15 November 2014: The US has announced a US$3 billion pledge to the Green Climate Fund (GCF). US President Barak Obama made the announcement on the eve of the G20 Summit, which convened in Brisbane, Australia, from 15-16 November 2014. In a separate announcement, also on the margins of the G20 Summit, Japan said it would pledge US$1.5 billion. With these two announcements, the pledges received thus far by the GCF amount to US$7.5 billion.

These announcements come ahead of a GCF pledging session scheduled to take place on 20 November 2014, in Berlin, Germany, where more countries are expected to announce contributions towards the GCF’s initial resource mobilization.

In announcing the pledge during a speech at the University of Queensland, President Obama said the money would help: vulnerable communities with an early-warning system, stronger defenses against storm surges and climate-resilient infrastructure; farmers to plant more durable crops; and developing countries to break out of the “false choice between development and pollution.” This, he added, would enable countries to “leap-frog some of the dirty industries that powered our development, go straight to a clean energy economy that allows them to grow and create jobs” and reduce their carbon pollution. He underlined that governments alone cannot combat climate change, and that citizens, especially the next generation, must “keep raising their voices” and demand a clean, healthy and sustainable world.

Elaborating on the announcement, a US Government press statement indicates that the US contribution would not exceed 30% of confirmed pledges, with the share expected to decline over time as more countries contribute to the GCF. A significant portion of the US contribution will support the GCF’s Private Sector Facility. A joint Japan-US press statement reiterates that the pledges are subject to respective domestic procedures and based on strong contributions from other donors.

UNFCCC Executive Secretary Christiana Figueres said the announcement “sets a new benchmark for GCF support and both Japan and the US pledges provide inspiration for other developed countries to act.” She added that new pledges could positively impact the negotiations at the 20th session of the Conference of the Parties (COP 20) to the UNFCCC, in December 2014, in Lima, Peru. GCF Executive Director Héla Cheikhrouhouwhere called the US announcement a “game-changing moment,” noting that an increasing number and volume of contributions would be forthcoming.

The GCF, which was established in 2010 and is now operational, is an integral part of the US$100 billion a year promised by developed countries by 2020. It is an independent legal entity that makes independent funding and operational decisions, rather than a UN agency or entity. It is expected to: help leverage public and private finance to combat climate change; reduce its risks by promoting sustainable long-term economic growth and preserving stability and security in fragile regions; and spur global markets in clean energy technologies. [President Obama’s Statement] [US Government Press Release] [Press Release on US and Japan Announcement] [GCF Press Release] [UNFCCC Press Release on US] [UNFCCC Press Release on Japan] [GCF Press Release on the Berlin Pledging Conference]