Beyond the negotiation
At a glance
As we enter the third month of the Year of Sustainability in the UAE and look ahead to COP28, it’s important to reflect on the main outcomes from COP27. Where does the UAE have an opportunity to set new benchmarks globally? And how will these influence local company action?
These were just some of the questions that were asked of our panel at the GHD hosted event addressing how change can be accelerated for a sustainable, low-carbon future in the UAE.
In a recent GHD-hosted panel event, Qais Al Suwaidi (VP Sustainability, TAQA), Shaemma Mebwana (Climate Change Analyst, MOCCAE), Anna Jakobsen (Sustainability, Resilience and ESG – Market Leader, EMEA), Muwaffaq Al Khedery (Advisor for Sustainability, Resilience and ESG, GHD), and facilitator Farah Yassine (Team Lead Sustainability, Resilience and ESG at GHD), provided their insights on COP27 and expectations for COP28.
Meeting to discuss their experiences and takeaways from their time at COP27, the panel established that while this year’s COP has many surprising outcomes and successes, such as reaching agreement to establish a long-awaited Loss and Damage Fund1, much was left to be desired. As nations return to their home countries and reflect on next steps, the pressure is on and opportunities abound for the UAE, where COP28 is set to be hosted in 2023.
Collaboration, mutual enablement, ambition, and the need for action were the main areas of focus for the UAE to take forward following this year’s focus on implementation. The promise of an “implementation COP” fell short of expectations as countries were asked “to achieve something much higher than they had been asked for before,” Muwaffaq observed.
With debates focused on the 1.5 degree Celsius target, phasing out fossil fuels, operationalising the Loss and Damage Fund, and exploring how multilateral financial institutions can fund such initiatives, concrete outcomes and commitments were limited, with many negotiations reaching roadblocks early in the conference.
Key takeaways from COP27
While the outcomes and attitudes of COP27 are mixed, a clear takeaway for our panel was that COP is evolving:
- Food and agriculture were a central focus, which was comparatively non-existent in COP26, demonstrating a shift in focus towards adaptation and improving resiliency for over 4 billion people;
- While COP26 opened with the science of climate change, at COP27 it took a back seat with mounting pressure for the data that initiated these conversations to be omitted from policies and commitments;
- Increased emphasis on diversity of voice and experience seen through expanded participation of younger generations;
- Achieving agreement to establish the Loss and Damage Fund, representing the culmination of 30 years of negotiation and pressure to take responsibility and accountability of damage caused by developed nations; and,
- Increasing importance and significance of agreements being made outside of the negotiation tent between independent organisations across the private sector, and the public sector.
Taking action
An observation made by our panel was the increasing significance of the discussions taking place outside of the “negotiation tent” at the private sector “tradeshow”.
Leading businesses are not waiting for COP to take action,” Anna said. As the voices of our youth, civil society, and regional governments grow louder to reduce emissions and increase sustainability efforts, organisations are no longer waiting for inter-governmental agreements to be made, reflecting the growing ambition and drive for the private sector to make rapid headway in transitioning their practices to net zero and achieve first-mover advantages.
As has always been the case, deals made in the public sector take time, are political, and must take into consideration lasting economic impacts and consider past commitments. In comparison, the private sector is not hindered by these constraints. It was evident from COP27 that the private sector is not waiting for negotiations to be finalised to take the helm for change.
This presents both an opportunity and challenge leading into COP28. The appetite and ambition of the private sector to become more sustainable will support government’s efforts to transition towards net zero. However, the increased focus on what is happening away from the negotiation room presents a challenge to bring focus back to the main agenda items and key goals that COP aims to achieve.
The UAE’s commitment to open COP28 up to all organisations that wish to attend, and to make it widely known that they have a place at this event, will make great strides in fostering greater ambition, accountability, and collaboration. As Shaemma said, “Instead of laying the blame on a particular sector, we should have the mindset that we should collectively work together to achieve the bigger goal.”
Preparing for COP28 with greater focus
What’s next for the UAE?
Whilst some items need time to mature and develop before they can be finalised, the intricate and often convoluted process of managing climate negotiations were executed well in Egypt this year, despite the somewhat overbearing challenges to conclude or move certain agenda items forward.
Yet, the panel summarised what they felt was clear from COP27; governments cannot achieve net zero on their own. They have set the vision, and now it is up to the private sector and civil society to take the lead to turn these visions into reality.
Ambition by the private sector is necessary, capital from the finance sector is critical, and the support from the public sector through the establishment of enabling policy landscapes is crucial for net zero to be achieved. This places the UAE in the prime position to leverage industry partnerships and the emergence of future industries to lead discussions in COP28.