Key Issues in Global Climate Finance and COP30

India has highlighted the lack of adequate climate finance as a major hurdle in advancing global climate action. This issue was addressed at the COP30 climate meeting in Belem, Brazil, where India represented the BASIC countries (Brazil, South Africa, India, China) and the Like-Minded Developing Countries (LMDCs) grouping.

Climate Finance Definition and Implementation

• India called for a clear and universally acceptable definition of climate finance.
• Emphasized the need for increased financial flows for adaptation efforts.
• Demanded full implementation of Article 9.1 of the Paris Agreement, which obligates developed countries to provide financial resources to developing countries.

Article 9.1 and Challenges

• Developing countries stressed the importance of implementing Article 9.1, overlooked in a finance agreement in Baku, Azerbaijan, last year.
• The Paris Agreement stipulates that developed nations must both provide and mobilize climate finance, as per Article 9.1 and Article 9.3.
• The Baku deal saw developed countries agreeing to mobilize US$ 300 billion annually from 2035, while developing countries demanded $1.3 trillion annually.

Agenda and Provisional Challenges

• India and other countries failed to include a discussion on Article 9.1 in the official COP30 agenda due to Brazil's intervention to prevent potential stand-offs.
• Brazil proposed to address these issues in other forums within the conference, including a special stocktake session.

Trade Restrictions and International Law

• India expressed interest in discussing unilateral trade restrictions like the European Union's Carbon Border Adjustment Mechanism.
• India, China, and other nations view such trade measures as discriminatory and contrary to international trade laws.