Baku, November 22, AZERTAC

Daniel Garić, Editor-in-Chief of the Ecology Newsroom of Radio and Television of Montenegro, ECO Ambassador of Montenegro and a member of the National Council for Sustainable Development, shared his insights with the Azerbaijan State News Agency (AZERTAC) on Azerbaijan’s hosting of the 29th session of the Conference of the Parties (COP29) to the United Nations Framework Convention on Climate Change, which will play a critical role in facilitating the country's transition to green energy, as well as achieving the goals of renewable energy development.

AZERTAC presents the interview:

- On the first day of COP29, an agreement was reached on Article 6.4 of the Paris Agreement. This is one of the main expectations of COP29. How do you assess this result?

-This is certainly a significant decision of the global climate talks, COP29 officially adopted new operational standards for the Paris Agreement mechanism under Article 6, setting the stage for a global carbon market.

Article 6 was a big obstacle at previous COPs, some countries were afraid of the risk to their economies. So far, the negotiations have not progressed. Article 6 offers two pathways for countries and companies to trade carbon offsets, supporting the achievement of emission reduction targets set out in their climate action plans or nationally determined contributions (NDCs).

-What is the situation with emission monitoring standards?

- Negotiations have previously stalled over differing views on how permanent and reliable carbon credits should be. I think that the previous procedural hurdles are now being cleared and it will be easier for delegates to address other critical issues at the COP. However, it should be emphasized that we still do not have clear standards for monitoring emissions, and this is crucial for the long-term reliability of the market.

- International financial corporations and banking structures have already announced that they will increase their financial contributions to combat the effects of climate change. All this creates an excellent environment for negotiations at COP29 to reach a historic agreement on a new climate finance target. How do you see the outcome of these negotiations?

- I would express cautious optimism here. Certainly, this is a good and useful start and means that we have moved from scratch. Now we need financial mechanisms that should help solve the climate crisis. Despite this achievement, significant elements of Article 6 remain unresolved, particularly Article 6.2, which governs bilateral trade between countries.

The EU and the US are still divided on the demand for transparency, we will see what happens during the continuation of negotiations at COP29. Certainly, the presidency of Azerbaijan should be congratulated for achieving something that the previous organizers of COPs have not been able to do.

- Why has it not been possible to reach a consensus on funding so far?

- Financing is at the top of the agenda of the heads of delegations at the COPs. We know that until now, due to the greedy geopolitical race, not enough money has been allocated. Already, with a temperature increase of 1.4 degrees compared to the pre-industrial period, we need more than a billion dollars a day to fight natural disasters. If this continues, we can imagine what money we need in 5 or ten years.

The decision of the World Bank to finance the climate policy with 170 billion dollars is a good wind at the back. However, it should be known that the policy of the World Bank depends on the policy of America. We know who appoints the president of the World Bank.

- Do you think that the US may move away from financing the green economy?

- Let's remember that just two years ago, American President Joe Biden dismissed David Malpass, because he financed fossil fuels and did not want to invest in green policies. Now we have a new president of the World Bank who gives $170 million. But the USA recently got a new president who does not believe in green policies.

So, we don't know if this is just one financial injection from the World Bank or its long-term commitment? Will Trump appoint a new president of the World Bank and will he be willing to invest in global climate recovery efforts? These are all issues to consider.

- Azerbaijan is a leader in the South Caucasus region in the transition to green energy. How can the EU and Azerbaijan cooperate in this direction?

- I think that the European Union is the largest trade partner of Azerbaijan and that the European Union is the largest investor in Azerbaijan. I think the most important thing is for Azerbaijan to use the help offered by the EU in order to become a member of the World Trade Organization

The Southern Gas Corridor is considered a strategic project for bringing gas from the Caspian Sea to European markets. After the war in Ukraine, the European Union constantly talks about the energy crisis. He considers that corridor important for improving the security of energy supply in Europe. In 2019, Azerbaijan joined the Eastern European Partnership for Energy Efficiency and the Environment, and further EU support in the energy sector, including energy efficiency, is provided through the EU4Energy initiative.

As far as I know, there is also cooperation in the field of environment and climate goals with Azerbaijan. There are programs. Water+ initiative, EU4 Climate and EU4 Environment. These initiatives help Azerbaijan meet its Nationally Determined Contributions to the Paris Agreement as well as achieve the Sustainable Development Goals (SDGs).

- What measures should Azerbaijan take to accelerate the green transition?

-However, I think that Azerbaijan, as a "country of fossil fuels", should follow progressive European policies. Brussels is the only global player that has clearly defined targets and does not give up on them. The EU wants to become the first carbon-neutral continent by 20250. This will affect the trade policy with all partners, including Azerbaijan. If it does not complete its energy transition on time, I fear that trade with the EU could be threatened.

- Do you think it will be possible to reach a consensus to accelerate the green transition?

-Certainly, I fear that there is not enough consensus and that the world is considerably polarized. The differences are too great. It is clear that now China does not want to be geopolitically threatened, that it wants to carry out its economic development to the end, to become a global superpower and thereby secure its position in the long term. How to convince it to slow down its development because of the policies of some others who have been doing the same for decades?

It is precisely because of decades of development in the northern hemisphere that we have climate changes and natural disasters today. Why didn't the EU and the US think about it 30 or 40 years ago? Especially if we know that they had scientific knowledge back in the late 60s about how much the exploitation of fossil fuels will affect the climate and how brutal those consequences will be. No, they knew it, they covered up that scientific knowledge and continued to develop it. Well, now they are so developed they remembered that we should slow down. You should be fair. Solidarity was lacking then and now.

However, China can negotiate. What about those who can't?! What about dozens of small countries that have been devastated by floods, fires, droughts, tsunamis. They neither contributed to it nor now have the money to protect themselves and recover. People lose their homes, are left without houses and property, die in the wind and sun if they have already managed to survive a tsunami or drought. What about them? Where is the justice?