COP is an annual summit that brings together world leaders to address the biggest challenge facing humanity: climate change.
COP is attended by the countries that signed the UN climate change treaty in 1994, the UN Framework Convention on Climate Change or ‘UNFCCC’.
From the 7th to the 18th of November, the 27th COP summit is taking place in Sharm El-Sheik, with world leaders and representatives from more than 190 countries expected to attend the summit.
The world is currently not on track to keep global warming below 1.5℃. The recent WRI State of Climate Action 2022 report shows that of all the indicators of progress they monitor, not one is on track, and only a handful are close to the right direction and speed. In fact, with current pledges from national governments, the UNFCCC has calculated we will see emissions increase by over 10% by 2030 from 2010.
The good news is that scientists are predicting emissions will no longer rise after 2030, and the IEA’s recent analysis suggests that emissions from energy will peak by 2025—a historic turning point.
However, looking longer term, UNFCCC analysis of the combined climate pledges (Nationally determined contributions or NDCs, something you will hear a lot about during COP) of 193 countries still sees the world hitting 2.5℃ by the end of the century. That's after all countries agreed to update and improve their targets after COP26 at Glasgow last year.
We don’t need to spell out just how dangerous a 2.5℃ rise would be, not least after another year of record-breaking climate and extreme weather impacts. As it stands, there is almost a 50-50 chance of 1.5℃ being reached, even if just temporarily, in the next 5 years, and we stand on the brink of a number of tipping points. As such, the UNEP has warned global leaders that ‘only an urgent system-wide transformation can avoid climate disaster’.
COP is therefore critical because it provides an opportunity for world leaders to gather under a global spotlight and discuss how to take appropriate action, and for countries to commit to more ambitious targets. It is also fundamental for generating climate action funding, and at this COP particularly, funding for adaptation and reparations for damage and losses in developing countries.
We cannot solve the climate crisis without strong and widespread policies, regulations and laws that only governments can provide.
COP is often criticised for being too slow to deliver action, and for the gap between rhetoric and action.
Looking back over the past year, only 24 out of 193 countries have updated their climate plans, after all agreed they would do so at the conference. Against a specific ask of increasing ambition, there has been almost no progress.
Developed countries have fallen short of meeting their promise to provide $100 billion a year to help developing countries finance climate mitigation and adaptation. Furthermore, despite parties signing a pledge to halt deforestation by 2030, global deforestation rates are at an all-time high.
To avoid irreversible climate impacts, we need to accelerate action.
According to the recent State of Climate Action report, we need to reduce the annual rate of deforestation 2.5 times faster, increase efforts to phase-out coal generation sixfold, encourage people to shift to more sustainable diets five times faster, and increase global climate finance by roughly $460 billion every year this decade.
COP alone is unlikely to achieve this, and we cannot delay action for another year. While we need COP to help establish more ambitious climate commitments and encourage policies that incentivise the transition to a 1.5℃ pathway, we also need individuals and businesses to help drive action. In the words of the IPCC, every bit of warming matters, every year matters and every choice matters.
So, regardless of how successful COP is, or isn’t, there is a role for everyone and every organisation in urgent climate action. We all take cues from each other. Whilst those with the greatest resource and responsibility should lead, we can only be successful when we all visibly act as one and create systemic change. Across the globe, there are multiple climate change movements as well as campaigns and consistent levels of support for action on climate change. This has helped create a supportive political environment for bolder national action. We are also seeing prominent businesses and enterprise coalitions asking for more from the government and each other.
Furthermore, the collective impact of making small changes should not be underestimated, particularly when these impacts are multiplied across millions of people and businesses.
Consumption is one of the biggest drivers of climate change. So, we can all play our part in limiting the damaging effects of climate change by making more sustainable choices and signalling our intent to do so.
How? Well, it all starts with measuring and understanding your carbon footprint.
Carbon trackers, like Cogo, can help people and businesses measure, understand and reduce their environmental impact. We partner with banks to scale this action as they possess the transactional data needed to provide customers with information about the impact of their spending; quickly, easily and engagingly.
Insights from our initial pilot with NatWest showed the average user saved approximately 11 kg of CO2 emissions per month by committing to behavioural changes that used less carbon – such as reducing meat consumption or switching utility providers to green suppliers. If this behaviour was replicated across all customers who use the mobile app, it could save more than 1 million tonnes of CO2e emissions per year, like the footprint of a small city. And that’s only one partnership with one collective!
All action can be a catalyst for more action. So we can all play a role in accelerating and magnifying this change.
Discover how Cogo’s Personal Carbon Manager can help banks scale their climate impact.
We can’t rely solely on COP to drive the urgent action we need to save our planet. It needs to be joined up with the involvement and action of people and businesses in a manner that is supportive, just and cohesive.
So while we are still hoping for renewed commitment and acknowledgement of public/business opinion at COP, we will be working every day on what we can do. And we won’t stop.
We can solve the climate crisis, if we all act together, now!
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Last month, the Cogo team travelled to Las Vegas to attend Money20/20, the biggest conversation in fintech. The event is all about the future of the industry, so we went to make sure climate change was at the forefront of fintech innovation.