The ‘finance COP’ in Baku has culminated in an agreement to mobilise a core sum of US$300 billion per year by 2035, and with a looser call for funding provided by all actors to be raised to US$ 1.3 trillion per year by 2035. This falls grossly short of the needs of the most affected countries, usually those that contributed the least to the threats of climate change. Meanwhile, references to fossil fuel subsidies and the ‘polluters pay’ principle were removed from the text, and the growing bill from climate change-related losses and damages remains uncovered by these financial commitments.
To put this in context: the latest Lancet Countdown report highlighted net fossil fuel subsidies reached a record-high total of US$1.4 trillion in 2022 alone, while investments in fossil fuels continue to grow. It is clear the financial resources needed to support a healthy transition are available. However, they are being allocated to activities that perpetuate the harms of a fossil fuel-based economy. This perverse imbalance continues to cost lives and livelihoods.
Funding which is expanding fossil fuel assets and at a time of record-breaking health threats must urgently be redirected.
Statement from Dr Marina Romanello, Executive Director of the Lancet Countdown:
A deadly missed opportunity
The final text agreed at COP29 is a missed opportunity to secure a healthy, and prosperous future, especially for those at the forefront of the climate crisis. This outcome and financial commitment of the COP29 does not do justice to the gigantic economic losses communities and countries are already facing. Risks from climate impacts, including those on health and well-being, are at an all-time high, and it is the countries that contributed the least to climate change those that are bearing the brunt of its impacts.
Once again, we see the lack of commitment from developed countries, who have contributed the most to this crisis, choosing instead to prioritise subsidies to fossil fuel companies, over climate resilience, adaptation and mitigation.
A path forward
Putting people’s health at the centre of climate change policy making is key to ensuring this transition protects wellbeing, reduces health inequities, and maximises health gains.
Such transformational progress will not be unlocked until the trillions of dollars that continue to be funnelled into perverse fossil fuel investments are redirected to climate change action which promotes and protects health.
Moving forward, adequate monitoring mechanisms will be critical to ensure the financial commitments made in this COP are met, while countries must continue to work together to increase the ambition of the financial commitments, with increased grant-based funding to truly enable a healthy future. This remains the best investment towards a thriving, prosperous future.”