Day one of the COP28 climate summit saw the first big breakthrough: agreement on a “loss and damage” fund to compensate poor states for the effects of climate change.
Met with a standing ovation in Dubai, the agreement means wealthy states and major polluters will put millions of dollars towards a fund that will in turn distribute funds to poor states harmed by climate change. The fund will be administered by the World Bank. Initial commitments amount to US$430 million.
It will come as a huge relief to the United Arab Emirates, the summit’s host. The country was under pressure even before talks began about its fossil fuel expansion plans and the fact the president of the climate talks is chief executive of a national oil company. This undoubtedly featured in the UAE’s decision to commit US$100 million to the fund.
