billion (80%) were loans. Moreover, half of the loans were at higher interest rates, which will have a negative impact on poor countries.

The UK and the US, along with their allies, are trying to shift the debate from their commitments towards private financing. In this regard, the Glasgow Financial Alliance for Net Zero was presented as a new window of opportunity. It is a consortium of private companies and investment houses to pool resources.

Mark Carney, UN Special Envoy for Climate Action and Finance, and Boris Johnson’s Finance Adviser for COP-26 have claimed that the total assets of the companies committed for net are around US$ 130 trillion. But it is private money, available for investment and lending and it has no connection to the commitment of US$ 100 billion. It is another attempt at pooling resources to further exploit the world in the name of climate change.

This appears to be an attempt to create an alternative to World Bank and IMF-like institutions, which will be in direct control of the private sector. We have already seen a glimpse of mismanagement and greed of the private sector during the financial crisis of 2008.

Western countries are also urging poor and developing countries to take the lead in mitigation by compromising on adaptation needs. The West is playing a game to avoid discussion on their coal plants, as they assume western subsidies are efficient.

The Glasgow Climate Pact is also silent on the oil and gas reduction, as US does not want to discuss it. After all, it is a matter of the lifestyle of Americans. Loss and damage is another area where the COP-26 failed miserably, as it watered down the discussion. The text only committed to continue dialogue, which is considered by many experts as a sign to weaken the cause.

In this desperate situation, China is emerging as an alternative to cater to the needs of developing and poor countries. China has the resources to assist the countries, and it understands that there is a need to create a balance between the green transition and the living needs of people.

As President Xi Jinping stated at the Asia-Pacific Economic Cooperation (APEC) forum, “China will strike a balance between low-carbon transition and ensuring the living needs of its people, and between development and carbon reduction, and will achieve carbon peak and carbon neutrality within the time frame we set”.

It is sign of hope for developing countries that China, under the leadership of President Xi, is aware of the development and livelihood needs of poor people.

When it comes to combating the effects of climate change, China is taking a number of actions like transforming Belt and Road Initiative (BRI) into a green initiative; it has multiple forms including BRIGC, envoy program for capacity building, big data initiative and many others. World Bank reports have declared that BRI is helping countries tackle issues of poverty, growth and development. The greening of BRI will assist the countries in achieving the goal of green transition by striking a balance between the living needs of people and low-carbon transition.

At the COP-15 Convention on Biological Diversity, China preferred to take concrete steps. President Xi announced the creation of a fund with the amount of US$ 250 million to help poor countries protect their biodiversity.

President Xi also announced at UN that China will not invest in coal power plants in any part of the world in the future. It is a huge commitment and it also shows the seriousness of China towards green transition.

President Xi has launched his vision of Ecological Civilization, which is based on creating harmony between human beings and nature. President Xi also regards it as a way achieving commonality of a shared future.

Hence, it is obvious that China will play its role in tackling climate change and environmental problems without compromising on human rights. However, China cannot shoulder the burden of climate change on its own. More developed countries need to join hands with China. Unfortunately, Western countries are busy in malicious campaigns against China, which is counterproductive and will exacerbate the challenge of climate change facing the world.

The writer is CEO, Asian Institute of Eco-Civilization Research and Development.