Rich countries try to shove their definition of climate change finance on all

Push for OECD report to be accepted as formal UN document

Even as ministers and heads of states gathered at Marrakech for the climate talks an ugly battle ensued behind closed doors over climate finance. Developed countries insisted that the OECD report which claims that rich nations are well on way to provide the committed US $100 billion annually by 2020 be accepted as the benchmark formally under the UN climate negotiations for future talks on the issue.
 

On Tuesday, as ministers made speeches on open sessions, negotiators of developing countries continued to oppose the push to accept the report as a basis for future discussions on climate finance or accept it as the road map for ramping up the delivery against rich countries’ commitments. The report had been prepared of their own volition by developed countries which are members of the OECD. But at Marrakech they argued strongly that it be taken on board the formal UN negotiations. 
 

 

“Just like the previous report from OECD countries, it’s a green-wash and dubious in its methodology.  If it gets acknowledged as the basis for future discussions we would be forced to adopt the benchmarks and methods the rich countries advocate for measuring climate finance,” said a negotiator from developing country who witnessed the slugfest behind closed doors. 
 

The OECD countries had produced a similar report in 2015 at the Paris talks but had been trashed by India government formally and subsequently by all 134 countries of the G77+China group for its creative accounting and green-washing. 
 

“It double accounts for existing development fund flows, calls export credit insurance, loans and mobilised private finance as climate finance,” said a negotiator who deals particularly with climate finance for a group of developing countries.

“There are so many problems and loopholes in the method by which climate finance is accounted that if we accept this report the rich countries will basically get to live with business as usual flows in years to come,” he added. 
 

Another negotiator said that an internal assessment prepared by these developing countries of the OECD report concluded: “The high dependence on the private sector (for about one-third of the US $100 billion) is not comforting. Private finance is a volatile component, driven by profitability and market cycles. The Paris Agreement and the Convention assures us predictability of funds.”
 

These two negotiators said Umbrella group of countries, which includes the US was particularly aggressive in getting the OECD report accepted.

“These countries want the OECD report as the one to set climate finance methodologies and how the monies should be accounted. Once accepted the roadmap will become the blueprint bypassing all negotiations,” he said.
 

At the time of writing the report, negotiations on the OECD report remained grid-locked in meetings being held behind closed doors.