DUBAI, United Arab Emirates - On the opening day of the United Nations Climate Change Conference (COP28), countries are on the brink of finalizing an agreement to establish an international fund aimed at aiding communities in rebuilding from climate-related disasters. The draft agreement, released by the hosts of the summit, includes the provision that all contributions to the fund will be voluntary, a demand put forth by the United States.

While certain details are yet to be decided, such as the amount of funding the fund should contain and its source, the draft "invites" developed nations to take the lead in providing financial resources to kickstart the initiative. Currently, no firm pledges have been made by any country.

A potential agreement on the first day of the conference would remove a longstanding point of contention, allowing delegates to shift their focus towards addressing the root cause of climate change - the burning of fossil fuels. This development would be a positive sign for the conference, which has been facing challenges due to geopolitical upheavals, the influence of a strong fossil fuel industry, and concerns raised by climate activists over a major petro-state hosting the event.

However, reaching a final agreement among the nearly 200 participating countries remains a crucial task for the two-week-long conference.

While the United States has been one of the strongest opponents of financial compensation for climate-related damages, U.S. climate envoy John Kerry assured on a call with reporters that the Biden administration supports the creation of the fund and has been actively working towards its establishment. Kerry also proposed various avenues to raise private capital for the fund, considering likely Republican resistance to drawing money from the U.S. Treasury.

Additionally, Kerry emphasized that the United States, despite being the largest historical contributor to climate pollution, cannot be held legally accountable for the disastrous consequences of global warming. The U.S. has consistently rejected any language that might portray the fund as a form of reparations.

Kerry underlined the administration's belief that the fund should not be seen as an expression of liability, compensation, or the establishment of new legal requirements. Its purpose, rather, is to provide support to developing countries that have borne the brunt of climate change impacts.

If an agreement on the fund's design is reached, the focus will shift towards determining how to raise the necessary funds to make it operational.

Simon Stiell, the executive secretary of the U.N. Climate Change office, has urged the conference attendees in Dubai to further develop and solidify the fund's framework.

A collective of small island nations recently called for the fund to receive a minimum of $100 billion during its first four years of operation. However, even the most proactive developed nations have proposed significantly lower figures. Denmark, for example, suggested that governments should contribute "hundreds of millions" and advocate for at least $200 million to be pledged at the summit.

Notably, the mentioned figures would only cover the startup costs of the fund, stated a European diplomat. The World Bank, where the fund is expected to be temporarily housed, requires a minimum of $200 million to launch the initiative.

The United States and the European Union have been pushing for an expansion of the donor base beyond traditional wealthy countries. Specifically, they have urged China to contribute to the fund. However, China has thus far dismissed such requests, citing its ongoing bilateral programs and South-South cooperation as its means of supporting developing countries.

As negotiations continue at COP28, the hope is that countries can reach a comprehensive agreement on the establishment, funding, and operationalization of the international fund for climate resilience.