Green Climate Fund UPSC
Climate change is one of the defining challenges in present times. Anthropogenic interference has impacted the planet in an unprecedented manner. Long term climatic changes on the Earth are of utmost significance. With the goal of keeping a watch on increase in the temperature and to maintain it below 2 degrees Celsius a fund name Green Climate Fund (GCF) was established formally as a financing mechanism by United Nations Framework Convention on Climate Change (UNFCCC) in 2010. And its governing instrument was adopted at Conference of Parties (COP) 17 in 2011. The GCF is based in Songdo district in South Korea.
GCF’s financial mechanism channels funds from developed countries to developing countries. The idea behind the fund is removing the inequality and moving towards positive change. The GCF was established with an aim to support the policies, programmes, projects and other related activities in developing countries to allow them to mitigate climate change and also adapt themselves to the disruptions arising out of the climate change. The Fund is a unique global initiative to respond to climate change by investing into low-emission and climate-resilient development. It intends to raise $100 billion a year by 2020.
The operationalization of GCF is noteworthy from India’s point of view because it was India and other developing countries who insisted on setting up a multilateral financial mechanism under UNFCCC with resources provided by developed countries. Ministry of Environment, Forests and Climate Change (MoEFCC) has been nominated as India’s Nationally Designated Authority (NDA) for the GCF. It, shall make recommendations on funding proposals in the context of national climate strategies to the Board of the GCF. NABARD has been accredited by GCF as the first Entity for sourcing financial resources from GCF for India. Currently, In India only one project Installation of Groundwater Recharge System in Odisha is underway using funds from GCF.
Given the urgency and seriousness of the challenge, the Fund is mandated to make an ambitious contribution to the united global response to climate change.