Balu Jadhav usually journeys through 60 villages 300 days a year, selling toys and artificial jewelry in India’s “jatras,” or rural village fairs.
So if Jadhav travels less than 1,000 miles a year, that’s a sign of distress.
“In the past two years, I covered only 150 miles,” he said.
His two-decade-long routine was broken in March 2020 when far-right Indian Prime Minister Narendra Modi announced a 21-day nationwide lockdown to curb a pandemic caused by COVID-19, the novel coronavirus. The lockdown was extended to 67 days, causing 121 million people to lose their jobs within the first month. Yet, with this lockdown, India couldn’t contain the coronavirus. Meanwhile, because case numbers ebbed and flowed for two years, district administrators banned fairs.
With a history of over 150 years, these fairs remain an important source of income for marginalized people. In Jadhav’s home state of Maharashtra, located on India’s Arabian Sea coast, almost every village hosts an annual fair for a couple of days. Jatras are held in reverence of local deities. Rural vendors sell a variety of items, including toys, posters of regional deities, local books, footwear, artificial jewelry, balloons and household items. “A fair is like a festival and a holiday season for rural people,” said Gangabai, Jadhav’s wife. “Everyone prepares good food, dresses up and relatives from different villages attend the fair.”
With no option for selling goods, the Jadhavs were forced to work in 10 other occupations. They labored as farmworkers and masons, and in factories, but nothing helped them earn enough to survive. “There was no regular work because COVID devastated the rural economy,” she said.
The 2022 World Inequality Report states India is one of the most unequal countries in the world. Oxfam’s Inequality Kills report mentions, “The wealth of the 10 richest men has doubled, while the incomes of 99 percent of humanity are worse off, because of COVID-19.” Further, it found that a new billionaire was created every 26 hours since the pandemic began. Meanwhile, millions like Jadhav could barely find 26 hours of work per month during the peak of the pandemic.
After two years, local administrators in the village of Jambhali in Maharashtra’s Kolhapur district were permitted to arrange a fair that would be held January 1-2. Unfortunately, while the Jadhavs assumed it would help them sail, it was far from reality.
With rising coronavirus cases in January, reporting as high as 347,254 cases one day, several COVID restrictions were implemented again.
“We earned about 3,000 rupees ($40) from every fair before the pandemic. Now we are finding it difficult even to recover the transportation cost,” Balu Jadhav said. “Ever since COVID, people have stopped spending money because of dwindling wages.”
Hundreds of vendors in the Kolhapur district protested several times outside the local administrator’s office, demanding revocation of the ban on fairs. “Despite writing hundreds of letters, nothing concretized,” Jadhav said.
Anusuya Chavan, who lives in the same village as the Jadhav family, is in her mid-40s and sells toys. “This occupation forced us to never send the children to school, and with COVID, there’s no possibility that four of my children will ever see the school.” Her children, all below 18, are busy looking for work. “Earlier, we took loans to support our business, but now we are forced to take loans for eating food twice a day. It’s that bad.” Chavan has 13 members in her joint family and is in $670 debt. Her husband, Yuvraj, 50, has spent four decades traveling to sell at fairs. “My entire life has gone sleeping on roads,” he said. “But with lockdowns and curfews, we don’t even have roads on which to sleep.”
Vendors rely on informal loans to buy items to sell and pay them off immediately after fairs. “The moneylenders send their goons for collection, and we always pay on time,” Yuvraj said. However, with no sales, several vendors have been caught in debts of at least $3,350 each. High interest-rate fees have caused those debts to amass.
Meanwhile, fear, anger and frustration pile up, with another generation missing out on obtaining an education. That leaves Jadhav to vent.
“Even our children will have to live the same cursed life now.”
Sanket Jain is an independent journalist based in the Kolhapur district of the western Indian state of Maharashtra. He was a 2019 People’s Archive of Rural India fellow, for which he documented vanishing art forms in the Indian countryside. He has written for Baffler, Progressive Magazine, Counterpunch, Byline Times, The National, Popula, Media Co-op, Indian Express and several other publications.
What left many grumbling at the 26th meeting of the Conference of Parties (COP26) held in November in Glasgow was rich countries like the United States and those in the European Union striking down the Glasgow Loss and Damage Facility, a body created to address how to compensate developing countries for climate change-related losses and damages. Wealthy countries have been found to be most responsible for causing the climate crisis and face litigation as well as ensuing liabilities and payouts.
But the demand to recognize loss and damage remains alive. A good indication being many climate-vulnerable developing countries have referenced loss and damage in their Nationally Determined Contributions (NDCs). Under the 2015 Paris Agreement, countries are required to submit NDCs to detail their national action to address global climate change, including steps to adapt to a changing climate and the form of financial assistance needed to undertake such action.
Small-Income and Developing Countries Hard Hit
A report published in October, 2021 found one-third of the 250 NDCs that were analyzed explicitly mentioned loss and damage. Most were from small-island developing states and least developed countries in the Asia-Pacific, Latin America and the Caribbean. The report was supported by the European Research Council’s Politics of Climate Change Loss and Damage (CCLAD) project.
“NDCs are political documents and not just technical submissions [under the Paris Agreement],” said Elisa Calliari, a co-author of the report.
Developed countries tend to focus on mitigation action, like the deployment of renewable energy. But that hasn’t been the case for the majority of the world’s states.
“Developing countries have pushed hard for the inclusion of adaptation in NDCs because, for them, this is more of a priority than mitigation,” Calliari pointed out. “So you can see the politics.”
For people living in an island nation like Sri Lanka, “key loss and damage impacts are felt in food systems and other vulnerable sectors, like the coastal and marine sector and water resources. These impacts have already resulted in migration interlinked with or induced by climate change among vulnerable communities,” said Vositha Wijenayake, executive director of the SLYCAN Trust, a non-profit think tank working in Asia, Africa and Europe. Its work focuses on climate change, biodiversity and ecosystems, sustainable development, and social justice.
Sri Lanka is classified as a lower-middle income/developing country. Given that it is also an island, its exposure to climate-related risks is high. These two factors make it extremely vulnerable to climate impacts and the ability to withstand them.
So, Wijenayake added, it is important for countries most vulnerable to climate change that loss and damage is a “key component” in addressing climate change processes, both negotiations and climate action. And this is why Sri Lanka was among the first countries to have a separate section allocated to loss and damage commitments included in its first NDCs submitted in September 2016. Building on this, the updated NDC of Sri Lanka submitted last July includes a separate section on loss and damage.
Interestingly, the report says upper-income countries like Costa Rica, Chile and Uruguay also have cited loss and damage in their NDCs.
And outside of NDCs, many developing countries have explicitly stated loss- and damage-related demands. For instance, consider India’s environment ministry laying out ahead of COP26, “There should be a compensation for expenses incurred, and it should be borne by developed nations.”
How to Fund Loss and Damage
A question that usually rears its head with respect to addressing loss and damage is how to “operationalize” it, or what processes and institutions could be set up at the global and national levels to address loss and damage.
“[One way would be] to look at NDCs for a bottom-up approach to understand how countries themselves are looking at loss and damage,” Calliari said.
Of the NDCs that explicitly mention loss and damage, around half specify loss- and damage-related responses and initiatives like data gathering, analysis and assessment, and institutional capacities to address loss and damage. For example, Sri Lanka’s NDC has a whole section on loss and damage. It mentions strengthening its weather and climate forecasting systems, plus improving data management to record loss and damage. Meanwhile, Honduras’ NDC puts forth a “gender-responsive agricultural insurance mechanism for loss and damage.”
Wijenayake also stressed “inclusive and participatory processes,” in which the voices of those vulnerable to climate change are taken into account in the national and international policy-making processes. As is “ground-level implementation,” she added.
And so, country-specific NDCs could potentially be a good starting point to determine how to put mechanisms in place to address loss and damage on a global scale.
Getting Polluting Countries to Pay
The other gap that exists today is how finance can be mobilized to fund efforts that compensate for climate change-related loss and damage. A recent study by the Stockholm Environment Institute offers potential solutions.
The researchers propose finance should be provided based on the following:
Solidarity,
“polluter pays” principle that is based on “historical responsibility,” and
CBDR-RC means that while climate change is a shared concern, rich countries with a history of emitting carbon—like the United States and those in Europe—have a greater responsibility to take climate action than the poorer countries.
The “polluter pays” principle has only been used to hold fossil fuel companies accountable for environmental destruction. It implies more strict liabilities than “historical responsibilities,” which outlines broad principles based on past emissions.
The authors stress a combined approach that deploys the principles of solidarity, polluter pays and historical responsibility, as well as using the framework of CBDR-RC, to finance loss and damage.
A strictly liability-based approach would be “politically infeasible and communities cannot wait for years to prove the liability,” said Zoha Shawoo, an associate scientist at the Stockholm Environment Institute as well as one of the authors of the SEI report.
The research team also looked at methods of recovery and rehabilitation that communities would need after financing efforts to cover losses and damages. Those efforts can include planning the relocation of communities, assisting with migration and providing affected people with alternative livelihoods. Here, too, NDCs could help with granular details like national-level entities and processes that could assist local communities with issues like displacement and loss of livelihood.
Rishika Pardikar is a freelance journalist in Bangalore, India. She had reported for Toward Freedom from COP26 in Glasgow.
Last month, U.S. Special Presidential Envoy for Climate John Kerry visited India in an effort to bolster the United States’ bilateral and multilateral climate efforts ahead of the 26th Conference of Parties (COP26), which will be held in Glasgow in just a few weeks. Countries that signed the United Nations Framework Convention on Climate Change (UNFCCC) will attend the conference to deliberate as well as negotiate actions needed to combat the climate crisis.
Kerry’s visit to India also marked the launch of Climate Action and Finance Mobilization Dialogue (CAFMD). CAFMD is part of the U.S.-India Agenda 2030 Partnership Indian Prime Minister Narendra Modi and U.S. President Joe Biden announced in April at the Leaders Summit on Climate. The talks took place within the context of India’s membership within an alliance colloquially referred to as “The Quad.” The alliance comprises Australia, Japan, India and the United States, and is aimed at countering a growing China in the Indo-Pacific region.
Soon after Kerry’s visit to India, Quad leaders met at the White House for discussions on a host of issues, including climate change. They agreed to work on climate targets aimed at 2030 and pursue enhanced actions in the 2020s.
But what tools are available to India—and other developing countries—to support them as they face climate-change impacts like eroding coastlines and droughts? And how will such tools be made available?
Mobilizing finance is considered key to helping developing countries meet their emission-reduction targets and adapt to climate-change impacts. At COP15 in Copenhagen in 2009, developed countries committed to a goal of jointly mobilizing $100 billion per year by 2020 to address the needs of developing countries.
But while COP15 set a clear target of $100 billion, it allowed flexibility in terms of what forms of financial support qualify as climate finance. The Paris Agreement, the successor to the Copenhagen Accord, reiterated the $100 billion per year commitment, but it also allows a wide range of financial instruments.
Developing Countries’ Perspective
Developed and developing countries have different perspectives on climate finance. Chandra Bhushan, a public policy expert and founder/CEO of International Forum for Environment, Sustainability & Technology (iFOREST), explained when developing countries speak of climate-finance requirements, they largely mean public grants from developed countries. But when developed countries talk about climate finance, they mean “everything from loans to grants to bilateral and multilateral funding,” Bhushan said.
Bilateral funding refers to financial support from one country to another. Multilateral funding involves agencies such as the World Bank, which derives its source of funding from multiple countries.
India’s official position on climate finance is only grants and grant-equivalent elements of other instruments, like loans and guarantees, ought to be recognized as climate finance. For example, in a recent interview to CarbonCopy, Rajni Ranjan Rashmi, a former principal negotiator for India at the UN climate change negotiations, said it is “logical” to include only the grant portion, or the concessional part, of the loans in the definition of climate finance.
Publicly available information about CAFMD does not reveal what exactly “financial mobilization” would entail. This reporter filed a Right to Information (RTI) request with the Ministry of Environment, Forests and Climate Change (MoEFCC) for minutes of meetings held between Kerry and the ministry. However, the request was denied.
Bhushan also expressed skepticism, noting how pre-COP launches of dialogues, like CAFMD, are not uncommon. But he said their progress is rarely tracked to ascertain achievements.
Unpacking “Finance Mobilization”
In general, “finance mobilization” can happen on both concessional and commercial terms. Arjun Dutt, program lead at Council on Energy, Environment and Water (CEEW) said concessional capital typically is channeled through grants and soft loans to market segments that are not commercially viable to catalyze investment. And as for finance on commercial terms, Dutt noted it typically flows into sectors that have achieved commercial viability and large-scale deployment, such as utility-scale renewable energy.
Elaborating on what India needs, Dutt said if the world wants India to decarbonize at an accelerated pace and commit to net-zero goals, the country “would likely require greater international [climate-finance] flows on both concessional and commercial terms.”
Through financial instruments such as guarantees, concessional capital could help lower the risk of loan defaults with new clean-energy technologies, which could catalyze more private-sector investments, Dutt explained. And as for commercial international capital, it would be needed because of the sheer scale of India’s decarbonization requirements.
Pays to note, in her meeting with Kerry, Indian Minister of Finance and Corporate Affairs Nirmala Sitaraman also underscored a need for enhanced climate finance for developing countries, or funding beyond the $100 billion commitment made at the Copenhagen summit.
Recently, even African nations called for a 10-fold increase to the $100 billion climate finance target.
Climate Finance’s Track Record
Developed countries have largely failed in fulfilling their climate finance obligations, a September 2021 report shows. Out of 23 developed countries that have a responsibility to provide climate finance, only Germany, Norway and Sweden have been paying their fair share of the annual $100 billion goal. More specifically, it states that the United States has the biggest shortfall in paying its fair share of climate finance, based on historical emissions and national income.
And closer examination of delivered climate finance reveals other issues. According to a report by Oxfam, the share of grants in global public climate finance was only 27 percent in 2019, whereas loans—both concessional and otherwise—totaled 71 percent. The remaining 2 percent comprised finance mobilized from private sources. Oxfam referred to this reliance on loans to fulfill climate-finance obligations “an overlooked scandal.”
Recently, a climate negotiator from a developing country, who anonymously wrote for The Guardian, pointed out how climate finance in the form of loans is creating a debt trap for countries in the Global South, where the COVID-19 pandemic has hit economies.
Interest rates on concessional loans are unequal, too. “The rate of interest in developed countries is around 2 percent and in India, it is around 14 percent,” said Bhushan of iFOREST. “So, if the United States gives a loan for 6 percent, will you consider it as a loan given on concessional terms?”
Funding Mitigation Versus Adaptation
Climate finance usually aids two solutions: Mitigation and adaptation. Mitigation refers to efforts aimed at reducing greenhouse-gas emissions like investments in renewable energy technologies or even making existing energy generation more efficient. Adaptation means remodeling and reorganizing society and the physical environment to address risks posed by climate change. Climate adaptation includes enhancing the resilience of coastal communities with nature-based solutions like restoration of mangroves and providing food security with climate-resilient agricultural practices.
Here, too, disparities exist between the needs of developing countries and what the developed world actually delivers.
Little doubt remains that climate change disproportionately impacts the Global South, given pre-existing conditions like food insecurity and lack of adequate healthcare. And so, countries in this region need as much financial support, if not more, for adaptation as they do for undertaking mitigation measures to arrest the global temperature rise. Even the Paris Agreement recognizes developing countries need equal amounts of funding towards mitigation and adaptation. But funding flows largely towards mitigation.
Oxfam points out 66 percent of global public climate finance supported mitigation while only 25 percent went toward adaptation. “Profitability drives the flow of money,” Dutt said, noting how climate finance goes toward mitigation efforts—like enhancing deployment in the renewable energy sector—and not to adaptation. But this is where public finance—or that which is provided by taxpayer money—can flow.
It also is unclear if developing countries have undertaken climate-change impact assessments and drafted clear policies aimed at mitigation, which could then be implemented using international climate financing.
Developing Homegrown Climate Technology
Article 4.5 of the UNFCCC states developed countries have undertaken a commitment to
“take all practicable steps to promote, facilitate and finance, as appropriate, the transfer of, or access to environmentally sound technologies and knowledge to other Parties, particularly developing country Parties, to enable them to implement the provisions of the Convention.”
But little clarity is available on what “practicable” entails, what “as appropriate” means and what “environmentally sound technologies” encompass.
More rudimentary questions exist about whether developing countries like India need technology transfers.
“Renewable energy technologies like modules and inverters are produced at a mass scale across the world and even in India. These technologies are well-understood,” Dutt said. The only challenge, Dutt added, is India has not been able to produce renewable-energy equipment at globally competitive rates.
Expressing similar concerns, Bhushan spoke of how technologies like solar photovoltaic (PV) panels have hundreds of parts and algorithms that could have hundreds of intellectual property rights (IPRs). “Many of these IPRs are from developing countries themselves,” he noted. These IPRs are then packaged together and sold to companies to manufacture solar PV modules and panels. “Technology transfer is not like giving a formula to someone to produce a chemical. It is a combination of hundreds of formulas, many owned by Indians themselves,” Bhushan said. “The bottomline is, if you have money, you can buy whatever technology you want.” And so, the issue is not about freeing technology, like with the COVID-19 vaccines.
India has largely handled its own mitigation pathway because the country has access to renewable-energy technologies—both imported and domestically produced. Bhushan said talk of technology transfer is largely rhetoric without substantive demands detailing what exactly developing countries need.
Rishika Pardikar is a freelance journalist in Bangalore, India.
Editor’s Note: The following article contains terminology that may allude readers. However, Toward Freedom published this piece because it provides a different dimension to the struggle against U.S. imperialism. The Qiao Collective, of which the writer is a member, is comprised of members of the Chinese diaspora who seek to explain U.S. imperialism’s impact on China.
On May 26, 2021, President Joe Biden ordered U.S. intelligence agencies to produce “analysis of the origins of COVID-19” within 90 days. This move followed weeks of speculation surrounding the claim that the virus had escaped from a Chinese laboratory, usually identified as the Wuhan Institute of Virology. Having rightly rejected this claim for more than a year as a Trumpian conspiracy theory, centrist and liberal commentators in the West have breathed new life into the “lab leak” hypothesis, taking cues from allegations and claims made by U.S. state leaders and corporate media. Meanwhile, Facebook and other social media giants reversed their censorship of lab-leak disinformation almost overnight, impelled by a tawdry mix of insinuations from unnamed U.S. intelligence sources and vague allegations of impropriety relating to the World Health Organization’s investigation into the origins of the pandemic earlier this year.
Right on schedule, the nation’s finest intelligence analysts delivered their report to the White House on August 24 and released an unclassified summary three days later. The once hotly anticipated story landed like a damp squib and was buried by the regular news cycle in less than a day. In part, this was due to the inconclusive nature of the findings: four intelligence community (IC) elements and the National Intelligence Council assessed “with low confidence” that SARS-CoV-2 emerged from “natural exposure,” another IC element leaned “with moderate confidence” toward lab leak, and three others did not commit either way, though they naturally all agreed that “Beijing… continues to hinder the global investigation, resist sharing information and blame other countries, including the United States.” But what really doomed the report to oblivion was a signal failure of U.S. intelligence—and the entire imperial apparatus—on a far grander scale: the utter rout of the United States’ puppet regime in Afghanistan by the Taliban, who in 10 days captured every provincial capital (save one), including Kabul.
One underexplored throughline linking both events is Biden’s fraught though largely earnest attempts to restore the traditionally multilateral basis of the U.S. empire, drawing a sharp distinction with his predecessor Donald Trump. While Trump dramatically withdrew the United States from the WHO at the height of a global pandemic in 2020, alleging an entirely illusory pro-China bias, one of Biden’s first acts in office was to rejoin the organization. WHO Director-General Tedros Adhanom Ghebreyesus duly celebrated the restoration of U.S. funding by contradicting the WHO mission’s own assessment, as part of a joint study with China, that “introduction through a laboratory incident was considered to be an extremely unlikely pathway.”
Biden’s penchant for pursuing the new cold war through multilateral channels has continued in his engagement with the G7 and NATO. Trump famously denigrated both forums and delighted in alienating the United States’ sub-imperial vassals. Biden has, meanwhile, used these summits to great effect as ostensibly internationalist window dressing for the military encirclement of China. In June, a NATO Brussels Summit Communiqué for the first time identified “China’s stated ambitions and assertive behaviour” as “systemic challenges to the rules-based international order and to areas relevant to Alliance security.” In the months since, Britain, France, and even Germany have launched performative naval incursions into the South China Sea—almost the antipodal opposite of the alliance’s ostensible remit in the North Atlantic.
Biden and the Democrats’ response to the domestic surge in anti-Asian racism, effectively delinking it rhetorically from their imperial aggression against China, has followed a similar logic. Gone are the days of presidential bombast over the “China virus” and the “Kung Flu.” Instead, after the Atlanta spa shootings of March 16, the Democrats worked overtime to identify Trump and his loyalists as the unique locus of violent anti-Asian animus. They extended the promise of full inclusion into American society and protection from isolated acts of vigilante terror—a promise somehow underwritten by a violently racist policing system and conditioned on mawkish displays of loyalty to the imperial project. The United States’ selective incorporation of the Asian and particularly Chinese diaspora, in exchange for Asian Americans’ active collusion in the relentless demonization by the United States of their countries of origin, has ample historical precedent. That Biden signed the (predictably hyper-carceral) COVID-19 Hate Crimes Act on May 20, 2021, mere days before ordering his intelligence apparatus to fan the flames of sinophobic hate by promoting the lab-leak myth, is testament to the inestimable hypocrisy of liberal “anti-racism.”
No figure in the Biden administration so thoroughly embodies the hollowness of such politics as Kamala Harris, an infamously vindictive ex-prosecutor now feted as the first Black and Asian vice president. Coincidentally or not, she too found herself playing an awkwardly timed bit part in the hybrid war on China as her government’s imperial designs in Afghanistan hurtled to their ignoble denouement. While the humbled U.S. military shambolically evacuated the one remaining piece of Afghan territory it controlled after a 20-year war—making sure to commit some parting war crimes for long-suffering civilians to remember it by—Harris was tasked with enlisting Singapore and Vietnam into the United States’ machinations in the South China Sea. Vietnam at least did not take the bait, instead reaffirming its historic ties to the People’s Republic of China as a fellow socialist state.
All that said, the most spectacular failure of the United States’ return to traditional alliance structures is undoubtedly the Afghanistan withdrawal itself. The irony is inescapable: Joe Biden, who staked so much on multilateralism and a clean reputational break with his predecessor, has infuriated his “coalition partners” by honoring Trump’s unilateral commitment to end 20 years of brutal military occupation. Extraordinarily, the United States has arm-twisted its Western allies into accepting the unmitigated defeat of a common imperial project, which it initiated, gravely harming its relations with its allies in the process.
Already, of course, the U.S. and its allies are undermining the prospects for lasting peace by threatening the new Afghan government with debilitating sanctions and fearmongering about a new “Taliban-Pakistan-China” axis. This confluence of events has not gone unnoticed in China, where Foreign Minister Wang Yi pointedly urged the U.S. to “work with the international community to provide Afghanistan with urgently-needed economic, livelihood, and humanitarian assistance” while condemning “the so-called investigation report on COVID-19 origins produced by the U.S. intelligence community” on a call with U.S. Secretary of State Antony Blinken.
In the fevered imaginations of U.S. war planners and their media sycophants, the empire’s greatest ideological, civilizational, and racial enemies of the last century—communism, Islamist jihadism, and a rising China—seem to be fusing into one. Hopefully, recent events have taught the United States’ prospective partners to think twice before following them once more unto the breach.