It will be a twenty ninth time, that all countries which are parties to the United Nations Framework Convention on Climate Change (UNFCCC) meeting to negotiate on critical issues related to climate change through the Conference of Parties (COP). This conference brings together politicians, climate scientists, delegates, observers, media, as well as women and youth representatives. While each COP address specific topics, some issues from previous meetings that were not fully addressed are carried forward to the next.

The current COP scheduled to start on 11^th November, 2024, and last for two weeks, is expecting to address the climate finance. Other key topics, including the carbon market, transparency, climate change mitigation and adaptation, and the energy transition, will be part of the negotiations.

This COP comes at a time when it is clear that global commitment is falling short of meeting the Paris Agreement ‘s goal of limiting warming to 1.5°C.  Countries have to raise their ambitions, to increase the hope of reaching the target and ensuring the future where the human activities will not interfere with the climate system.

Six (6) years are left to hit 2030, where we expect the world to know if we are really on the good track in addressing the shared problem “climate change”.

What are key points they are negotiating at COP29? And what to expect from the discussion

“Climate finance”

Shifting from the carbon-intensive practices to low-emission development, and implementing the adaptation measures, is a financial investment demanding. Climate change exist in times where many countries are still struggling with their economic development pathway. Thus, making the balance between climate change with handling the economic pathway is hardly challenging.

Under the Paris Agreement, developed countries pledged to mobilize $100 billion annually, to support the developing countries. However, this target fallen short and not met. New mechanism for rising this climate finance required is set to be negotiated at COP29, and was named the New Collective Quantified Goal on Climate Finance (NCQG).

Key issues regarding climate finance are still being discussed, focusing not only raising the finance, but also, enabling the access of this fund to the developing countries. It has been acknowledged that the process of accessing this fund is lengthy and complex. This prompt the negotiators to explore more ways to facilitate the access the available funding resources.

Even though the climate change mitigation is key, the adaptation to the climate change impacts are equally important. It was clear that the developing countries, small and island nations are highly vulnerability, and they experience the loss and damage from climate change impacts, which remain unaccounted and addressed. This impact hugely their economies as they spent unprecedent money to cover the loss and damage.

As the response, COP28 left a milestone decision, with the loss and damage fund get established. In previous week, Mr Ibrahima Cheikh Diong was declared as the inaugural Executive Director of the Fund for responding to Loss and Damage. The fund will be based in Philippines, as one of the countries experienced the loss and damage due to climate change impacts.

The COP 29, is expected to operationalize this fund, to allow the countries start accessing them. This involves setting the clear guidance on accounting the loss and damage from climate change by differencing them with others possible overlapping loss and damage, by setting its boundaries.

Climate finance should be viewed as an urgent need that must be quickly mobilized and directly accessible.

“Carbon Market”

This market came as the solution for the finance of the mitigation activities, in developed and developing countries.

For the developing countries through the Kyoto Protocol, the carbon market has put in place a Clean Development Mechanism (CDM), which was managed by the UNFCCC. The carbon market was not achieving its goal, and the market was appearing losing its worth. Where the market price falls to 3$.

The market was also focusing on largely on smaller projects such as the improved cookstove, and the leaving larger, more technologically advanced projects underfunded.

The discussion around carbon market was best directed as the Paris Agreement rulebook for the article 6 was cleared. But, COP29 will still need to address critical issues including the corresponding to ensure effectiveness.

Energy transition

This is a challenging topic that remains unresolved, yet it is crucial for achieving the desired outcomes in addressing the climate change. As long as the global economy is a fossil fuel based, these issues will persist, hindering the progress and commitments. COP29 will need to address this with a clear strategy to tackle the problem and pave the way for the implementation and growth of renewable energy.

Transparency

Reporting have been the main instrumental for the UNFCCC to have a clear picture of national efforts to tackle climate change. This include reports on mitigation actions, climate change impacts and vulnerability, support received and needed, and the greenhouse gas inventory. However, developing countries often face challenges in meeting reporting requirements due to limited technical capacity, which is why some flexibility is granted.

At COP29, there will be the discussion on how to enhance capacity building to ensure that all countries can report with transparency and consistency under the Enhanced Transparency Framework (ETF).

In summary, COP29 to take place at Baku Azerbaijan, will be a pivotal moment where many decisions are expected to guide the path to address the Paris Agreement’s goal.