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Published by the International Institute for Sustainable Development (IISD) 
<http://iisd.ca> 

 

Vol. 12 No. 332
Friday, 18 May 2007

SB 26 <http://www.iisd.ca/climate/sb26/>  HIGHLIGHTS:

THURSDAY, 17 MAY 2007

On Thursday, the third workshop under the UNFCCC Dialogue drew to a close, with 
participants meeting in the morning and afternoon to discuss action on 
adaptation and matters relating to the fourth workshop in August 2007. An AWG 
contact group also convened in the evening, and contact groups and informal 
consultations under the SBSTA and SBI continued on the budget, deforestation, 
and technology transfer.

UNFCCC DIALOGUE

The third workshop under the Dialogue on long-term cooperative action by 
enhancing implementation of the Convention concluded on Thursday, with 
discussions focused on addressing action on adaptation and on the fourth 
workshop, to be held in Vienna in late August.

ADDRESSING ACTION ON ADAPTATION: Richard Klein, IPCC, presented on links 
between adaptation and mitigation, stating that there is no single optimal mix 
of adaptation and mitigation, and both are intertwined with social and economic 
development choices.

In response to a question by AUSTRIA on the abatement cost of carbon as opposed 
to its social cost, Klein noted lack of literature and uncertainties due in 
part to the difficulties of including adaptation in models. INDIA emphasized 
several concrete adaptation initiatives that it is implementing. SOUTH AFRICA 
lamented the fragmented nature of adaptation discussions under the UNFCCC, 
advocated a broader “360° approach” to adaptation, and suggested a new 
Adaptation Committee of Experts. 

CHINA proposed a protocol or agreement on adaptation, and concrete pilot 
projects. The EU said adaptation should play a more important role in the 
future regime. KENYA highlighted the impact of climate change on 
desertification and human health issues such as malaria and HIV/AIDS. REPUBLIC 
OF KOREA called for innovative financing for adaptation, such as a levy on 
emissions trading. 

Saint Vincent and the Grenadines, for AOSIS, drew attention to mangroves and 
coral reefs as a first line of defense for coastal zones, “brain drain” from 
SIDS and, with MICRONESIA, insurance issues. Halldor Thorgeirsson, Secretariat, 
noted a report on financial flows and investments to be presented at the fourth 
workshop. 

The UK reported on the UK Climate Impacts Programme and adaptation policy 
framework. CLIMATE ACTION NETWORK (CAN) suggested suitable levies on the 
flexible mechanisms and “compensatory support” from Annex I parties amounting 
to tens of billions of dollars.

SPAIN and URUGUAY reflected on an Ibero-American initiative on climate change. 
SPAIN highlighted adaptation as a crucial issue beyond 2012. INDONESIA 
underscored adaptation technology and the importance of early warning systems.

JAPAN said the Adaptation Fund needs to be operationalized as a matter of 
urgency, and the UNFCCC should play a coordinating role in light of the 
complexity of adaptation and multiple actors involved. COOK ISLANDS said 
vulnerability must be measured in terms of countries’ adaptive capacity. 

The US supported defining the UNFCCC’s role on adaptation, in order for parties 
to be able to move forward. Maldives, for LDCs, said the science and economics 
of climate change are now clear, leaving only the need for political will. 
TRADE UNIONS welcomed South Africa’s proposal to address adaptation in an 
integrated manner.

SUBSTANTIVE AND ORGANIZATIONAL MATTERS RELATING TO THE FOURTH WORKSHOP: 
Co-Facilitator Bamsey explained that the Dialogue had now addressed each of the 
four themes identified in the COP 11 decision separately, and that in Vienna 
these would be taken up in an integrated manner. He welcomed input from parties 
and observers, noting that the fourth workshop is the final one, and that the 
Co-Facilitators would prepare a report on the Dialogue for consideration by COP 
13 in Bali.

BRAZIL reflected on the positive exchange of ideas and proposals, but expressed 
frustration on how to implement these. SOUTH AFRICA identified possible options 
for moving forward in Bali. As one alternative, he mentioned a new agenda item 
under the COP, leading to policy level discussions and negotiations. He also 
mentioned possibilities of continuing the dialogue and creating a platform for 
enhancing the implementation of commitments. He suggested the possibility of 
reorganizing and consolidating the COP agenda into five areas: adaptation; 
mitigation; managing unintended consequences of adaptation and response 
measures; technology; and implementation. 

IRAN emphasized the importance of considering the impact of response measures 
and economic diversification. The EU stressed the need to be able to build on 
the ideas identified during the workshops, and INDIA called for a fresh 
approach. Stressing the need for a post-2012 agreement, CLIMATE ACTION NETWORK 
urged the establishment of a new ad hoc working group in Bali.

Thanking participants for their comments and contributions, Co-Facilitator 
Bamsey declared the third workshop under the Convention Dialogue closed at 4:50 
pm.

CONTACT GROUPS AND INFORMAL CONSULTATIONS

AWG: Following Friends of the Chair consultations during the day, the AWG 
contact group convened shortly after 7:00 pm to work through a new version of 
the draft conclusions. 

CHINA, opposed by the EU and NORWAY, proposed deleting a bullet point 
indicating, inter alia, that mitigation efforts during the next few decades 
will to a large extent determine the long-term temperature increase and climate 
change impacts. CHINA explained that issues covered during the AWG round table 
should not be negotiated by the AWG. South Africa, for the G-77/CHINA, proposed 
adding language on “25-40% greenhouse gas emissions reductions below 1990 
levels” for Annex I parties. NEW ZEALAND proposed adding “sinks” to a sentence 
indicating that mitigation potential can be expanded through flexible 
mechanisms. 

Delegates also discussed submissions and a technical paper to be prepared by 
the Secretariat. On timetables for submissions, JAPAN and others proposed 
February 2008, while CHILE and others preferred a pre-Bali deadline. The 
G-77/CHINA suggested language on the resumed AWG 4 in Bali developing a 
timetable or schedule for the completion of the AWG’s work programme.

AWG Chair Charles indicated that informal consultations would continue on 
Thursday night and Friday morning prior to the plenary scheduled for 3:00 pm 
Friday. 

BUDGET: Delegates met in a morning contact group and approved the core 
programme budget of US$54,031,584, representing a 0.99% increase. The 
G-77/CHINA proposed deleting a sentence in the draft conclusions on the 
possibility of using the advice of the UN Advisory Committee on Administrative 
and Budgetary Questions in preparing budget proposals. The EU raised concerns 
about this deletion, and Chair Dovland suggested that the EU’s objections could 
be noted in plenary. 

Debate ensued on language in a paragraph requesting “the executive secretary in 
the course of implementing the programme budget to make every effort to ensure 
that support to developing countries and other key areas of work in the 
proposed programme budget is not affected.” The EU, supported by the US, 
suggested deleting “ensure that” and inserting “provide sufficient support.” 
The G-77/CHINA clarified that it had accepted the lower budget proposal on the 
condition that developing country activities were not implicated. This 
paragraph was eventually accepted, as amended by the EU, with further minor 
amendments by the G-77/CHINA. The draft COP decision was also accepted, as 
presented. 

Parties reconvened in an afternoon contact group to consider a revised COP/MOP 
decision reflecting outcomes from consultations on the International 
Transaction Log (ITL). Helen Plume (New Zealand), who facilitated Friends of 
the Chair discussions, presented text that was accepted after deletion of a 
paragraph requesting the Executive Secretary to review the resource 
requirements of activities for 2009. Parties also approved an annex II table 
depicting the indicative scale of fees for the ITL for the biennium 2008-2009. 
The COP/MOP decision was then accepted.

DEFORESTATION: Informal consultations and small drafting group meetings took 
place throughout the day, with parties attempting to remove brackets from the 
Co-Chairs’ draft COP decision. Progress was made on several paragraphs, 
including one inviting relevant organizations and stakeholders to participate 
in and/or support efforts to reduce emissions from deforestation, and share the 
outcome of their efforts by September 2008. Compromise was also reached by 
referring to “efforts” instead of “activities” in some paragraphs, and adding 
reference to the need to address forest degradation in the preambular section.

A proposal to add a paragraph to the draft SBSTA conclusions asking for 
submissions on the way forward was made at the end of the informal meeting. 
After further consultations, the paragraph was presented. It invited parties to 
submit their views “on the issues under the Convention related to reducing 
emissions from deforestation in developing countries: approaches to stimulate 
action.” One developing country opposed reference to the Convention. However, 
the paragraph was agreed as presented with the addition of “related to further 
steps.”

A subsequent contact group agreed to the draft SBSTA conclusions, with the 
bracketed draft COP decision as an annex. 

TECHNOLOGY TRANSFER: Informal consultations held in the morning resulted in 
agreement on the SBSTA conclusions, on the condition that the first annex, 
which outlines the set of actions for the constituted body, be replaced with 
previously-agreed text set out in document FCCC/SBSTA/2006/5, Annex II. A 
paragraph encouraging regional groups to consult with a view to nominating 
members for the constituted body was accepted, pending final approval at COP 
13. A sub-paragraph on the continuance of the pilot project TT:CLEAR, was 
deleted in view of the limited time left for negotiations. 

On the draft COP decision, parties made limited progress, approving one 
preambular paragraph. One developed country also added text in the last 
operative paragraph elaborating on requests to the GEF. However, this remained 
in brackets.

In the final contact group, Co-Chair Shimada presented the work programme for 
the EGTT for 2007 as an annex to the draft conclusions and the “heavily 
bracketed” draft COP decision. Ghana, for the G-77/CHINA, asked for deletion in 
the draft decision of the preambular paragraph that recognizes the 
implementation potential of existing financing sources such as the private 
financing advisory network, on the grounds that the project is “still in its 
infancy.” Other parties agreed to this in the spirit of compromise. The EU said 
progress had been made in informal consultations to identify “what we are 
aiming at in terms of the constituted body.” The SBSTA draft conclusions were 
adopted, with the bracketed COP decision in an annex.

IN THE CORRIDORS

Various views were expressed by delegates departing the plenary at the end of 
the Dialogue workshop on Thursday afternoon. While some were disappointed that 
the talk had yet to translate into action, others seemed pleased at the 
relatively “open” and “constructive” exchanges. “It is hard to say where this 
is leading us, but something seems to be slowly taking shape,” said one 
observer looking ahead to the fourth and final workshop in Vienna. “I suspect 
parties will be studying some interesting proposals from South Africa and 
others on possible ways forward,” observed another.

Meanwhile, as delegates left the AWG contact group on Thursday evening to start 
Friends of the Chair talks, some were reflecting on the sensitive nature of the 
discussions. “The contact group was fine, but I suspect we will see the 
difficult, political issues such as ranges and timetables bog things down now 
we’re going into informals,” cautioned one.

ENB SUMMARY AND ANALYSIS: The Earth Negotiations Bulletin summary and analysis 
of UNFCCC SB 26 <http://www.iisd.ca/climate/sb26/>  will be available on 
Monday, 21 May 2007, online at: 
http://www.iisd.ca/climate/sb26/ <http://www.iisd.ca/climate/sb26/> 
 

This issue of the Earth Negotiations Bulletin © <[EMAIL PROTECTED] 
<mailto:[EMAIL PROTECTED]> > is written and edited by Asheline Appleton, 
Suzanne Carter, María Gutiérrez Ph.D., Kati Kulovesi and Chris Spence. The 
Digital Editor is Dan Birchall. The Editor is Pamela S. Chasek, Ph.D. <[EMAIL 
PROTECTED] <mailto:[EMAIL PROTECTED]> >. The Director of IISD Reporting 
Services is Langston James “Kimo” Goree VI <[EMAIL PROTECTED] <mailto:[EMAIL 
PROTECTED]> >. The Sustaining Donors of the Bulletin are the United Kingdom 
(through the Department for International Development – DFID), the Government 
of the United States of America (through the Department of State Bureau of 
Oceans and International Environmental and Scientific Affairs), the Government 
of Canada (through CIDA), the Danish Ministry of Foreign Affairs, the 
Government of Germany (through the German Federal Ministry of Environment - 
BMU, and the German Federal Ministry of Development Cooperation - BMZ), the 
Netherlands Ministry of Foreign Affairs, the European Commission (DG-ENV) and 
the Italian Ministry for the Environment and Territory General Directorate for 
Nature Protection. General Support for the Bulletin during 2007 is provided by 
the Swiss Federal Office for the Environment (FOEN), the Norwegian Ministry of 
Foreign Affairs and the Ministry of Environment, the Government of Australia, 
the Austrian Federal Ministry for the Environment, the Ministry of Environment 
of Sweden, the New Zealand Ministry of Foreign Affairs and Trade, SWAN 
International, the Japanese Ministry of Environment (through the Institute for 
Global Environmental Strategies - IGES) and the Japanese Ministry of Economy, 
Trade and Industry (through the Global Industrial and Social Progress Research 
Institute - GISPRI). Funding for translation of the Earth Negotiations Bulletin 
into French has been provided by the International Organization of the 
Francophonie (IOF) and the French Ministry of Foreign Affairs. Funding for the 
translation of the Earth Negotiations Bulletin into Spanish has been provided 
by the Ministry of Environment of Spain. The opinions expressed in the Earth 
Negotiations Bulletin are those of the authors and do not necessarily reflect 
the views of IISD or other donors. Excerpts from the Earth Negotiations 
Bulletin may be used in non-commercial publications with appropriate academic 
citation. For information on the Bulletin, including requests to provide 
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<http://www.iisd.ca/climate/sb26/>  can be contacted by e-mail at <[EMAIL 
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