Editorial: Payback time

Time is ticking as climate catastrophe seems looming. The crisis is deepening as rich countries fail to meet their climate change mitigation funding commitments. At the ongoing global climate summit (COP27) in Sharm El Sheikh, Egypt, India rightly asked rich countries to significantly increase the amount of climate finance to developing countries. Given the scale of demand, the $100 billion annual commitment made by developed countries a decade ago is paltry. So far, even that promise has not been fulfilled. The flow of funds has been erratic and insufficient over the years. The world cannot afford to delay the issue of climate finance for another year. Advanced industrial economies need to act now to decarbonize quickly in a war-ready state. Their actions must match their words. This is the only hope for limiting global warming to levels agreed in the Paris Agreement. A recent international study found that at the current pace of global emissions, the Paris Agreement’s goal of limiting global temperatures to 1.5 degrees Celsius above pre-industrial levels is likely to never be met within nine years. Starting next year, if the world produces more than 380 billion tons of carbon dioxide, the chance of limiting warming to 1.5 degrees will be less than 50 percent. Another UN report found that annual emissions would need to fall by 45% by 2030 to meet the 1.5C target. The world currently has a temperature of about 1.2 degrees Celsius and is already experiencing severe global climate impacts. Every small increase in warming increases the crisis exponentially.

While emissions today are lower than they would be if rates of fossil fuel consumption remained unchanged from the pre-Paris Agreement average, global emissions are still rising year by year. India and other developing countries are insisting rich nations agree to new global climate finance goals, given the exponentially rising costs of adapting to climate change. It is estimated that by 2030, US$ 6-11 trillion will be required to achieve the targets set by developing countries in their INDCs and needs determination reports. The World Bank Group, which provided countries with $31.7 billion in climate finance in 2021-22, continues to face criticism that it is not doing enough to help developing countries switch to clean energy. Developed countries must be held accountable for blatantly polluting the planet for huge profits and half-heartedly fulfilling their climate finance commitments. Faster transitions can be facilitated by lower tax rates on goods with as little as zero carbon emissions. Unethical entities, including corporations and investors, should be punished for undermining the fight against global warming.