‘Fast-start finance key to balanced climate pact’

Emphasising that “fast-start finance” was a vital part of any “balanced agreement” at the UN climate talks here, India has voiced disappointment over the American contribution of just $1.8 billion so far as part of a $30 billion-pledge aimed at helping the poorest countries fight global warming.
“The world’s economic machine, the world’s preeminent power has committed $1.8 billion in the first year (of a three-year commitment period of $30 billion) ...Out of which 400 million gives export credit,” environment minister Jairam Ramesh told reporters on Friday evening.
“It is deeply deeply deeply disappointing,” he said. “If the United States is going to commit just $1.8 billion in the first year it doesn’t augur well for fast-start finance,” Mr Ramesh said.
The contentious climate meeting in Denmark in 2009 yielded the non-binding Copenhagen Accord, which called for limiting rise of global temperature to 2 degrees, $100 billion in long-term finance to developing countries and $30 billion in short-term finance to the most vulnerable countries.
The Americans have said that they can only announce figures one year at a time since US Congress needs to approve the budget for every year.
Mr Ramesh underlined that one of the reasons that the BASIC countries — Brazil, India, China and South Africa — had agreed to the Copenhagen Accord with the US was the fast-start finance.
The BASIC countries, however, are not candidates for money but could still receive the funds through different bilateral deals and other schemes like the forest saving programme such as REDD+. “The single biggest disappointment for me has been fast-start finance,” Mr Ramesh said.
“The only solid money we can have clarity on is the $4 million that has been committed for the REDD+. Unless that is rectified it is unlikely we will get a balanced package (at the Cancun meet),” he said. Mr Ramesh also expressed concern over Japan’s announcement that it will not be part of a potential second commitment period under the Kyoto Protocol after its first commitment period expires in 2012.

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