COP29 Climate Summit: Key Issues and Challenges in Baku

The COP29 climate summit, held in Baku, is finalising its processes as nations focus on making an agreement and financing climate action. The talks are steered around setting a new climate finance target, addressing urbanization challenges, and the engagement of tourism and renewable energy in climate change mitigation.

Climate Finance: A Pivotal Debate
Negotiators are in a stalemate regarding financial assistance that developing countries require for their transition to a post-climate change scenario. Some delegates from vulnerable countries argue for big numbers, not as altruism but as climate debt that wealthier countries need to pay. Small island states call for at least $39 billion every year while the least-developed ones want grants worth $220 billion annually.

The debate is already contentious over whose pocketbook ought to be tapped for these resources-this could well be governments, multilateral institutions, or the private sector. Developing countries make it clear that these resources are immediate in order to counter the critical climate challenges to avoid catastrophic outcomes.

Urbanization: A Double-Edged Sword
The urban areas, which represent half of the world’s population, produce significant greenhouse gas emissions despite contributing less to climate change. According to a recent report by UN-Habitat, by 2040, at least billions of people living in cities may likely see an increase in temperature by at least 0.5°C.

Despite these vulnerabilities, cities have yet to take adaptation measures at the required scale. Unplanned urban development threatens biodiversity, food security, and social cohesion. The construction sector alone is responsible for 40% of global greenhouse gas emissions. Policymakers face the dual task of balancing housing needs with sustainable urban planning.

Emissions and Megacity Challenges
The UN Environment Programme announced that global emissions increased by 1.3 percent in 2023. That threatens efforts to keep global warming below 1.5°C. As UNEP stresses, more than half of all greenhouse gas emissions come from just 25 megacities- like Shanghai, New York, and Tokyo.

These are city level actions such as new energies, waste management, transportation, etc. To achieve global climate goals, cities’ leaders involved at COP29 are asking the cities to intensify and develop an ambitious strategy towards achieving an emission decrease.

Tourism and Climate Impact
COP talks now for the first time include what tourism has to say about climate change. The industry comes back nearly to pre-pandemic performance in 2023, accounting for 3% of global GDP. In this regard, the shift towards creating a carbon footprint for tourism is in order.
Tourism is both a victim of and a perpetrator of climate change and is therefore a crucial area of action.
A central theme at COP29 relates to transition to renewable energy. Experts emphasize the tools and technologies needed for combating climate change are now available. How fast the transition actually takes place, however, will determine the extent of damage that can be avoided. Discussions also address the fairness of transition in reducing inequalities both between and within nations.

Key Challenges Ahead
The outcomes of COP29 will significantly influence global climate policy. Agreements on climate finance, urban adaptation strategies, and emissions reductions will shape how countries, especially those most vulnerable, tackle the climate crisis. Negotiators face the challenge of balancing national interests with collective global responsibilities.

Source: United Nations Framework Convention on Climate Change (UNFCCC) and UN reports.

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