According to a source familiar with the situation, a coalition of developed countries, including the United States and the United Kingdom, has released a draft proposal on loss and damage funding.
According to a draft that Reuters has access to, the proposal would establish “new and enhanced funding arrangements for assisting developing countries that are particularly vulnerable to the adverse effects of climate change in responding to loss and damage.” Additionally, it would establish “an expert group” to address important issues regarding the funding source and management of the funding mechanism.
A second source attested to the fact that the draft was the proposal being discussed at the time.
How the proposal differed from an earlier EU proposal was not immediately clear. According to EU climate policy chief Frans Timmermans, that proposal would have established a special fund for covering loss and damage in the most vulnerable countries, funded from a “broad donor base.”
In contrast to having the fund financed exclusively by wealthy nations who have historically contributed the most to global warming, that wording implied that high-emitting emerging economies like China would have to contribute.
(Adapted from Reuters.com)