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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.

Anyone aware of the crisis in Haiti didn’t expect China and Russia to help end an occupation, foreign meddling and violence on the ground.

Despite China delaying a vote by two days to hold closed-door negotations, the United Nations Security Council (UNSC) unanimously agreed Friday to renew the UN’s mandate in Haiti. Since 2004, as many as 13,000 troops from around the world have served as part of the UN’s peacekeeping mission.

For many Haitians, the mandate is a foreign occupation.

“Can anyone tell Haitians what [UN Integrated Office in Haiti] BINUH has put in place since Friday, July 15th? This is DAY THREE,” tweeted Daniella Bien-Aime, a Haitian living in the United States. Bien-Aime, as well as others, have used Twitter to voice their opposition.

‘Elites Use Young People’

Among many things, the mandate renewal terms include a call for all countries to end the transfer of small arms, light weapons and ammunition to anyone involved in gang-related activity.

But Haitian-born Jemima Pierre dismissed its viability, given even poor young people have obtained guns worth thousands of dollars. She also rejected the use of the term “gang violence” to describe the struggle on the ground.

“The elites use young people to settle economic and political scores,” said Pierre, who is Haiti/Americas Co-Coordinator for the Black Alliance for Peace and an anthropology and Black studies professor at the University of California Los Angeles.

Pierre added Haiti’s elite families control five major ports.

“Guns come through the boats and customs turns a blind eye,” she said.

UN Missions Brought ‘Misery’

The two UN mandates—the UN Stabilization Mission in Haiti (MINUSTAH, 2004-17) and the UN Integrated Office in Haiti (BINUH, 2019-present)—have introduced sexual violence and cholera.

“These missions were supposed to stabilize Haiti,” Dahoud Andre told Black Agenda Radio. He is a member of grassroots group KOMOKODA, the Coalition to End Dictatorship in Haiti. “It’s brought misery. It’s brought terrorism to the people of Haiti.”

Adding to the violence and foreign occupation is the humanitarian crisis, exacerbated by last year’s earthquake. Out of 11.4 million Haitians, 4.9 million will need humanitarian assistance this year, with the majority needing “urgent food assistance,” according to the United Nations.

Between July 8 and July 12, the UN reported at least 234 deaths and injuries. That is due to a recent surge in gang violence, which Pierre questioned having occurred just days before the UNSC vote.

Haitian to UN: ‘China Has Put You On Notice’

Some applauded China’s role in adding grit along the UNSC’s path to renewing the mandate.

“You have one year to get your act together. By this time next year, you won’t be able to tell the world why you are so ineffective,” Bien-Aime tweeted in reply to a UN tweet on Friday. “China has put you on NOTICE. And it’s good for Haiti.”

For now! And this is after a FORCED postponement of the vote. Please do not embellish this. You have one year to get your act together. By this time next year, you won't be able to tell the world why you are so ineffective. China has put you on NOTICE. And it's good for Haiti.

— Daughter of Desalin (@dbienaime) July 16, 2022

Last month and this month, dozens of grassroots Haitian organizations signed onto open letters to China and Russia. Those letters asked for both countries’ representatives to vote against renewing the UN mandate. Mexico’s role as “co-penholder” alongside the United States in drafting the resolution put the Latin American country in the spotlight, with one open letter addressed to the Mexican president.

David Oxygène, a member of MOLEGHAF, a grassroots anti-imperialist organization based in the Fort National neighborhood of Port-au-Prince, told Toward Freedom via a Haitian Kreyol interpreter that China and Russia have had opportunities in the past to show solidarity with Haiti. Yet, they failed, he said, as the mandate was renewed year after year.

‘Tilting At Windmills’

Russia’s UN representative pointed out in a June 16 meeting that international actors must respect Haiti’s sovereignty as a baseline to helping Haiti out of its crisis.

A summary of that meeting paraphrased Dmitry A. Polyanskiy as saying solving security problems in Haiti “might be tilting at windmills” because of chaos in the government.

In January 2021, protests broke out over President Jovenel Moïse refusing to step down once his term ended. He was assassinated about six months later. That brought to power U.S.-supported Prime Minister Ariel Henry of the right-wing Parti Haïtien Tèt Kale (“Haitian Bald-Headed Party” in English).

Pierre said UNSC mandate renewal resolutions normally have been rubberstamped each year. She saw China playing a positive role in questioning the basis for the 2022 renewal and demanding closed-door negotiations, which delayed the vote by two days.

“But at the same time,” Pierre said, “They’re leaving it up to the UN to work with [regional Caribbean alliance] CARICOM—the UN occupation is the problem.”

Andre told Black Agenda Radio the world should denounce what he referred to as the UN’s “anti-democratic nature.” He pointed out 193 countries are UN members, while only 15 vote on the UNSC.

Representatives for Mexico, China and Russia could not be reached for comment.

‘A Wall Around Haiti’

Haitian-born and U.S.-raised activist Chris Bernadel said Haitians feel isolated from the peoples of the Americas, partly because of the UN occupation’s impact on the economy and communications.

“There has been a feeling of a wall around Haiti,” said Bernadel, who is a member of MOLEGHAF and the Black Alliance for Peace. “The voices of the Haitian people, and the poor and struggling working people, have not been able to be integrated within the wider region. That is something MOLEGHAF has been trying to break through.”

For Oxygène, the support of organizations outside Haiti helps.

“We feel like we are not alone in this fight and we want it to go further, so we can find a solution to occupation,” he said.

Julie Varughese is editor of Toward Freedom.

NATO’S AFRICAN HYPOCRISY

The West wants African countries to condemn the war in Ukraine, but doesn’t want to hear their views on conflicts in Libya or Yemen. Why not? African Stream’s Clinton Nzala outlines the double standard during a discussion on Bolivia’s Kawsachun News. pic.twitter.com/ecuJ9Xslr9

— African Stream (@african_stream) April 11, 2023

The West wants African countries to condemn the war in Ukraine, but doesn’t want to hear their views on conflicts in Libya or Yemen. Why not? African Stream’s Clinton Nzala outlines the double standard during a discussion on Kawsachun News.