China and a group of 77 least-developed countries on Tuesday asked the UN to include discussions on ‘Loss & Damage finance’ as an agenda item for November’s climate summit COP-27, which is scheduled to be held in Egypt.
Pakistani Foreign Minister Bilawal Bhutto Zardari chaired the special meeting of the Group of 77 and China to discuss ways to obtain compensation for losses caused by natural disasters in the world’s most vulnerable countries.
Bilawal said that developing countries suffer from disasters caused by climate change disproportionately while contributing a minuscule amount to greenhouse gas emissions.
The proposals include a global carbon tax, a tax on airline travel, a levy on heavily polluting ships, and other alternative mechanisms to raise funding from rich countries through international financial institutions.
The proposal to impose a “climate-related and justice-based” global tax may come under discussion at the UN General Assembly (UNGA) this week.
During last year's UN Climate meeting in Glasgow, the US and EU blocked a proposal moved by poorer and middle-income countries to establish a dedicated new damages fund.
G-77 and China blame developed countries for the rising number of global climate disasters.
Pakistan has suffered over $30 billion or equivalent to 10 percent of country's GDP in losses due to the catastrophic flooding caused by torrential rains.
Nearly 1,500 people were killed, and 33 million were affected due to floods that inundated almost all Pakistan. Many cities received 500 to 700 percent more rainfall than average in August.
UN estimates that over $300 billion would be required by 2030 to assist developing countries in adapting to climate change.