Climate Financing

Lord Oates Excerpts

Tuesday 17th October 2023 Lords Chamber

Asked by

[Lord Oates]

To ask His Majesty’s Government what discussions they have had with international counterparts about the commitment of delivering $100 billion of climate financing made at COP 26, and when they expect it to be met.

[Lord Oates (LD)]

My Lords, I beg leave to ask the Question standing in my name on the Order Paper and in doing so I declare my interest as chair of the APPG for Africa’s inquiry into just energy transition.

[The Parliamentary Under-Secretary of State, Department for Energy Security and Net Zero (Lord Callanan) (Con)]

My Lords, the UK COP 26 presidency published a delivery plan with other contributors showing that we would meet the $100 billion goal in 2023. At the Petersburg dialogue this May, developing countries confirmed that we are on track. We have worked with the Canadian and German Governments to publish an open letter at the UN General Assembly explaining upcoming milestones. The UK and other contributors are working with the OECD on a report by COP 28 on progress with regard to COP 21.

[Lord Oates (LD)]

I welcome the Minister’s Answer. Does he agree that the $100 billion target is just a fraction of what is needed? The capital requirement for just energy transition in Africa alone is estimated to be around $2 trillion to $3 trillion, yet the $100 billion target has been consistently missed in the past. Can the Minister tell the House what plans there are to make up past shortfalls, including the UK’s contribution, and what is the Government’s strategy to crowd in the additional private capital that will be so critical in meeting the challenges of energy transition and climate change?

[Lord Callanan (Con)]

The noble Lord makes some very good points. He may not have had the chance to see it yet, but we published a WMS this morning with details on our progress towards meeting the $100 billion target—so his question is very well timed. He makes a good point that, while government finance will be important, of course private finance is equally important, including in the UK and developing countries, towards meeting these goals.