During Mediterranean Climate Week 2020, the Union for the Mediterranean (Ufm) declared that the climate finance is a priority for the Southern and Eastern Mediterranean region.
The Mediterranean Climate Week 2020 was a good opportunity to discuss the evolution of international public and private financial flows for the climate.
Actually, the Mediterranean region is warming 20% faster than the rest of the world, according to UfM Regional Forum on October 10, 2019 in Barcelona and with the current economic policies, temperatures are expected to rise by 2.2 ºC by 2040. The per capita energy demand of the countries of the South and the East of the Mediterranean is also expected to increase by 60%.
These countries have attracted 9% of international public climate finance commitments each year. Considering that these countries represent 4.1% of the world’s population, this shows that the region is attracting a large flow of investment.
The limit determined by the Paris Agreement, of a maximum increase of 1.5 degrees in average temperature, is already exceeded in the Mediterranean region, according to the first scientific report on the impact of climate change and environmental in the Mediterranean. Faced with the unprecedented situation following the COVID-19 crisis, the UfM member states, scientific experts, representatives of civil society and other actors concerned with the climate met during UfM 2020 Mediterranean Climate Week to discuss the main issues related to this area.
This meeting was an opportunity for the UfM to present its action plan for the climate over the period 2021-2025. Their work mainly focuses on strengthening the link between science, society and politics, including the role of youth, the active participation of regions in the national contributions (CND) determined by the Paris Agreement and which will be submitted to this year and the mobilization of climate finance.
In the global commitment to tackle climate change, the current lack of data on international private climate finance is a major obstacle. It limits the ability of governments to make informed decisions in their attempts to scale up climate projects.
A full session on climate finance focused on the presentation of the UfM preliminary report “Flows of climate finance in the countries of the South and East of the Mediterranean”. This report shows in particular that international commitments in climate finance represented $ 695 billion in 2018, 9% of global flows.
Multilateral development banks accounted for 64% of flows. The main recipient countries in 2018 are Morocco, Turkey and Egypt, corresponding to $ 43 billion, while Algeria and Montenegro received $ 56 million and $ 36 million respectively. In terms of sectors, renewable energy production (wind farm, solar panel, etc.) represented 15% of total commitments, mainly financed by Germany and the EBRD, while water and sanitation have received $ 971 million, funded mainly by Germany and the EU institutions.
Elina Bardram, Head of Unit at DG CLIMA of the European Commission, said: “Regional cooperation remains an essential tool for finding the right answers to common climate and environmental challenges, this is where the UfM plays a role key “.
UfM Deputy Secretary General, Grammenos Mastrojeni, concluded that: “The Mediterranean has its own climatic identity and its own challenges. Today, it is heating up faster than the world average and we cannot miss such an historic opportunity to build a strong Mediterranean strategy. The UfM’s climate finance strategy is helping to highlight the margins for growth in international public and private finance for the climate and how to optimize their mobilization. ”