Zuma Says Clean Energy Plans Require Aid From Industrial Nations
December 03, 2011, 8:42 AM ESTBy Niki Moore
Dec. 3 (Bloomberg) -- South African President Jacob Zuma said industrial nations must step up aid programs to support clean energy projects and achieve reductions in greenhouse gas emissions.
Speaking at the World Climate Business conference in Durban, where United Nations envoys are drawing up a global warming agreement, Zuma said one of the biggest points for debate in the talks is on finance.
Industrial nations have pledged to work on creating a fund channeling as much as $100 billion a year in climate aid to developing nations by 2020. Concerns about the structure of that fund raised by the U.S., Venezuela and Saudi Arabia earlier this week set back efforts to win agreement on the measure.
“The biggest stumbling block is financial,” Zuma said. “Renewable energy costs more than non-renewable energy, which in South Africa is supplied by coal. Renewable energy targets would add an average incremental cost of $660 million to our annual energy bill.”
The measures being discussed at the UN talks include strengthening a market for carbon emissions. Zuma said there would be incentives for business, possibly in the form of labeling systems that show consumers what products are best for the environment.
Zuma brushed aside concerns the economic slump in the U.S. and Europe may derail an agreement, noting that it’s the poorest countries that are expected to feel the most impact from climate change.
“This impact will be felt in the developing world where we are already facing rising food prices, youth unemployment, poverty and extreme weather patterns,” he said. “New models for driving investment are urgently needed. ‘‘Without the participation of the private sector, these discussions would not bear significant fruit.’’
--Editors: Reed Landberg, Paul Richardson
To contact the reporter on this story: Niki Moore in Durban, South Africa at nmoore19@bloomberg.net
To contact the editor responsible for this story: Vernon Wessels at vwessels@bloomberg.net
