Last fortnight, the UN Climate Change Conference (COP30) held in Belém, Brazil, came to an end. While in the days and weeks to come one can expect to see a lot of post-mortem reports on what was not achieved at the event, and where it went wrong, concluding that it was a failure, the picture is more complex.
The USA did not send its representative, with Trump admittedly boycotting the gathering. China and India too sent smaller delegations, with both heads of state conspicuous by their absence. Russia and Saudi Arabia, two major petrodollar states, were unwilling to give a time frame for reducing fossil fuels. Besides this, there were also funding issues, with the developed nations – the ones most responsible for accentuating the climate crisis – dragging their feet on footing the bill, which at COP29 was projected at $300 billion a year. These issues, including the lack of a credible global fossil fuel phase-out, consensus over funding, and an equitable energy transition acceptable to all, have been witnessed in earlier sessions as well.
In a way, earlier sessions could also be termed disappointing. COP29, held in Baku, Azerbaijan, failed in a similar manner, with developed (read wealthy) states unwilling to provide a concrete roadmap and adequate funding. Against the net quantifiable climate finance goal of $300 billion per year agreed upon until 2035, the total amount promised was less than $116 billion.
While the gap between promises – half-baked or otherwise – and actual implementation is nothing new, one cannot but look at the positive outcomes, albeit eclipsed by other factors, thrashed out at Belém. India, represented by its environment minister, pointed out that nations with the least contribution to climate change should not be burdened with a disproportionate share of mitigation efforts. Many such nations are in the Global South.
There were some key takeaways at Belém of Pará (also called Belém, the Portuguese name for Bethlehem). Known as the gateway to the great Amazon Basin, the conference location also saw many Indigenous representatives attending. This was the first time that the people actually living in and around the forests – known as stewards of the forest and directly impacted by climate change – participated meaningfully in a COP session. Prior to the conference, one unique way of funding anti-deforestation efforts was also discussed.
The Tropical Forest Forever Facility (TFFF) was one such innovative proposal. This facility, launched at COP30, marks a turning point in the history of tropical forest conservation. It is a global mechanism that recognises the value of forest ecosystem services and offers permanent incentives for their preservation. It received endorsement from 53 countries and 17 sovereign funds. Several countries including Brazil, Indonesia, Norway and France committed initial contributions. Thirty-four forest areas across the Democratic Republic of Congo, Indonesia, Brazil and China were identified. The TFFF, with an initial target of $125 billion ($25 billion from various countries and $100 billion from institutions and the private sector) aims to protect biodiversity, support climate action, and promote sustainable development in tropical forest nations, with explicit recognition of the stewardship of indigenous peoples and local communities. One-fifth of the fund will be allocated directly to these communities.
Brazil, which is also undertaking various afforestation projects on land previously used for mining, industry, and dumping, has also adopted a unique funding model. It allows the private sector to grow traditional trees alongside faster-growing commercial species. The exploitation of commercially valuable trees provides funds and time for the traditional trees to grow and flourish. Unlike carbon-credit payments, project managers receive funds based on the actual annual removal of carbon. The initial selection of seeds, shrubs, and strategic planting locations is done by the project owner.
The World Bank had earlier, in 2024, introduced outcome-linked bonds for Amazon reforestation and raised $225 billion with guaranteed principal. The coupon consisted of two parts: a nominal interest component and a variable component dependent on project outcomes. Mobak, a project company, received $35 million to buy land in the Amazon. The measurable outcome was carbon removal by the restored forest.
Saving forests is one way of limiting global warming to within 1.5 degrees. India has also been doing its bit in creating new forest cover. In the last two decades (2001-21), India expanded its forest cover by 38,251 sq km through compensatory afforestation initiatives.0While COP30 cannot be dubbed a runaway success, it was not a failure either.