You are here: Home » International » News » Others
Business Standard

Paris climate accord pledge of $100 bn still a distant dream, shows study

Of the $111 billion invested in clean energy technologies only $10 billion was provided by rich countries, according to data compiled by Bloomberg New Energy Finance.

Paris Climate Accord

AFP  |  Paris 

Mysterious, massive hole reopens in Antarctic sea ice: All you need to know
A seal swims by icebergs. (Photo: Reuters)

Wealthy countries are falling well short of their pledge to provide $100 billion a year to developing countries by 2020 as part of the Paris climate accord, a report published today said.

Of the $111 billion invested in clean energy technologies only $10 billion was provided by rich countries, according to data compiled by Bloomberg New Energy Finance.

The pledge was first made at a Copenhagen summit in 2009 and confirmed by signatories of the 2015 Paris Agreement to limit global warming caused by greenhouse gas emissions.

The $100 billion, to be raised from multiple sources including from the private sector, was intended to be a minimum, with nations expected to set a new goal by 2025.

UN negotiators meeting in Bonn, Germany, this week are trying to work out how to implement the Paris accord, which aims to keep warming at "well under two degrees Celsius" (3.6 degrees Fahrenheit) above pre-industrial levels.

But US President Donald Trump has pulled his country out of the deal, and analysts have warned that other national leaders may struggle to find the funds to match their ambitions.

On Monday, Standard and Poor's released a report questioning where the money would come from, citing a need for many countries to increase budgets and debt burdens to finance their pledges.

"In our view, it is very unlikely that governments would be willing, or able, to risk deteriorating their creditworthiness by stretching their budgets and debt burdens to fund the implementation costs," the analysts wrote.

But Bloomberg New Energy Finance also said that developing countries needed to improve legal frameworks in order to make investments in clean energy more attractive, both for public and private investors.

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Tue, November 07 2017. 08:29 IST