The deal, which came 24 hours after the summit’s deadline, was an important step toward ending the use of fossil fuels – the toughest climate issue during Cop28, as countries were divided on whether to include the specific language of a global commitment to “phase down” or “phase out”.

This was despite criticism from climate activists that the final wording left too much latitude for some countries to keep using – or even increasing their usage – of fossil fuels.

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Cop28 climate summit closes with agreement to ‘transition’ from fossil fuels

Cop28 climate summit closes with agreement to ‘transition’ from fossil fuels

In the opposing camp were heavily fossil-fuel-dependent and fast-growing developing economies, such as India and Indonesia, besides big oil producers, including the largest exporter: Saudi Arabia.

Climate envoy John Kerry said last week that the United States, the world’s largest oil producer, supported “largely” ending the burning of coal, gas and oil, without giving a time frame.

“I have took part in climate negotiations for 16 years. The most difficult one is this conference,” Xie Zhenhua, China’s special envoy for climate change, told reporters last week without elaborating on the impasses.

Despite the heated debate over fossil fuels, Cop28 was the first time a major decision was adopted on the first day of the annual Conference of the Parties summit.

It gathered the 2015 Paris Agreement’s signatories, which jointly committed to more actions and funding to mitigate climate change and help vulnerable nations build resilience against more frequent extreme weather events.

A unanimous decision was taken to create and fully operationalise a fund to compensate the poorest countries struggling to cope with losses and damages caused by climate change, which they hardly contributed to.

Around US$790 million, mostly from wealthy nations historically responsible for a large chunk of the global heat-trapping greenhouse gas emissions arising from human activities, were committed to the fund.

At the start of December, some 123 nations jointly committed to work together to triple the world’s installed renewable-energy-generation capacity to at least 11,000 gigawatts by 2030, and double the global average annual rate of energy efficiency improvements from around 2 to over 4 per cent by 2030.

“The world needed to find a new way. By following our north star, we have found that new path,” Jaber said in his closing speech.

But an agreement is nothing without its implementation, climate experts warned.

“The proof will be in the delivery – in countries’ next climate plans due by 2025, and in the transformation of the wider finance system to deliver the economic shifts needed,” said Alex Scott, programme lead at climate think tank E3G.

These are the central tasks from now on the road to Belem at Cop30 in Brazil in 2025.

“There are gaps – especially on finance for adaptation – and loopholes, but the ultimate direction of travel is clear: the fossil-fuel era is ending.”

60-Second Catch-up

Deep dives

Asia at risk as Cop28 deal falls ‘far short’ of acceptable fossil fuel phase-out

• Critics say the deal is still severely lacking when it comes to addressing the climate concerns of developing nations

• Asia faces multiple obstacles to its clean energy transition, with countries such as China, India and Indonesia failing to provide clear timelines for ending coal usage

China spins up world’s largest onshore wind power facility in Inner Mongolia

• The project’s 701 turbines can generate more than 10 billion kilowatt-hours of electricity per year, equal to nearly 3 million tonnes of coal

• China, Europe and the US will drive onshore wind development in the next five years, while offshore projects face near-term challenges: forecasters

China’s largest onshore wind-power facility started full-capacity operations in the northern Inner Mongolia autonomous region on Sunday, according to its operator, state-owned China General Nuclear Power Corporation (CGNPC).

With a capacity of 3 gigawatts (GW), the project’s 701 turbines can generate more than 10 billion kilowatt-hours of electricity per year, according to the company. This is equivalent to cutting standard coal consumption by about 2.96 million metric tonnes and avoiding around 8.02 million tonnes of carbon dioxide emissions per year.

How China and the US are poles apart in small modular nuclear energy ambitions

• As China stands at the forefront of nuclear energy, work on its Linglong One small modular reactor is progressing

• But it is a different story in the United States where high costs, lack of staff and delays have seen yet another reactor project shelved

This inconspicuous project is located in Changjiang county, on Hainan province’s northwest coast, right next to China’s southernmost nuclear plant: the Changjiang Nuclear Power Plant. Transport vehicles carrying materials come and go, raising clouds of dust along the road leading to the plant.

China bamboo-zled? Why the plant hasn’t taken root as plastic alternative

• China has the highest bamboo acreage of any country, presenting an opportunity to swap out fossil fuel-burning plastics with an organic, abundant material

• Inefficiencies in tech and labour, however, are preventing the nascent industry from flowering into its full potential

It feeds one of the Earth’s rarest species. It was the writing surface for some of the earliest books. It could prove essential in reducing vast amounts of carbon emissions – and China has more of it than anywhere else.

Bamboo, the tall, thick grass perhaps most popularly known as the chief component of the giant panda’s diet, has a number of uses even in the present day. The sturdy stalks can be fashioned into scaffolding or roofing, and the pulp can be woven into a variety of fabrics. This versatility has China, in the midst of a long-term effort to meet carbon peaking and neutrality goals, considering the substance as a replacement for petroleum-based plastics.

Cop28: Hong Kong greentechs eye Middle East to deploy energy-saving solutions

• Hong Kong Science and Technology Park leads delegation of start-ups showcasing energy-saving solutions at the Cop28 summit in Dubai

• Hong Kong start-ups are finding it difficult to rope in local partners to bring their proprietary technology to the Middle East market

The hot and dry climate in the Middle East provides ample opportunities for Hong Kong greentech firms to showcase their energy-saving solutions for buildings, according to companies. Finding local partners remains a challenging hurdle, they said.

Hong Kong-based consultancy M Concept Studio’s technology can reduce the energy use of conventional air conditioning systems while also improving indoor air quality, Paul Chan Yim-cheong, chairman and co-founder, said in an interview from the Cop28 conference in Dubai. The company is displaying its technology at the conference as part of a delegation led by the Hong Kong Science and Technology Park (HKSTP).

Climate tech needs more policy support, diverse private financing: FII speakers

• ‘Sustainability is the defining challenge in our century, but also the biggest trillion-dollar opportunity,’ AlphaTrio Capital founder says

• ‘The government’s support at a critical juncture is important to encourage transition,’ says vice-chairman of EV maker Xpeng

“Sustainability is the defining challenge in our century, but also the biggest trillion-dollar opportunity,” Poman Lo, founding managing partner of sustainable technology fund AlphaTrio Capital, said at the FII Priority event on Thursday. “The only way we can drive this transition is by leveraging technology, which … can turn [climate] risks into opportunities.

China opens world’s tallest unmanned veggie farm as urban agriculture takes root

• Vertical farms are seen as an essential means of bringing enough food to arid and urban parts of China, with automated facilities that provide year-round harvests

• Unaffected by climate constraints, new Chengdu facility can reportedly produce a harvest of lettuce every 35 days under AI-controlled environmental conditions

The 20-storey urban farm, built under the oversight of the Chinese Academy of Agricultural Sciences in a downtown part of the provincial capital Chengdu, represents world-leading automation in farming, according to state broadcaster CCTV.

China’s carbon reduction goal won’t take a bite out of food industry until 2030

• China has set a goal of reaching peak carbon dioxide emissions before 2030, and achieving carbon neutrality by 2060

• But report commissioned by the New Zealand China Council says China is likely to delay efforts to deliver on agricultural sustainability goals at least until 2030

China’s focus on environmental problems in its food industry is set to only accelerate after passing an initial carbon reduction goal in 2030, with food security set to remain a priority in the short term, according to a new report.

But after China achieves its stated goal of reaching peak carbon dioxide emissions across all sectors before 2030, it would likely double down on reforms, said Even Pay, an agriculture analyst with Trivium China, the author of the report commissioned by the New Zealand China Council.

Geothermal power: Indonesia eyes ‘phenomenal’ renewable energy potential

• Indonesia, home to 40 per cent of global geothermal resources, generated enough electricity from it last year enough to power over 2.5 million homes

• But experts are split over whether game-changing amounts of energy can be produced given the costs of drilling and insufficient government support

Geothermal energy is a renewable resource captured by drilling holes that are many kilometres deep to tap heat radiating from the planet’s molten core. The best sites for the process are where tectonic plates meet and white-hot magma bubbles through the gaps, spawning hot springs and volcanoes.

Global Impact is a weekly curated newsletter featuring a news topic originating in China with a significant macro impact for our newsreaders around the world.