Despite a Climate-works Foundation report revealing stagnant philanthropic funding for climate change mitigation in 2022, the forum introduces new blended finance vehicles to fund initiatives through a mix of corporate investments and donations

At the wrap-up of the United Nations climate talks in Dubai, foundations and other contributors committed over USD2.1 billion in new financing to mitigate climate impacts, particularly in agriculture and to enhance support for vulnerable communities. COP28, the Conference of Parties to the UNFCCC Summit, marked several significant firsts, including discussions on health, food production and philanthropy.

Various foundations and private companies, sometimes in collaboration with governments, made the estimated pledges, which span different timelines. Notably, the Global Fund to Fight AIDS, Tuberculosis, and Malaria pledged to allocate 70 per cent of its budget, approximately USD 9 billion, to the 50 most climate-vulnerable countries over the next three years.

Peter Sands, CEO of the Global Fund, acknowledged the oversight of the global health community, including their organisation, in not fully recognising the impact of climate change on global health amidst the focus on COVID-19.

In response to this emerging intersection of climate and health, the Global Fund, the World Health Organisation, the Green Climate Fund, the Rockefeller Foundation, and the COP presidency set forth a set of principles for financing projects. The COP28 summit also featured the inaugural Business & Philanthropy Forum, offering foundations, donors and corporations a more formal role as leaders seek increased private sector financing.

Despite a Climate Works Foundation report revealing stagnant philanthropic funding for climate change mitigation in 2022, the forum introduced new blended finance vehicles to fund initiatives through a mix of corporate investments and donations. It also called for directing funding to Indigenous peoples already engaged in environmental protection in their communities.

However, opinions vary on the efficacy of such efforts, with some, like Ozawa Bineshi Albert from the Climate Justice Alliance, emphasising the need for government policy and regulation, particularly in reducing carbon production.

The forum also introduced initiatives supporting Indigenous peoples, including new blended finance vehicles and a call to direct funding for those already working to protect the environment in their communities. Albert of the Climate Justice Alliance cautiously welcomed these efforts but stressed the paramount importance of government policy and regulation in reducing carbon production.

While the Business & Philanthropy Forum is seen as a positive step, Albert emphasised that government action, especially in reducing carbon production, is crucial for effectively addressing the climate crisis. She believes that no matter how much philanthropy invests, meaningful progress requires comprehensive government intervention.

Christie Ulman, president of the Sequoia Climate Foundation, voiced support for ambitious targets for renewable energy and pollution reduction at the COP, along with a USD450 million commitment over three years to target the reduction of methane and other pollutants. The Sequoia Climate Foundation had previously pledged USD 500 million over three years to accelerate the transition to clean energy in low- and middle-income countries.

Other notable pledges include the Bezos Earth Fund’s USD100 million commitment to support Pacific Island nations in protecting marine ecosystems, Bloomberg Philanthropies’ commitments to ocean protection, clean energy transition and climate-resilient cities, and the Bill & Melinda Gates Foundation’s USD100 million commitment, along with the United Arab Emirates, to address food insecurity.

The Gates Foundation and other funders also pledged a collective USD770 million to expand the work of the Reaching the Last Mile Fund, focused on eliminating neglected tropical diseases. The Sands of the Global Fund emphasised the importance of leveraging existing global health structures to alleviate the strain on individual health systems and called for urgent action to address climate-induced health inequities worldwide.

(PTI)