By ESG Analyst Casey Luk
This year, over 50,000 gathered at the city of Baku, Azerbaijan from November 11 to 22 for the United Nations Climate Change Conference: Cop 29. As greenhouse gases continue to soar, this year will once again be the hottest year on record with temperatures expected to raise above the 1.5°C scenario set in 2015 Paris Agreement. With the focus being climate finance and how countries can raise money to help developing nations combat effects of climate change, this conference is vital for the future of our planet.
What is COP29 and their priorities this year?
The Conference of the Parties (COP) is the group of nations that have signed the UN Framework Convention on Climate Change (UNFCCC), which was put together in 1992. It commits them to act together to stabilize greenhouse gas concentrations “at a level that would prevent dangerous anthropogenic (human-induced) interference with the climate system”. This year will be the 29th year where the conference is held, hence the name COP29. Since then, the Parties, or nations, have met almost annually. All 198 countries who have signed this framework will meet at this conference. At the annual climate COP, delegates from nearly every country on Earth negotiate global goals for tackling climate change, present their individual countries’ plans for contributing to those goals, and report on their progress. This year’s COP President Designate Mukhtar Babayev, Azerbaijan’s Minister of Ecology and Natural Resources, established a vision “to enhance ambition and enable action” and themed the conference as ‘In Solidarity for a Green World,’.
Main topics of discussion
Climate finance The COP-19 will focus on establishing the New Collective Quantified Goal (NCQG), seeking to provide financial support for developing nations on climate assistance through negotiation and reaching a collective agreement with all the countries. The Independent High Level Expert Group on Climate Finance estimates that developing countries would need USD $1 trillion of funding a year by 2030 to alleviate impacts of climate change, a huge jump from the previous goal of USD $100 billion a year from 2020-2025.
Loss and damage
Referring to the climate change impacts that surpass adaptation capabilities, such as rising sea levels destroying coastal sites or extreme floods causing loss of life and property. It also includes situations where adaptation is possible, but resources are unavailable to implement solutions.
Nationally Determined Contributions (NDCs) and emissions reduction
NDCs outline each country’s commitments to reduce greenhouse gas emissions, adapt to climate change, and achieve specific targets through detailed strategies and timelines. Under the Paris Agreement, countries must update their NDCs by February 2025, with many expected to announce targets for 2035 during Cop29.
The Global Goal on Adaptation (GGA) and National Adaptation Plans (NAPs)
Nations aim to complete the NAP assessment to identify long-term climate adaptation priorities. This process integrates adaptation planning into development, decision-making, and budgeting
Unequal climate impacts and Locally Led Adaptation (LLA)
Climate impacts vary across socioeconomic groups, disproportionately affecting women, youth, and Indigenous populations. Cop29 will highlight the importance of Locally Led Adaptation (LLA), empowering communities to implement tailored solutions and directing financial and policy support to marginalized groups.
Nature-based solutions (NbS) and Indigenous rights
Nature-based solutions, like reforestation and ecosystem restoration, address climate challenges while enhancing biodiversity. As of 2019, 62% of NDCs included NbS for adaptation; Cop29 will push to increase this number. Indigenous communities, key stewards of critical ecosystems, must play a central role in NbS strategies for successful climate action.
Carbon markets
Cop29 will explore advancing carbon markets to drive emissions reductions and fund adaptation initiatives, unlocking their full potential as a dual-purpose tool.
Geopolitical context, conflicts and tensions
Ongoing conflicts and energy security concerns will shape Cop29 discussions. Azerbaijan, a fossil fuel-reliant host, faces pressure to demonstrate climate leadership despite its economic dependence on fossil fuels. Countries must navigate these challenges while fostering collaboration on climate action.
Progress or Return?
Two weeks of the climate conference have made several positive strides along with setbacks. COP29 has endorsed a global carbon market framework under Article 6, which aims to establish clearer standardized guidelines for trading carbon credits and ensuring accountability in climate finance. Additionally, Brazil and the UK unveiled updated Nationally Determined Contributions (NDCs), with the UK committing to an 81% emissions reduction by 2035 and Brazil targeting a 59–67% reduction from 2005 levels. Indigenous leaders from Brazil, Australia, and the Pacific also launched The Troika of Indigenous Peoples, advocating for Paris Agreement implementation that respects their self-determination and territorial rights.
However, setbacks have also emerged. Saudi Arabia has sought to reverse progress on transitioning away from fossil fuels, challenging commitments made at COP28 in Dubai. Similarly, Azerbaijan’s COP29 chief delegate, Elnur Soltanov, reportedly used the platform to promote fossil fuel investments—an action at odds with the summit’s goal of advancing the transition to renewable energy and supporting greenhouse gas reductions.
As Cop29 enters its final hours on Friday evening, a draft agreement proposes increasing financial aid from wealthy countries to $250 billion annually by 2035 for climate adaptation in poorer nations. However, this figure falls far short of the $1 trillion annually requested by developing countries most affected by extreme weather. All in all, the true measure of its success will lie in the concrete actions’ countries take and accountability mechanisms that emerge, ensuring that today’s commitments lead to meaningful advancements for the planet and its most at-risk populations. Ultimately, the future will depend on the alignment between the commitments and actions these countries have promised to fulfill on the global stage.
References
- Bhandari, P., Warszawski, N., Cogan, D., & Gerholdt, R. (2022). What Is “Loss and Damage” from Climate Change? 6 Key Questions, Answered. Www.wri.org. https://www.wri.org/insights/loss-damage-climate-change
- Brendel, E. (2024, November 7). Record-Hot 2024 Seen Breaching 1.5C Paris Target for First Time. Bloomberg.com; Bloomberg. https://www.bloomberg.com/news/articles/2024-11-07/record-hot-2024-seen-breaching-1-5c-paris-target-for-first-time
- Chautard, A., & Noble , M. (2024, November 13). COP29 unpacked: eight critical topics driving the climate agenda in Baku. SEI. https://www.sei.org/features/cop29-unpacked-eight-critical-topics-driving-the-climate-agenda-in-baku/
- Harvey, F. (2024, November 22). UAE urges countries to honour fossil fuels vow amid Cop29 impasse. The Guardian; The Guardian. https://www.theguardian.com/environment/2024/nov/22/cop29-uae-united-arab-emirates-transition-fossil-fuels-climate
- Hub, Iisd. S. K. (n.d.). Event: 2024 UN Climate Change Conference (UNFCCC COP 29) | SDG Knowledge Hub | IISD. International Institute for Sustainable Development – SDG Knowledge Hub. https://sdg.iisd.org/events/2024-un-climate-change-conference-unfccc-cop-29/
- Laia Barbarà, Ameya Hadap, & World Economic Forum. (2024, August 12). COP29: Why it matters and 4 key areas for action. World Economic Forum. https://www.weforum.org/stories/2024/08/what-is-cop29-climate-change-summit-priorities/
- Qi, J., & Grey, O. (2024). What Is the NAP Assessment at COP 29, and Why Does It Matter? International Institute for Sustainable Development. https://www.iisd.org/articles/explainer/cop-29-nap-assessment-adaptation
- Rowlatt, J. (2024, November 8). COP29 chief secretly filmed promoting fossil fuel deals. https://www.bbc.com/news/articles/crmzvdn9e18o
- SCMP. (2024, November 22). South China Morning Post. https://www.scmp.com/news/world/europe/article/3287795/cop29-draft-deal-proposes-rich-nations-give-us250-bn-climate-finance
- Seddon, N., Sengupta, S., García-Espinosa, M., Hauler, I., Herr, D., & Rizvi, A. (n.d.). Synthesis and recommendations for enhancing climate ambition and action by 2020 Nature-based Solutions in Nationally Determined Contributions. https://portals.iucn.org/library/sites/library/files/documents/2019-030-En.pdf
- UNFCCC. (2024). What is the United Nations Framework Convention on Climate Change? Unfccc.int; United Nations Climate Change. https://unfccc.int/process-and-meetings/what-is-the-united-nations-framework-convention-on-climate-change