In 2015, The Paris Agreement brought together around 200 countries – almost all the world’s nations – in an agreement to cut the greenhouse gas emissions that are causing global warming. It came into force on 4 November 2016.
Six years after the Paris Agreement, countries met again at the 26th United Nations Climate Change Conference, known as COP26, held in Glasgow, Scotland, United Kingdom to revisit the climate pledges made in 2015. The outcome of COP26 was the Glasgow Climate Pact and it will set the agenda on climate change for the next decade.
For the first time in the history of Conference of the Parties (COP), countries committed themselves to limit the use of coal, which is responsible for a large share of CO2 emissions. Furthermore, the leaders of more than 100 countries promised to put a stop to deforestation by 2030. The countries also agreed to meet again in 2022 to pledge further cuts to CO2 emissions in an effort to keep temperature rises within 1.5 degrees Celsius.
Another key element of the Glasgow Climate Pact is the commitment to increase climate financing for developing countries to help them cope with the effects of climate change and accelerate their transition to clean energy sources. World leaders also agreed to gradually phase out subsidies that artificially lower the price of coal, oil, or natural gas.
Georgia’s Prime Minister, Irakli Garibashvili, also delivered a speech at the Conference. He noted that Georgia has committed to reduce its greenhouse gas emissions by more than half by 2030, compared to its 1990 levels. Some action is already underway in Georgia, albeit rather slowly. However, businesses are becoming more aware of the benefits of using renewable energy and are choosing to invest in cleaner energy sources and moving funds away from traditional ones. As a metal construction business learned, by installing a solar power station they can save a significant amount of money every year, increase their energy independence and cut down on their annual emissions.
Over the past few years, Georgia has made significant steps towards improving the framework conditions, not only with regard to renewable energy but also in terms of energy efficiency. For example, adjustments to the net-metering system were implemented and two laws on energy-efficiency, which concern low-carbon approaches in the construction and industrial sectors, were approved. However, this was only the first of many steps. In order to achieve the climate objective, further interventions, including the development of appropriate climate-relevant actions, are indispensable.
There are many local and IFI-based financing support mechanism in Georgia. One of them is the EBRD’s GEFF in Georgia, which assists in the implementation of investments aimed at energy efficiency, renewable energy and certain climate adaptation measures, such as sustainable land management and water efficiency. In this way, the GEFF in Georgia is also contributing to the achievement of the above-mentioned objectives.
The next session of the Conference of the Parties (COP27) to the UNFCCC is scheduled to take place next year in Egypt. The final goal is to continue cutting emissions until the countries reach net zero in 2050.
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