Australia Rejoins the Green Climate Fund but Should Commit Millions More, Advocates Say

Australia's Prime Minister Anthony Albanese attends a bilateral meeting with U.S. President Joe Biden as part of the G7 Leaders' Summit in Hiroshima, Japan, on May 20, 2023. Brendan Smialowski/AFP via Getty Images

The Albanese government announced Australia will rejoin the Green Climate Fund (GCF), a global body that aims to help developing countries cut emissions and adapt to climate change, on Oct. 5.

A spokesperson for Foreign Minister Penny Wong said Australia would modestly contribute to the GCF before the end of the year to win over Pacific partners’ concerns about climate change.

“We recognise that the GCF is the most prominent global climate finance fund, and we will work with partners to improve the GCF’s effectiveness,” the spokesperson said, adding that Australia would directly boost financing to the Pacific and build on increased regional development assistance.

Australian Foreign Minister Penny Wong looks on during a joint press conference in Makati, Philippines on May 18, 2023. Lisa Marie David - Pool/Getty Images

The previous Morrison government announced quitting contributions to the fund during an interview with broadcaster Alan Jones in October 2018, saying it would not throw “money into some global climate fund” after committing $200 million (US$127.6 million) to it under the Abbott and Turnbull governments.

GCF is the world’s largest climate fund, and US$12 billion portfolios of climate projects supported 129 countries, according to the 2020–2023 progress report.

Labor Should Commit $700–$990 Million More: Oxfam

Oxfam welcomed the announcement but called for Australia to advocate for the fund to be more effective for the most climate-vulnerable countries, particularly in the Pacific.

Oxfam Justice Strategic Lead Melissa Bungcaras said, “We stress the importance of listening to the calls of our Pacific neighbours who are disproportionally affected by the impacts of the climate crisis.”

Further, Ms. Bungcaras said Oxfam was concerned about the “modest” contribution, given the increasing need for climate finance contributions to the Pacific.

“We urge the Labor Government to shape regional and global climate responses by committing an additional $700–$990 million to the Green Climate Fund as part of its commitment to rejoin,” she said.

“Australia’s international climate finance remains well below what it should provide as its fair share. Rich polluting nations like Australia need to drastically cut their emissions and provide climate finance to frontline communities so they can adapt to the impacts of climate change and be compensated for losses and damages they’ve incurred.”

Meanwhile, Greenpeace Australia said the decision was correct because Pacific communities bear the brunt of severe storms, sea level rise and loss of agricultural land.

Greenpeace Australia Pacific Advisor and Community Engagement Manager Shiva Gounden said it has a “profound impact” on the culture, livelihoods and unique way of life of the people deeply connected to the land and oceans.

However, she called on the government to stop new fossil fuels, saying that was a “critical demand” from Pacific leaders.

“Contributing to the fund without stopping all new coal and gas projects is like showing up at a fire with an extinguisher in one hand and a flamethrower in the other.”

Meanwhile, Climate Council senior researcher Wesley Morgan said the funding should have occurred earlier, and he supported the ending of fossil fuel projects, saying that’s “the most important thing Australia can do.”

“Now we'll need to seriously step up our contributions to international climate finance if we’re to do our fair share to help vulnerable nations deal with the growing impacts of the climate crisis,” Mr. Morgan said.

Climate Adaptation is a Priority for Pacific Island Neighbours: Minister

However, the government will lead and facilitate consultations to reach global climate change outcomes at the 28th UN Climate Conference in Dubai, United Arab Emirates, in December 2023.

Climate Change and Energy Assistant Minister Jenny McAllister will focus the negotiations on a framework development to advance the global climate change goal and help the Paris Agreement’s plan.

World Leaders at the COP26 UN Climate Change Conference in Glasgow, Scotland, on Nov. 1. World leaders have often spoken on the imminent dangers of climate change—dangers which often recede across the horizon. ALBERTO PEZZALI/POOL/AFP via Getty Images

Ms. McAllister said, “Australia is acting on climate change at home and is contributing to the global effort. Climate adaptation is a priority for our region, particularly for our Pacific Island neighbours.

“This is an important opportunity for Australia to play a constructive role in climate negotiations and build momentum for action on the global climate agenda.”

Further, Australia is taking positive steps to increase its climate and clean energy ambitions, according to the International Energy Agency (IEA) in April.

IEA Executive Director Fatih Birol said Australia is advancing towards international clean energy and driving progress on low-emissions hydrogen and critical mineral supplies.

“In 2022, Australia’s Hydrogen Energy Supply Chain (HESC) project produced and transported liquified hydrogen to Japan, the world’s first such shipment,” Mr. Birol said.

He said the nation has a positive outlook from the success of ambitious targets, funding at federal and state levels and solar installation in three million households, or one in three.

“Australia can make sufficient progress on emissions reductions by 2030 to align with the goal of net zero by 2050,” he said.