By: Pia Zevallos - Libélula's General Manager
The 28th Conference on Climate Change (COP 28) will take place between November 30 and December 12 in Dubai, United Arab Emirates. The world's governments are taking part, but companies are becoming more and more important every year. And although it seems that with each COP the gap increases, there are many reasons to be optimistic, starting with the existence of trust and collaboration from multilateralism to face the problem. Although many doubt the relevance of this space, the fact is that it sends clear signals to the markets.
At this COP, the Global Stocktake, a key part of the ambition mechanism of the Paris agreement adopted in 2015, will be presented for the first time. The balance sheet summarizes the current status of greenhouse gas (GHG) emissions, efforts to reduce them (which are increasingly coming from the private sector), associated financing and the impacts of climate change. It is estimated that the carbon “budget” will run out in about 7 years at most. The opportunity for change is now. COP 28 will provide an opportunity for countries around the world to review progress and redirect efforts.
Climate finance will be another major protagonist, because the new target for mobilizing funds to ensure that developing countries have the necessary resources to meet their climate commitments will be discussed. There is a $100 billion mobilization target, from public and private funds, which has not yet been reached. 57% of funds were directed to mitigation, while adaptation financing needs are between 5 and 10 times greater than current financing. For countries such as Peru, funding for adaptation is key.
Along the same lines, another important issue in the negotiations revolves around the Loss and Damage mechanism. Climate impacts become so frequent and severe that no adaptation strategy is sufficient. In Peru, El Niño Costero of 2017 caused damages of more than US$30 billion and led to the loss of lives and homes. The impact of glacier loss on water availability is another important variable to consider. As the climate crisis intensifies, the gap between the costs of impacts and the ability to pay is growing. Who better than the private sector to devise quick, transparent and simple response mechanisms to provide compensation to the people and ecosystems that are affected?
COP28 is a decisive space to take action on climate change and represents an opportunity to unite governments, businesses, youth, cities and civil society in concrete and necessary solutions to achieve climate commitments.
