Finance for Loss and Damage = Essential COP25 Outcome

Finance for Loss and Damage = Essential COP25 Outcome

We came to COP25 in light of rising seas, heat and water stress, decreasing crop yields and fish stocks, spreading diseases, and increasingly frequent and severe floods, droughts and storms, which threaten the right to life, health, food, water and housing.  We came with the expectation that rich countries would take this problem seriously heeding the desperate calls of developing countries for new and additional finance for loss and damage.

ECO already indicated yesterday how inadequate current finance is: it is essential that COP25 agree on new sources of finance and a time-bound process to proactively explore these new sources of finance, and by COP26, agree to and implement a concrete plan to increase finance for loss and damage. 

Anything less than this would be an abject failure of rich countries at this COP. The obfuscating and delaying tactics of the US in particular are designed to ensure we get nothing. Other rich countries – the EU, Norway, New Zealand, Australia and Canada – must stand apart from the US. It is not acceptable to continue to hide behind this climate criminal.

ECO has plenty of ideas for new and innovative sources of finance that are “polluter pays” sources of finance including, for example, a climate damages tax on the fossil fuel industry, international aviation and maritime levies, and debt relief. With innovative finance, billions can be raised annually for loss and damage, whilst ensuring that mitigation and adaptation receive the funds they need from increasing public climate finance.

ECO wants to be clear: an outcome on loss and damage that does not mandate an ironclad process to radically scale up and deliver new and additional loss and damage finance is unacceptable.

The whole outcome of the COP – and your ability to sleep at night knowing that you are taking the minimum steps to address the climate crisis – depends upon it.