How we respond to climate change over the next decade will determine the fate of billions of people globally, and the stability and prosperity of our region. Ambitious international climate finance pledges, alongside bold domestic emission reduction targets, is critical for successful and just global climate solutions.
Wealthy governments have fallen short in meeting the USD 100 billion climate finance commitment by 2020 and current pledges up to 2025 will leave low-income countries up to USD 75 billion out of pocket. This finance shortfall is unfairly pushing the costs of the climate crisis on to those least responsible for it. Australia has had important periods of climate finance leadership over the past decade, but it is currently not contributing its fair share towards global climate solutions.
Australia has the responsibility and capability to expand climate finance commitments and ensure that low-income countries, including our Pacific Island neighbours, can adapt to worsening climate impacts. Based on Australia’s wealth and greenhouse gas emissions, Australia’s fair share is estimated at 2.5 per cent of global climate action.
Australia can achieve this fair share by immediately doubling its climate finance commitments to $3 billion over 2020-2025; recommitting between $700-900 million to the Green Climate Fund by 2023; and progressively increasing its financing to achieve its fair share of $12 billion annually by 2030.
- Scale up Australia’s contributions to global climate finance in three stages to 2030
- Support a standalone finance arm for loss and damage in the United Nations Framework Convention on Climate Change (UNFCCC)
- Channel fossil fuel subsidies into climate finance
- Prioritise locally led, gender-responsive climate finance to ensure projects