Towards Inclusive Climate Multilateralism: An Opportunity for the G20 - Observer Research Foundation

Towards Inclusive Climate Multilateralism: An Opportunity for the G20 | ORF

Attribution: Aditi Mukund and Namrata Kabra, “Towards Inclusive Climate Multilateralism: An Opportunity for the G20,” T20 Policy Brief, June 2023.

Task Force 7: Towards Reformed Multilateralism: Transforming Global Institutions and Frameworks

1. The Challenge

Climate change has demonstrably substantial effects on global and domestic economic cooperation.

Climate change is posed to be the “greatest market failure” of the world, augmented by other market imperfections.

As the world’s largest economies and leading producers of greenhouse gases, the G20 bears an imperative responsibility in resolving the looming economic catastrophe exacerbated by climate change. The G20, recognising the link between economic cooperation and climate change, has taken few steps to reduce the implications of climate change. From pushing countries to submit intended nationally determined contributions and ratify the Paris Agreement, promoting green energy capital mobilisation and decarbonisation (including climate finance), promoting the implementation of carbon pricing mechanisms, encouraging the green energy transition along with the circular carbon economy, and building adaptation resilience a foreground to development, the G20 has successfully fostered global climate action.

The current, preceding, and upcoming G20 presidencies, all held by developing nations, provide an excellent opportunity to anchor the voices of the Global South and facilitate an inclusive climatic and economically secure future for all. India is ranked the third-most vulnerable nation to physical climate risk, and 14 Indian states will be among the world’s top 100 most climate-risky regions by 2050.

India advocates the principle of ‘common but differentiated responsibilities and respective capabilities’, emphasising that developed countries that have traditionally been the largest greenhouse gas emitters have a greater responsibility to reduce emissions and help developing countries adapt to climate change. India is a staunch supporter of equity, voicing concern for those in the Global South who have contributed the least to climate change but bear the most impacts, including a significant economic impact.

A few outstanding examples of India’s inclusive and collaborative climate leadership are the International Solar Alliance (ISA) and the Coalition for Disaster Resilient Infrastructure (CDRI). The two mechanisms promote global climate action for developing countries through climate diplomacy, energy access, disaster relief, and resilience by mobilising finance and enabling capacity building.

In addition, India is setting an example by expanding its climate targets for 2030,

India’s stance and emphasis on equity, historical emissions, and climate justice demonstrates its leadership role for developing countries, and it is well-positioned to push for inclusive climate multilateralism during its G20 presidency.

Although climate change is a global concern, its effects on countries, geographies, ecosystems, and people are differentiated and disproportionate. The Global South faces differentiated impacts from climate change, with women and other marginalised groups bearing the brunt of these impacts due to intersectional characteristics, including social and economic responsibilities, food and water security, energy, and healthcare obligations that make these sections more vulnerable.

Climate change-induced loss and damage are both economic and non-economic in nature.

While solutions to address the climate crisis by reducing global emissions and reversing global warming are on-going, the brunt is felt in the form of disasters. A grim estimate shows that 90 percent of natural disasters and 95 percent of all disaster-related deaths occur in developing countries.

Climate action must address the complexities of impacts, particularly on the most vulnerable groups, with a focus on equity and justice. This means ensuring that the most vulnerable communities and regions have access to resources and support to adapt along with financial and technical support. It also entails acknowledging indigenous and local groups’ traditional knowledge and practices in adaptation efforts and ensuring their participation in decision-making. Gender-blind climate action is guaranteed to fail by default since it disregards the disparate effects of specific policies. Eventually, inclusiveness can result in the establishment of a model or framework within the G20 that induces systemic change, hence fostering growth and sustainable development across different work streams. International economic cooperation, a commitment to climate justice, mainstreaming inclusivity, and equitable burden-sharing between developed and developing countries is required.

2. The G20’s Role

Amid the growing mistrust of the global multilateral system,

This is the opportune moment for India to champion inclusivity across the G20, but specifically for climate multilateralism by continuing to place the Global South’s concerns on the agenda, and incorporating a gendered perspective and including marginalised voices. The G20 must take decisive action to decrease emissions, mobilise climate finance, expedite the transition to a low-carbon economy, strengthen adaptation and resilience, and advance international cooperation on climate change. Through its climate-related work streams and engagement groups—for instance, the sustainable finance working group, energy transition working group, carbon pricing leadership coalition, and the recently formed environment and climate sustainability working group—the G20 can create and implement climate change and sustainable development policy. Considerations for inclusivity must also be applied as multilateralism, like other international systems, has failed to adequately involve women in decision-making roles.

Climate multilateralism, or global cooperation on climate change, is hindered by political disagreements, economic interests, imposition of additional tariffs and non-tariff barriers on goods and services produced by the Global South countries, technology and infrastructure barriers, limited resources, and a lack of trust. Global and multilateral climate action must not only consider the issue of climate financing but respond to the needs of developing countries to revive trust. The energy transition to a low-carbon economy and to the increased usage of renewable energy will require financial commitments by the Global North in the form of grants, and zero-interest/low-interest loans for the Global South. Reaching net zero requires a US$100 billion annual commitment at the minimum.

3. Recommendations to the G20

To overcome the challenges, stronger global cooperation, sustained political will, and substantial investments in clean technology and climate resilience for developing nations are required. To create a climate legacy within the G20, this policy brief proposes that the Indian presidency’s actions must be anchored on two pillars: disaster risk resilience, and climate finance.

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India’s G20 presidency successfully led the formation of the disaster reduction working group.

India can consider embedding a gender lens in disaster risk reduction and resilience. Women suffer greater losses in lives and livelihoods during disasters, as well as lengthier recovery times, because of gender-specific hurdles and inequality.

Another issue is the collection of gender-disaggregated data. According to a UN Women report, 62 of the 70 countries surveyed stated that they had not collected proper sex-disaggregated data.

To avoid the duplication of efforts and to streamline the focus on policy action, the G20 can draw on existing frameworks and institutional expertise on gender sensitive disaster risk reduction. The 2012 UN Commission on the Status of Women resolution 56/2,

The G20’s endeavour to enhance disaster risk reduction must be a collaborative effort between relevant engagement groups and workstreams. This policy brief proposes that the Think20 (T20), Women20 (W20), and the disaster risk reduction working group converge on this issue. The T20 and W20 (which already interface with each other in various capacities) can act as valuable resources, while the disaster risk reduction working group can work towards incorporating suggestions within its framework. Additionally, the ‘data for development’ initiative must make a more proactive push for gender-disaggregated data collection across its verticals, with a focus on disasters.
Policy Gap Relevant existing frameworks and institutions Suggested action

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Within the G20, the issue of climate financing (particularly concerning renewable energy) is a mainstay in most climate discussions. The narrative must now expand to include both qualitative aspects (such as financing through grants and zero/low interest loans) and quantitative aspects (collaboration and partnerships). This requires reframing the climate crisis as a transnational and transcultural opportunity to collaborate and cooperate.

India must consider advocating for grants-based climate finance flows to developing and low-income countries, and supporting a gender-just energy transition.

Through the environment and climate sustainability working group

At a multilateral level, including the ISA

At an operational level, climate financing and renewable energy must include gendered perspectives. Projects will have beneficial

The W20 group can play a key role in catalysing the participation of women in renewable energy. It can incorporate some of the learnings and recommendations on gender and women
Policy Gap/Challenge Existing organisations and initiatives Suggested action

Existing multilateral systems are large and often difficult to navigate, particularly for underrepresented voices. Positive changes to these systems need not be sweeping reforms and can be brought about by smaller and more focused actions. India’s G20 presidency thus presents an opportunity to promote inclusive climate multilateralism and accelerate global cooperation on climate change through better interconnectedness within the various streams that are not as unwieldy as a larger grouping and often easier to achieve consensus. By prioritising equitable climate action, which includes strengthening grant-based climate finance to promote the transition to renewable energy, and gender inclusive disaster resilience, India can play a key leadership role in addressing the climate crisis in a way that is relevant to the developing world, and in promoting a sustainable future for all.

Endnotes

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