In a surprising turn of events at the 28th Conference of the Parties (COP28), delegates have reached a significant milestone by agreeing to launch a long-awaited fund to address damages caused by climate-driven storms and drought. This groundbreaking deal, which is usually secured after days of intense negotiations, has already garnered support from major countries such as the European Union (EU), United Kingdom (UK), and the United States (US).

The EU, UK, US, and others wasted no time in announcing their contributions amounting to approximately $400 million for developing countries grappling with the devastating effects of climate change. Beyond its immediate impact, this agreement is also anticipated to provide the necessary momentum for a comprehensive and ambitious global action plan during the summit.

After three decades since the initial proposal, the 'loss and damage' cash agreement was met with sustained applause on the conference floor, symbolizing its long-awaited arrival. The United Arab Emirates (UAE), often under scrutiny leading up to COP28 due to reports of fossil fuel deals with multiple nations, was commended for strategically initiating discussions on this contentious topic. Professor Michael Jacobs from the University of Sheffield, an observer at the talks, praised the UAE's approach, stating, "It's a very clever way to open the conference on the part of the UAE."

The term "loss and damage" refers to the extensive impacts experienced by numerous countries as a result of climate-related extreme weather events. While funding has been allocated to assist countries in adapting to rising temperatures and reducing emissions, there has been a significant lack of financial support to address the destruction caused by storms and droughts.

The idea of establishing a fund to address such losses was first proposed in the 1990s. For decades, wealthier nations vehemently opposed the concept, fearing that they would be held responsible for "compensation" related to historical carbon emissions. However, at COP27 in Egypt last year, the moral argument prevailed and countries agreed to establish the fund.

Over the past year, countries have engaged in ongoing debates over the fund's rules, its location, and who should contribute. A tentative agreement was reached a few weeks before the COP28 gathering in Dubai, defying the usual process of finalizing agreements towards the end of a COP after extensive negotiations.

Following the initial announcement, the UAE pledged $100 million, and Germany joined in with the same amount. The US expressed its intention to contribute $17 million, subject to congressional approval. It was emphasized that these contributions should not be viewed as admissions of guilt for historical emissions but rather as collaborative efforts to design an effective fund based on cooperation, as stated by US Special Climate Envoy, John Kerry.

The UK also made a commitment, promising £60 million to the fund. While campaigners acknowledge it as a positive step in the right direction, they express concerns over the overall adequacy of such contributions. Chiara Liguori, Oxfam's Senior Climate Justice Policy Advisor, remarked, "It is encouraging to see that the UK Government is committed to making the Loss and Damage Fund a reality, but this pledge is simply not enough and crucially, it's not new money."

Protests disrupted a live BBC Radio 3 broadcast, drawing attention to a Sussex diocese's investment in fossil fuels. These protests highlight the urgency of taking meaningful action against climate change, especially considering the year of extreme weather events and record-breaking temperatures experienced globally.

As COP28 progresses, the establishment of the loss and damage fund represents a historic achievement in addressing the impacts of climate change. The contributions pledged by influential nations demonstrate their commitment to supporting vulnerable countries in their battle against the devastating consequences of climate-driven storms and droughts. However, the question of whether these financial commitments will be sufficient to meet the growing needs of climate-impacted regions remains an ongoing concern.