Finance, trade key agenda items, climate meet likely to be stormy, Pg13.

Key Highlights:

• COP30 climate meeting in Belem, Brazil began Monday with finance and trade as key agenda items.
• Developing countries are pushing for discussion on Article 9.1 of the Paris Agreement, concerning financial assistance from developed nations.
• Developed countries are obligated to mobilize US$ 300 billion annually from 2035 for developing countries.
• The agenda includes a discussion on Carbon Border Adjustment Mechanism (CBAM), opposed by developing countries as a trade barrier.

Detailed Insights:

• Developing countries argue that the COP29 agreement in Baku only addressed the "mobilization" of funds (Article 9.3), not the obligation of developed countries to "provide" financial resources (Article 9.1).
• Article 9.1 implies the provision of public funds, while Article 9.3 allows for mobilizing resources from private sources.
• Developing nations want international climate finance to include a larger share of public funds in the form of grants and soft loans.
• The demand to increase climate finance from US$ 100 billion to US$ 1.3 trillion annually was not addressed in the previous agreement.
• CBAM, imposed by the EU, is viewed by developing countries as a trade-restrictive measure violating international trade rules.
• The inclusion of Article 9.1 on the agenda is expected to be contested by developed countries at COP30.

Key Concepts Involved:

• Paris Agreement: An international accord to combat climate change.
• Climate Finance: Financial resources aimed at addressing climate change.
• Carbon Border Adjustment Mechanism (CBAM): A carbon tax on imported goods.