TERI @ COP29

The 2024 United Nations Climate Change Conference (COP29), to be held in Baku, Azerbaijan from November 11–22, will focus heavily on climate finance and the countries’ updated national climate action plans. Themed ‘In Solidarity for a Green World,’ the conference’s priorities will include enhancing ambition, enabling action, ensuring inclusivity, and delivering equitable outcomes. Mukhtar Babayev, Azerbaijan's Minister of Ecology and Natural Resources, will preside over the conference, while Samir Nuriyev will head the Organizing Committee.

A key determinant of the success of COP29 agenda will be the establishment of the New Collective Quantified Goal on Climate Finance (NCQG), a central component of the Paris Agreement aimed at setting a more ambitious and realistic financial framework to support developing nations in their climate actions post-2025. The NCQG builds on the previous $100 billion target set in 2009 and seeks to address persistent gaps in climate finance, ensuring that the funds are accessible, equitable, and aligned with the specific needs of developing countries. As a top priority for the COP29 Presidency, developed nations are expected to take the lead in mobilising resources through various channels, fostering global partnerships, trust, and cooperation essential for the successful implementation of the Paris Agreement.

Azerbaijan’s presidency has emphasised the need to finalise a deal on the NCQG, focusing on developing countries and island states. The discussions will also highlight the importance of achieving just transitions in line with the 1.5°C global temperature target.

India, as a key player in the Global South, will play a significant role in shaping the discussions at COP29, particularly on climate finance. India has consistently advocated for a clear agreement on how developed countries will share the burden of providing climate finance to developing countries. India is pushing for $1 trillion per year, but developed nations are reluctant to shoulder the burden alone, putting pressure on expanding the contributor base. India’s stance is rooted in the principle of ‘common but differentiated responsibilities and respective capabilities,’ which asserts that developed nations should take greater responsibility in mobilising financial resources to support developing countries. India has also argued that the conference’s success should be evaluated based on whether developed countries meet their financial commitments. Indian negotiators have stressed that future climate finance goals should align with the Paris Agreement, which emphasises equity and sustainable development.

At COP29, India will continue to push for climate finance commitments that are adequate, transparent, and equitable. The country is also expected to advocate for the inclusion of the loss and damage fund, established at COP28, in the new climate finance target. As one of the leading voices for developing nations, India’s involvement will be critical in ensuring that the outcomes of COP29 reflect the needs and priorities of the Global South.

Key Takeaways from COP29

Sharing her perspective on Baku climate talks, Dr Vibha Dhawan, Director General, TERI, said, “India, representing the interests of the Global South, rejected the inequitable agreement and processes on the climate finance goal. The outcome sadly fails to address the urgency of the climate crisis and disregards the principles of fairness and inclusivity. COP29 has failed the developing world who are most affected by the climate crisis, a problem they did not cause. The positive aspect of the discussions was Global South’s show of solidarity. The hope remains that green technology will be supported by markets and the government supports adaptation measures through public finance.

Mr RR Rashmi, Distinguished Fellow, TERI, noted, "The goal of USD 300 billion adopted by COP29 in the face of categorical objections of countries including India, Nigeria, Bolivia, Cuba and a walk out staged by AOSIS and LDCs, bodes ill for the future of the NCQG and the collective efforts to address climate change.

“The multilateral process has not emerged in a good light in this event. The declared goal is clearly a prisoner of the geopolitics of the present times and is paltry compared to the financing needs of mitigation and adaptation faced by the developing world. The USD 300 billion commitment of the developed world is further diluted by the inclusion of debt funds routed through multilateral developments banks.

“The only positive feature is that the developed countries have agreed to triple the amounts to be channelled through the Global funds like GCF, AF etc while recognizing the need to reform the institutions for easier access to finance and agreeing to drop the insistence on counting voluntary contributions of developing countries as part of NCQG.”

“The resolution adopted at COP29 is too little, and too long a duration. The planet needs solutions and not semantics, results and not rhetoric and above all trust rather than manipulation,” Mr Jiwesh Nandan, Distinguished Fellow, put it succinctly.

Ms Suruchi Bhadwal, Director, TERI, said, “Striking a deal at 300 billion dollars is an understatement of the requirements of developing countries for implementing their climate actions and in NDC compliance.”

Dr Ritu Mathur, Director, TERI, underscored, “The closing plenary of COP 29 was shrouded in a cloud of mistrust and disappointment voiced by India as well as other Parties. In particular, the disappointment with regard to the NCQG is both in terms of the miniscule quantum of finance as well as the spread of sources from which it is expected to be mobilized. Compared to the demand put forth by developing countries (at least 1.3 trillion USD per year), developed countries would provide 300 billion USD per year by 2035 for developing countries to undertake climate action. This level, when compared to the earlier pledge of 2009 which committed 100 billion USD per year, hardly represents any major change in real flows, and is probably a target that could be achieved with minimally additional efforts if we account for inflation.

“That said, 2035 is still a decade ahead, and if the narrative of urgency in climate action is something we believe in globally, the landscape would hopefully evolve further in the interim, with modifications not only in the scale of finance mobilized, but also through partnerships and innovative ways of reducing cost of capital, de-risking investments in new and emerging technologies etc. that would allow greater action and co-operation among all Parties. Re-building trust and keeping in line with CBDR-RC principles is central to moving forward in the true spirit of solidarity,” she said.

Dr JV Sharma, Senior Director, TERI noted, “Article 6.4 has been operationalized which would help Carbon Finance. TERI is already implementing 40 carbon finance projects. This is an important decision for us from COP29.”

“Overall, the COP29 outcome has placed the principle of equity within brackets. Developed countries made all efforts to invert the concept of Common but Differentiated Responsibility and Respective Capability (CBDR-RC),” opined Dr Manish Kumar Shrivastava, Associate Director, TERI.

“The COP29 outcome on the NCQG is minimal in quantum and delayed in timelines. Developed countries will provide USD 300 billion per year by 2035 through public and private finance, which is meagre compared to the needs of developing countries.”

Dr Shailly Kedia, Associate Director, TERI, said, “At COP29, the USD 300 billion climate finance mobilization goal by 2035 insulted the Global South. India exposed the betrayal, yet developed countries cling to tokenism and erode trust. Climate justice demands ambition, not excuses. Will COP survive this breach of trust, or will the Paris Agreement crumble under the weight of broken commitments?

“For the world’s most vulnerable countries, these trust breaches are not just frustrating—they are life-threatening. Climate finance is a key instrument that makes the (historical) polluters pay principle actionable. The NCQG’s reliance on private finance feels like building a house on shifting sands. Adaptation needs public and grant-based finance provisioning.”

TERI's Presence @ COP29

Event Schedule	Event Title	TERI Speakers
November 11, 2024 13:30-14:45 AZT ISA Pavilion, Blue Zone	Making Solar the Energy Source of Choice - Building Resilient Supply Chains for Clean Energy Transitions in the Global South	Mr RR Rashmi Mr Arupendra Nath Mullick
November 11, 2024 16:45-18:15 AZT SE-4, Blue Zone	Global Risk Resilience Discourse and Adaptation	Mr RR Rashmi Ms Suruchi Bhadwal Mr Anshuman
November 12, 2024 15:30-16:30 AZT BCG, Blue Zone	Transformative Leadership for Climate Actions on Finance, Technology and International Cooperation	Dr Vibha Dhawan Mr RR Rashmi Mr Arupendra Nath Mullick
November 13, 2024 17:30-18:25 AZT Solar Hub, Blue Zone	SDG-Climate Synergies and Multilateralism: Implications for Energy Futures	Dr Vibha Dhawan Amb Manjeev Puri Ms Palak Khanna
November 13, 2024 18:00-19:00 AZT WGEO Pavilion, Blue Zone	Panel Session with IPCC Chair and Indian Business Leaders	Mr RR Rashmi Mr Arupendra Nath Mullick
November 14, 2024 10:00-11:00 AZT WGEO Pavilion, Blue Zone	Energy Sustainability as an Industry Growth Agenda to Shape Global South’s Climate Ambition	Dr Vibha Dhawan Mr RR Rashmi Mr Arupendra Nath Mullick
November 18, 2024 15:00-16:30 AZT SE-4, Blue Zone	Holistic approach to climate-resilient, just development: Translating evident into action	Dr Vibha Dhawan Mr Jiwesh Nandan Dr Manish Shrivastava
November 18, 2024 16:45-18:15 AZT Side Event 1, Blue Zone	Governance for Strengthening SDG-Climate Synergies	Dr Vibha Dhawan Dr Shailly Kedia