Finance ministers for the U.S., China, Germany and other members of the Group of 20 economies may scale back a robust pledge for their governments to combat climate change, ceding efforts to the private sector.
Citing “scarce public resources,” the ministers said they would encourage multilateral development banks to raise private funds to accomplish goals set under the 2015 Paris climate accord, according to a preliminary statement drafted for a meeting that will be held in Germany next week.
The statement, obtained by Bloomberg News, is a significant departure from a communique issued in July, when finance ministers urged governments to quickly implement the Paris Agreement, including a call for wealthy nations to make good on commitments to mobilize $100 billion annually to cut greenhouse gases around the globe.
“It basically says governments are irrelevant. It’s complete faith in the magic of the marketplace,” John Kirton, director of the University of Toronto’s G-20 Research Group, said in an interview. “That is very different from the existing commitments they have repeatedly made.”
The shift in tone comes as U.S. President Donald Trump’s Treasury Secretary, Steven Mnuchin, prepares for his first G-20 meeting, scheduled for March 17 to 18 in the spa town of Baden-Baden. While European nations including Germany have been at the forefront of combating global warming, Trump has called climate change a hoax.
So that $100 billion a year promise? Yeah, sorry. Don't worry, the private sector wants to gift you that money. Honestly. They do, really.