COP29 a Focus on Finance

By Dr Masimba Mavaza

A key focus of COP29 will be on finance, as trillions of dollars are required for countries to drastically reduce greenhouse gas emissions and protect lives and livelihoods from the worsening impacts of climate change. The 29th Conference of the Parties to the UN Framework Convention on Climate Change (COP29), which is taking place in Baku, Azerbaijan, which started on 11 ending on 22 November 2024, is a pivotal opportunity to accelerate action to tackle the climate crisis. With global temperatures hitting record highs, and extreme weather events affecting people around the globe, COP29 will bring together leaders from governments, business and civil society to advance concrete solutions to the defining issue of our time.

The conference is a key moment for countries to present their updated national climate action plans under the Paris agreement, which are due by early 2025. If done right, these plans would limit global warming to 1.5°C above pre-industrial levels and double as investment plans advancing the Sustainable Development Goals.

Climate talks at COP29 in Baku on Wednesday turned to the pressing issue of how to manage the demand for minerals essential to producing electric vehicles and solar panels without triggering a “stampede of greed” that exploits local communities and crushes the poor. 
“We are here to respond to a key challenge: turning the energy transition towards justice,” said UN Secretary-General António Guterres, asking the participants at a roundtable discussion to weigh in on the work of his Panel on Critical Energy Transition Minerals.

The panel launched last year at COP28 in the United Arab Emirates with the aim of bringing together governments, international organizations, industry and civil society to develop common and voluntary principles to guide extractive industries “in the name of justice and sustainability”.

In Baku, the UN chief, who convened Wednesday’s event, said that the renewables revolution is powering forward. Last year – for the first time – the amount invested in grids and renewables overtook the amount spent on fossil fuels.

Demand for the minerals critical to the transition are expected to surge – as governments triple global renewables capacity by 2030 – as promised – and phase out fossil fuels, Mr. Guterres said.
“For developing countries rich in those resources, this is a huge opportunity: to generate prosperity, eliminate poverty and to drive sustainable development. But too often this is not the case,” he warned, and added: “Too often we see the mistakes of the past repeated in a stampede of greed that crushes the poor.”
We see a rush for resources, with communities exploited, rights trampled, and environments trashed – UN Secretary-General António Guterres

Indeed, the rush for resources led to the exploitation of local communities exploited, the trampling of rights and the trashing of environments. “We see developing countries ground-down to the bottom of value chains, as others grow wealthy on their resources,” said the UN chief.
It was against the backdrop of this sad reality and calls from developing countries for action that the Panel had been established, he said.

The Panel’s latest report identifies seven voluntary principles and five actionable recommendations to embed justice and equity across critical mineral value chains.
“These aim to empower communities, create accountability, and ensure that clean energy drives equitable and resilient growth. That includes advancing efforts to ensure maximum value is added in resource-rich developing countries,” the Secretary-General explained.
The United Nations system is coming together to help implement the Panel’s findings, working with Member States and other stakeholders to establish the recommended High-Level Expert Advisory Group to accelerate action on key economic issues, including benefit sharing, value addition and fair trade.
Developing countries must be in the driver’s seat said the secretary General.

The UN chief said that developing countries will drive this process with indigenous peoples, local communities, young people, civil society, industry and trade unions present at discussions, alongside governments.
“We will also take forward the recommended global traceability, transparency and accountability framework for the entire mineral value chain. This will help to drive responsible production, safeguarding human rights and the environment,” he added.
All leaders – in government, industry and civil society – should join the UN and its partners from developing countries, local communities and beyond, to accomplish this task, Mr. Guterres insisted.
“As demand for critical energy transition minerals surges, so must action. Together, let us turn the transition towards justice and equity,” he said.