What is COP 26?

COP stands for Conference of Parties. Parties are the signatories of the United Nations Framework Convention on Climate Change (UNFCCC) which included 197 parties (196 countries and the EU). The COP 26 hosted in Glasgow was the 26th meeting of these Parties.

COP 26 (Glasgow, Scotland 2021) brought parties together to accelerate action toward the goals of the Paris Agreement and the UNFCCC. The main goal was to keep the warming of the planet below 1.5 C degrees and reach net zero by 2050. But most countries fell short of their promises.

Goals of COP 26

The goals of the COP 26 were to:

Achieve global net-zero emissions by 2050 and keep the 1.5 degrees centigrade goal possible
1. Countries were asked to present plans for 2030 emissions reduction targets that would help them achieve net-zero by 2050.
1. In order to deliver on this target, countries are required to:
  1. Accelerate the process of phasing out coal.
  1. Minimize deforestation.
  1. Speed up the switch to electric vehicles.
  1. Encourage investment in renewable energy.

Adapt to protect communities and natural habitats
1. COP26 encouraged countries affected by climate change (which at this point, is every country) to:
  1. Protect and restore ecosystems
  1. Build defenses, warning systems, and resilient infrastructure and agriculture to avoid the loss of homes, livelihoods, and lives.

Mobilize the financing of climate change mitigation
1. “Developed” countries were expected to have mobilized at least $100bn in climate finance by 2020, and one of the aims of COP26 was to evaluate how effective that had been.

Work together to deliver the goal of no more than 1.5 degrees of warming
1. This required that the parties involved finalizing the Paris Rulebook (which are the rules in the Paris Agreement that make it operational instead of binding)
1. Parties were also required to accelerate actions on addressing the climate crisis through collaboration between governments, businesses, and civil society
  1. This is important because it recognizes that a country-by-country approach to addressing the climate crisis is not enough and there needs to be global unity
  1. This is also important because it recognizes the role of businesses (although not explicitly naming corporations) in the climate crisis.

The Role of Businesses

Pre-COP 26

With the COP comes various alliances and initiatives taken by global leaders to fast-track the race to net zero.

One such campaign is the Race to Zero Campaign, an UN-led campaign encouraging businesses, cities, regions, and investors to commit to achieving net-zero carbon emissions by 2050 in line with the 1.5 degrees Celsius warming limit. This is the largest ever alliance committed to achieving net-zero by 2050. The aim of Race to Zero signatories by the time of COP26 was to account for only 25% of the global carbon dioxide emissions. To facilitate immediate action, the Campaign aims for halving global emissions by 2030.

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Race to Zero is led by The current UN High-Level Champions for Climate Action Gonzalo Muñoz (from Chile) and Nigel Topping (from the UK).

The Race to Zero Campaign was launched to boost the already existing Climate Ambition Alliance that held nations accountable for their Nationally Determined Contributions. It also encouraged participation from the private sector, only further fueled by the Race to Zero Campaign urging business leaders to lead and act on the pledge. The campaign covers 992 businesses, 449 cities, 21 regions, 505 universities, and 38 of the biggest investors. The key sectors in focus include energy, transport, industry, food, retail, and finance.

Post-COP 26

The “Glasgow Pact” came out of COP 26 with key political decisions and statements agreed between parties. The document can be accessed here:

https://unfccc.int/sites/default/files/resource/cma2021_10_add1_adv.pdf

The COP 26 also resulted in:

i) discussions on national emission pledges.

ii) revision of emission trading schemes.

iii) the leaders’ declaration on forest and land use in which they “commit to working collectively to halt and reverse forest loss and land degradation by 2030.”

iv) signing of the Methane Pledge with “a collective goal of reducing global methane emissions by at least 30 percent from 2020 levels by 2030.”

v) negotiations on phasing out coal-fired electricity.

vi) discussions on the role of civil society in abating the disastrous effects of climate change.

It is evident from the pre and post COP events that the focus on the private sector is growing. With companies pledging to phase out CO2 emissions and taking measures to mitigate climate change risks, investors are also diversifying their portfolios. It is becoming unavoidable for companies to stay silent on social and environmental issues.