Dear Editor,
Currently there are a number of organizations in the UN structure that focus specifically on climate change funding. Some examples are the following:
1. Global Environment Facility which was established by UNFCCC
2. Special Climate Change Fund
However, a recommended preferred approach would be for the government, if interested, to have discussions with the UN’s High-Level Advisory Group on Climate Change Finance. The timing appears to be good as they are currently looking into a wide variety of sources to fund climate change initiatives in developing countries. This may present an opportunity for Guyana to be a member of this advisory group, which could foster the adaptation of the suggested approach of paying to keep the oil in the ground.
Also to be considered are some of the beneficiaries of this proposal, such as:
1. OPEC members who would benefit in the near term from supply adjustments. These countries are also aggressively investing in transitioning to renewable energy sources and partnering with them has many positive attributes in addition to possible funding, such as renewable energy technology transfer.
2. In addition the oil companies are currently facing numerous law suits for climate change issues and they also stand to benefit from aiding developing countries in such a transition. The positive impact would be both on their liabilities and corporate image, and the taking of corrective and preventative action towards the damage they have knowingly caused.
3. Also we must remember the developed members of our community of allies that are being negatively impacted by climate change. The Caribbean area which includes locations such as Florida has proven itself to be vulnerable and positive actions taken in the Caribbean will also benefit this community.
As for the question on how to prevent the squandering of the funds obtained, it will be the same issue if the country receives funds from the sale of oil. From my experience preventing such problems usually requires solid fiscal policies and systems, coupled with good governance and the implementation of a robust support structure that is both transparent and easily auditable. The problem is not insurmountable, especially if the long term revenue streams are secured while being supported by responsible fiscal management and the latter comes down to having the right team on board whose members hold each other accountable while embracing and expecting high levels of personal integrity.
Yours faithfully,
Jamil Changlee