UNCOMMON GROUND

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Passed in December 1997 and coming into effect in February 2005, the Kyoto Protocol is the only legally binding agreement that sets targets for the greenhouse gas emissions of major developed countries. Its first commitment period will expire at the end of 2012. The adoption of the second commitment period became a major topic of the recent UN climate change talks in Durban.
The 12-day conference was officially known as the 17th session of the Conference of Parties (COP) to the UN Framework Convention on Climate Change (UNFCCC) and the seventh session of the Meeting of the Parties to the Kyoto Protocol. Nearly 30,000 representatives from more than 190 countries attended the event.
“The process needs to take two decisive steps here in Durban: finishing the tasks from COP 16 and answering the key political questions that remained unanswered in Cancun,” said Christiana Figueres, Executive Secretary of the UNFCCC, at the opening ceremony of the talks on November 28.
To be specific, the future of the Kyoto Protocol, as well as financing the response to climate change, topped the agenda of
the Durban conference. Despite glaring differences, hopes remained alive for countries to make compromises on these key issues.
Saving the Kyoto Protocol
China has not changed its international negotiating position, but just strengthened communication with other countries on its policies, said Changhua Wu, the Greater China Director of the Climate Group, while explaining the world’s heated responses to China’s statement on a legally binding treaty after 2020. The Climate Group is a non-profit organization that works with businesses and governments to promote clean energy to reduce global greenhouse gas emissions.
On December 5, Xie Zhenhua, China’s top climate negotiator and Vice Chairman of the National Development and Reform Commission, declared that China will agree to participate in a legally binding treaty on climate change after 2020 under certain conditions (see box on page 12).
“China is willing to shoulder responsibilities in line with its development and capability as long as the legal framework after 2020 will comply with the principles of ‘common but differentiated’ responsibilities,” said Xie.
So far, no member countries have said they will not continue the Kyoto Protocol, while some said they won’t have a second commitment period after the first expires, Xie said.
Xie’s statement was regarded as a signal of transition in China’s climate stance by many people. They believe China’s openness toward a legally binding climate deal that would come into effect after 2020 has given a boost to the ongoing climate change talks in Durban.
But Wu expressed his objection to these opinions. There was not much new information in China’s statement. It was just that some people didn’t get China’s stance till now, said Wu.
“Currently, the Kyoto Protocol is deadlocked. If we don’t revitalize it, it will just

get stuck,” said Yang Fuqiang, chief representative of the Beijing office of the Energy Foundation, a San Francisco-based NGO that promotes energy efficiency.
At this moment, the BASIC countries(Brazil, South Africa, India and China) expressed willingness to talk with any country that supports the second commitment period. There may be some concessions. Unless concessions are made, the negotiations will not be able to move ahead, said Yang.
“As you seek constructive ways forward on the Kyoto Protocol, I urge you to remember ‘It always seems impossible until it is done,’” said Figueres.
Figueres made the statement in the light of the huge difficulties in the adoption of the second commitment period of the Kyoto Protocol.
Prior to this conference, Japan, Russia and Canada said they would not sign the second commitment period. Canada declared it will not make further cuts in its greenhouse gas emissions under the Kyoto Protocol, and will formally withdraw from the protocol before this Christmas.
The EU has showed a willingness to extend its commitments but also suggested a broader global pact engaging all major economies.
“Global action is needed to achieve the deep cuts in global emissions necessary to avert dangerous climate change. This action must be led by the major economies in both the developed and the developing worlds,”said Connie Hedegaard, EU Commissioner for Climate Action, on the sidelines of the Durban conference.
If the new system comes into force earlier, Europe could have a short commitment period instead of a longer one, she said.
China, along with other BASIC countries, has always been actively pushing for the second period of the Kyoto Protocol.
“The definition of the second commitment period of the Kyoto Protocol is the main priority for Durban,” said Su Wei, head of the Climate Change Department of China’s National Development and Reform Commission in a statement on behalf of the

BASIC countries.
The Kyoto Protocol is the cornerstone of the climate regime and an essential foundation of an ambitious rules-based system, said Su.
“Sustainable development and poverty eradication remain urgent challenges and overriding priorities for our countries. Yet our countries have pledged ambitious actions to reduce emissions at substantial cost to their economies,” said Su.
Therefore, the BASIC countries call upon the developed countries to rise up to their historical responsibilities and take the lead by undertaking ambitious and robust mitigation commitments, said Su.
“We believe that the Durban conference should achieve a comprehensive, fair and balanced outcome to enable the full, effective and sustained implementation of the UNFCCC and its Kyoto Protocol, in accordance with the principles of equity and common but differentiated responsibilities and respective capabilities, and fulfill the mandate of the Bali Roadmap in the two-track process of negotiations,”said Su.
Climate fund financing
The major problem with the Green Climate Fund is the source of the capital, said the Energy Foundation’s Yang.
The Green Climate Fund is a positive outcome of the UN Climate Change Conference in Cancun, Mexico, last year. It addresses both fast-start and long-term financing. Building on the commitment by developed countries to transfer $100 billion a year by 2020 to developing countries for adaptation and mitigation, the Green Climate Fund will be essential for channeling such funds to developing countries.
China has said that financing is one of the pressing priorities for Durban. China welcomes the work of the Transitional Committee of the fund, and envisages the approval of its draft report by the COP, said Su.
The Durban conference should immediately take steps to make the Green Climate Fund operational. This should in- clude its capitalization from public funding by developed countries with accountability to and under the guidance of the COP, he said.
“In Durban, the first phase of the design of the Green Climate Fund can be approved as a major step on the road toward better supported climate action,” said Figueres in her opening speech.
Figueres emphasized the approval of the Green Climate Fund’s governing instrument and contributing to a prompt start-up of the fund as a key task that needs translating into concrete action.
In addition to national contributions, international NGOs are also making good efforts to promote the fund.
For instance, Oxfam and the World Wildlife Fund, two major global NGOs concerned with climate change, asserted that applying a carbon price on shipping can both reduce emissions and raise funds for climate change adaptation and mitigation in developing countries.
They hold that international shipping is a major and rapidly growing source of greenhouse gas emissions. And on November 29, they joined forces with the International Chamber of Shipping, an organization that represents over 80 percent of the world merchant fleet, urging the UN Climate Change Conference in Durban to move forward on carbon pricing policies on shipping.
“We should apply a carbon price to ship- ping to reduce emissions. Part of the money collected will be used to compensate developing countries for the increase in transport costs. And the remaining revenue can be directed to the Green Climate Fund,” said Tim Gore, Oxfam’s International Policy Advisor on Climate Change.
According to their proposal, all of the money collected should go to developing countries. But the money will flow to developing countries in two ways. Around 40 percent of the revenues would automatically go back to developing countries to compensate them for their increase in transport costs. The vast majority of the remaining 60 percent will go to the Green Climate Fund.
“In total, $25 billion will be raised per year, of which $10 billion will go to the Green Climate Fund,” said Gore.
The scheme will be implemented by the International Maritime Organization(IMO), the UN regulatory authority on shipping.
The IMO will design and implement the scheme. There are different options on the table for the technical design of the scheme. This is left to experts in the IMO to decide, said Gore.
“We want the money to be collected centrally and then pass it to the Green Climate Fund, so as to make sure the Green Climate Fund established at last year’s UN Climate Conference in Cancun, Mexico, will have stable revenue,” he said.
The World Bank also expressed support for the fund. “We hope that the Green Climate Fund will be created, because it is necessary that the funds flow. In the meantime, organizations like us need to channel the resources that we can get hold of into climate change issues,” said Andrew Steer, World Bank Special Envoy for Climate Change.
“The climate investment funds, which are worth $6.5 billion and which we and the regional development banks manage, are very valuable. But we now need to scale up quite a bit. And that’s really what the Green Climate Fund is all about,” said Steer.
(Reporting from Durban, South Africa)
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