Select Committee on European Scrutiny Thirty-Seventh Report


4 Global Climate Change Alliance

(28926)

13107/07

COM(07) 540

Commission Communication: Building a Global Climate Change Alliance between the European Union and poor developing countries most vulnerable to climate change

Legal base
Document originated18 September 2007
Deposited in Parliament24 September 2007
DepartmentInternational Development
Basis of considerationEM of 9 October 2007
Previous Committee ReportNone; but see (24363) 7523/03: HC 63-xxiii (2002-03), para 12 (4 June 2003)
To be discussed in Council19-20 November 2007 GAERC
Committee's assessmentPolitically important
Committee's decisionNot cleared; further information requested. Relevant to the debate on the EU-Africa Strategic Partnership

Background

4.1 In introducing this Communication, the Commission says that scientific data analysed by the Intergovernmental Panel on Climate Change (IPCC)[17] provide the international community with "three alarming conclusions: firstly, climate change is happening; secondly, the recent acceleration in climate change is the result of human activity leading to the emission of greenhouse gases (GHG) into the atmosphere; and thirdly, most regions in the world, and especially those in the developing world, will be increasingly affected by climate change."

4.2 It says that the EU, as the largest provider of Official Development Assistance (ODA), has taken a lead role in international development efforts and in promoting international action to tackle climate change. It recalls proposals put forward at the March 2007 European Council "for a global and comprehensive post-2012 climate change agreement to limit global warming to 2°C above pre-industrial levels, and committing to significant cuts in the EU's GHG emissions, even in the absence of an international agreement."[18] Although the EU has, it says, already highlighted the strong links between climate change and poverty in 2003,[19] "the urgency and magnitude of the challenge calls for a more collective initiative to match Europe's responsibility and commitment in the fight against poverty".[20]

4.3 In particular, the Commission notes that "projections of the effects of climate change show that the Least Developed Countries (LDCs) and Small Island Developing States (SIDS) will be hit earliest and hardest. Moreover, these countries have the fewest resources to prepare for these alterations, and to adapt their way of life. Climate change is therefore likely to further delay the achievement of the Millennium Development Goals (MDGs) in many of these countries."

The Commission Communication

4.4 This Commission Communication accordingly proposes the creation of a Global Climate Change Alliance (GCCA) — a joint initiative put forward by Directorates General for Development, Environment and External Relations. The objective is "to ensure that developing countries most vulnerable to climate change, in particular the Least Developed Countries (LDCs) and Small Island Development States (SIDS), increase their capacity to adapt to the effects of climate change, in support of the achievement of the Millennium Development Goals (MDGs)".

4.5 The Commission says that the initiative is intended to add value to the EU Action Plan on Climate Change and Development (2004-2008), which concentrated on raising awareness and developing capacity across all developing countries. It is focused on the most vulnerable poor countries, and includes concrete actions aimed at raising their capacity to deal with climate change. The initiative will provide a platform for dialogue and exchange among EU and poor developing countries, and provide technical and financial support for adaptation and mitigation measures, and for the integration of climate change into development strategies. It would begin in 2008.

4.6 The programme's five output areas are:

—  adaptation to climate change;

—  reducing emissions from deforestation;

—  enhancing participation in the Clean Development Mechanism;[21]

—  promoting disaster risk reduction; and

—  integrating climate change into poverty reduction efforts.

4.7 In a helpful Explanatory Memorandum of 9 October 2007, the Parliamentary Under-Secretary at the Department for International Development (Mr Gareth Thomas) describes the proposal as "another bilateral (EU) attempt to deal with a collective problem". He says that "there are already a large number of other initiatives/international funds aimed at increasing adaptive capacity", which include:

"the Special Climate Change Fund, the Least Developed Countries Fund and the Adaptation Fund — all under the auspices of the United Nations Framework Convention on Climate Change (UNFCCC); the Clean Energy Investment Frameworks being developed by the Multilateral Development Banks; and the UK's Environmental Transformation Fund-International Window. In addition, there is work by DFID and the World Bank on the 'Global Forest Alliance' looking at forests and the carbon market (i.e. two of five of the GCCA's programme areas)."

4.8 He notes that "the Commission has stressed that it does not see this initiative duplicating activity elsewhere, as there are few operational financial initiatives or funds in this field", and intends "to produce a working paper fleshing out the practical details, with the aim of discussion with stakeholders during the European Development Days, conclusions at the November GAERC, and a link to the EU/Africa Summit".

4.9 On funding, he notes that the Commission has identified €50 million (£34.8 million) from "the Thematic Programme 'Environment and sustainable management of natural resources' (a part of the Development Cooperation Instrument), and, if approved, will request additional contributions from Member States".

The Government's view

4.10 The Minister continues as follows:

"The GCCA initiative could usefully fill a gap in terms of providing an opportunity for EC and Member State support for climate-related capacity building. The initiative is consistent with UK thinking, in that it identifies a need to (a) build capacity, and (b) develop and test financing mechanisms.

"The main strengths of the proposal are that it (a) combines alliance building with capacity building, and (b) provides finance to help build capacity in anticipation of the release of larger amounts of funding for adaptation (currently being negotiated under the UNFCCC).

"There are already a large number of other initiatives/international funds aimed at increasing adaptive capacity. It will be important to ensure that the GCCA collaborates closely with these other initiatives so as to add value (not just create a parallel funding stream).

"Another risk, common to all thematic funds, is that it could undermine the Paris Declaration commitments to ownership and alignment of development actions. Thematic funds are a draw on the time and human administrative resources of developing countries. They are also potentially a development response which is not demanded by recipient countries."

4.11 As to the funding aspects, the Minister says:

"We have not, nor would we want to commit to provide funding until the designers of this initiative have better demonstrated how it will coordinate with and add value to the raft of other initiatives in this area."

Conclusions

4.12 The reasons for the Minister's caution are clearly put and appropriate. The Commission is no doubt anxious to produce an initiative that can be showcased as part of the December 2007 EU-Africa Summit. But better right than rapid. There is little point in pushing ahead with a half-baked proposal unless it is properly funded — with clear commitments from Member States — and can demonstrate convincingly that it will both add value to other initiatives and add to, rather than overload, recipients' capacity.

4.13 We would therefore not want the Minister to agree to Council Conclusions endorsing the planned initiative, and its associated expenditure, until he is able provide evidence that the Commission has convincingly addressed all the issues that he has identified. We should accordingly be grateful if he would write to us again ahead of the November GAERC, with his views on the proposal at that stage and outlining the draft Conclusions then under consideration. Pending his reply we shall retain the Communication under scrutiny.

4.14 We also consider the Communication relevant to the debate on the EU's proposed new Strategic Partnership with Africa, which is to be held in the European Standing Committee on 23 October.





17   PCC. 4th Assessment Report: Climate Change 2007. Back

18   COM (2007) 2, Limiting Global Climate Change to 2°C: The Way Ahead for 2020 and Beyond, 10.1.07, and European Council Conclusions (7224/07), 9.3.07 Back

19   COM (2003) 85, Climate Change in the Context of Development Cooperation, 11.3.03, and Council Conclusions (15164/04), Climate change in the Context of Development Cooperation, 24.11.04. See head note for our predecessors' consideration of this Communication. Back

20   COM(07) 540, page 2. Back

21   The Clean Development Mechanism (CDM) is an arrangement under the Kyoto Protocol allowing industrialised countries with a greenhouse gas reduction commitment to invest in projects that reduce emissions in developing countries as an alternative to more expensive emission reductions in their own countries. For further details, see http://en.wikipedia.org/wiki/Clean_Development_Mechanism Back


 
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