27th Conference of the Parties of the UNFCCC - CONCLUSION

The United Nations Climate Change Conference (COP27) concluded today with a ground-breaking agreement to provide "loss and damage" funding to vulnerable countries hit hard by climate disasters. 

"This outcome moves us forward," said UN Climate Change Executive Secretary Simon Stiell. "We have found a way forward in a decades-long conversation about funding for loss and damage - deliberating about how we address the impacts on communities whose lives and livelihoods have been ruined by the most severe effects of climate change."

In the face of a difficult geopolitical backdrop, countries delivered a package of decisions that reaffirmed their commitment to limit global temperature rise to 1.5 degrees Celsius above pre-industrial levels. The package also strengthened countries' efforts to reduce greenhouse gas emissions and adapt to the unavoidable effects of climate change, as well as increasing financial, technological, and capacity-building assistance to developing countries. The establishment of a specific fund for loss and damage was a significant step forward, with the issue being added to the official agenda and adopted for the first time at COP27.

Global Warming

The rise of the earth’s temperature is due to an increase in the concentration of Greenhouse gasses like carbon-di-oxide (CO2) Methane (CH4) or Chloro-fluoro-carbon (CFCs).

Climate Change

Earth is experiencing a global temperature rise of 1 degree Celsius every year which results in increased water levels of the ocean, drastic climate change, and abnormal weather conditions. Some parts are experiencing temperatures more than 50 degrees Celsius while the polar ice caps are melting. 

Groundwater

The drinking water shortage has increased therefore Cop 27 is also working on making drinking water available to even the most remote places of the world.

The main Target of the Conference was to create a sustainable climate condition, reduce the effect of global warming and bring down the global temperature rise.

Governments made the historic decision to create new funding arrangements, as well as a dedicated fund, to assist developing countries in responding to loss and damage. Governments also agreed to form a "transitional committee" to make recommendations on how to put the new funding arrangements and funds into action at COP28 next year. The transitional committee's first meeting is scheduled for before the end of March 2023.

Parties also agreed on institutional arrangements for the Santiago Network for Loss and Damage, which will catalyze technical assistance to developing countries that are especially vulnerable to the adverse effects of climate change.

At COP27, governments agreed on how to move forward on the Global Goal of Adaptation, which will conclude at COP28 and inform the first Global Stocktake, improving resilience among the most vulnerable. At COP27, new pledges totaling more than USD 230 million were made to the Adaptation Fund. Through concrete adaptation solutions, these pledges will assist many more vulnerable communities in adapting to climate change. The Sharm el-Sheikh Adaptation Agenda, announced by COP27 President Sameh Shoukry, aims to improve resilience for people living in the most climate-vulnerable communities by 2030. The United Nations Framework Convention on Climate Change's Standing Committee on Finance has been asked to prepare a report on doubling adaptation finance for consideration at COP28 next year.

The cover decision, known as the Sharm el-Sheikh Implementation Plan, emphasizes that a global transition to a low-carbon economy will require at least USD 4-6 trillion in annual investments. To provide such funding, the financial system and its structures and processes will need to be transformed quickly and comprehensively, involving governments, central banks, commercial banks, institutional investors, and other financial actors.

Severe concern was expressed that the developed country Parties' goal of mobilizing jointly USD 100 billion per year by 2020 had not yet been met, with developed countries urged to meet the goal and multilateral development banks and international financial institutions urged to mobilize climate finance.

Deliberations at COP27 continued on setting a "new collective quantified goal on climate finance" for 2024, taking into account developing countries' needs and priorities.

"We have been reassured in this text that there is no room for backsliding," Stiell said. "It sends key political signals indicating that all fossil fuels are being phased out."

Six high-level roundtable discussions were held during the World Leaders Summit, which took place over two days during the conference's first week. The discussions focused on solutions to climate challenges, such as food security, vulnerable communities, and just transition, as well as how to provide the finance, resources, and tools to effectively deliver climate action at scale.

Over 45,000 people attended COP27 to share ideas, and solutions, and form partnerships and coalitions. Indigenous peoples, local communities, cities, and civil society, including youth and children, demonstrated how they are dealing with climate change and how it affects their lives.

The decisions made here today also highlight the critical importance of empowering all stakeholders to participate in climate action, particularly through the five-year Action for Climate Empowerment Action Plan and the intermediate review of the Gender Action Plan. These outcomes will enable all Parties to collaborate to address participation imbalances and provide stakeholders with the tools needed to drive greater and more inclusive climate action at all levels.

Countries announced the launch of a package of 25 new collaborative actions in five key areas: power, road transportation, steel, hydrogen, and agriculture.

UN Secretary-General António Guterres announced a USD 3.1 billion plan to ensure that early warning systems protect everyone on the planet within the next five years.

At COP27, the UN Secretary-High-Level General's Expert Group on Net-Zero Commitments issued a report that served as a how-to guide for industry, financial institutions, cities, and regions to ensure credible, accountable net-zero pledges.

The G7 and the V20 ('the Vulnerable Twenty') launched the Global Shield against Climate Risks, with new funding commitments totaling more than USD 200 million. The implementation process will begin immediately.

Denmark, Finland, Germany, Ireland, Slovenia, Sweden, Switzerland, and the Walloon Region of Belgium announced a total of USD 105.6 million in new funding for the Global Environment Facility funds targeting the immediate climate adaptation needs of low-lying and low-income states.

The new Indonesia Just Energy Transition Partnership announced at the G20 Summit held concurrently with COP27, will mobilize USD 20 billion over the next three to five years to accelerate the transition to a just energy system.

The launch of the Forest and Climate Leaders' Partnership, which aims to unite action by governments, businesses, and community leaders to halt forest loss and land degradation by 2030, was a significant step forward in forest protection.