COP30 Focuses on Financing a Just Transition to End the Fossil-Fuel Era
COP30 centers on how to fund a just transition and close the gap between current pledges and a Paris-aligned pathway. A major debate at the conference is over Article 9.1, which holds rich nations responsible for financing, versus Article 6, which deals with carbon markets. Developing countries seek about $1.3 trillion annually in climate finance. Current offers include $300 billion by 2035, mostly in loans or mobilised private finance, with only about one-third actually disbursed. ActionAid reports approximately $19 billion in climate aid over a decade, with less than 3% supporting a just transition for workers and communities.
The International Energy Agency (IEA) states that the fossil-fuel era is ending, predicting peak coal, oil, and gas this decade. While renewables are economically driving the transition, global hydrocarbon use is declining too slowly, with IEA projections estimating warming at about 2.6C this century, an improvement over the 3.6C trajectory cited a decade ago. The G77 plus China coalition is pushing for a formal Just Transition Mechanism to channel debt-free finance, supported by Brazil, South Africa, and India. Developed nations are concerned this could delay climate goals.
At the heart of the dispute is who must pay for a managed, fair fossil-fuel phase-out and how much public funding should be combined with private finance. The Guardian editorial argues that COP30 will only succeed if rich nations accept their fair share of responsibility. The absence of former US President Trump is noted as a potential aid to successful negotiations.
