Mr. Chairman,

It is my pleasure to make this contribution on behalf of the Group of 77 and China. I would like to assure you of support and cooperation in the discharge of your responsibilities and to make this meeting successful.

2. I would like to assure our negotiating partners, the Group of 77 & China's resolve, to engage constructively so as to ensure a substantive outcome of this important meeting.

3. We are meeting in the backdrop of the recently released Synthesis Report of the IPCC Fourth Assessment Report, which presents a stark and dire warning about climate change. The IPCC reports and the recent scientific findings demonstrate, irrefutably, that climate change is posing a very serious and immediate challenge to the efforts of developing countries, who are least equipped to respond and therefore most vulnerable to its rising dangers.

4. We would like to reiterate that without immediate, deeper and effective cuts in Greenhouse Gases (GHG) emissions by developed countries, all efforts to address climate change would remain fruitless.

5. Adverse effects of climate change and the associated phenomena threaten the sustainable development, livelihoods and the very existence of many developing countries and in particular Africa, the LDCs, the LLDCs, SIDs and disaster prone developing countries.
     
6. According the Fourth Assessment Report of the IPCC:

        - In Africa, climate change is projected to expose between 75 and 250 million people to increased water stress and reduced yields from rain-fed agriculture by up to 50%.
        - In Asia, freshwater availability is projected to decrease, coastal areas will be at greater risk due to increased flooding, and climate change is projected to compound pressures on natural resources and public health;
        - In Latin America, climate change threatens significant loss of biodiversity through species extinction. Reduction in productivity of important crops will pose risks to food security.
        - Small Islands are expected to face inundation, storm surges, erosion and other coastal hazards, threatening vital infrastructure, settlements and livelihoods of island communities.

7. In all developing countries water available for human consumption, agriculture and energy generation is likely to be significantly affected.

Mr, Chairman,

8. In such a bleak scenario, our task becomes even more daunting given the inextricable link between sustainable development and climate change. The most formidable challenge before us in addressing climate change and its adverse effects include: lack of fulfillment of commitments during the first commitment period of the Kyoto protocol by annex 1 countries in reducing GHG emission; provision of financial resources and technology transfer to developing countries; inadequacy of financial resources for adaptation and mitigation efforts; insufficient national institutional capacity in the developing countries for participation in carbon market mechanisms.

9. Adaptation is at the forefront of the concerns of developing countries and provides the means to particularly assist developing countries. As pointed out in the recent scientific findings, more extensive adaptation than is currently occurring is required to reduce vulnerability to climate change.

10. The Adaptation Fund, if not operationalized immediately with adequate and predictable resource base, will not be able to contribute significantly in meeting our objectives. In this context, we also hope that the Nairobi Work Programme of Action will continue to be implemented in a concrete and substantive manner as part of the implementation of the Buenos Aires Plan of Action.

11. The G77 & China would like to emphasise that the UNFCCC and the Kyoto Protocol serve as the multilateral agreed structure within which the international community should address the challenge of climate change. Given the intensity of the challenge, any other effort will distract and compound the challenge further.

Mr. Chairman,

12. New institutional and financial mechanisms would significantly enhance   technology co-operation, development, transfer and meet the incremental costs. Enhancing action in pursuit of this objective is fundamental to the overall climate change agenda. Notwithstanding the lack of progress, the elements and key issues have now been raised and the stage is now set for real and meaningful progress on this agenda item.

13. UNFCCC estimates additional financial resources up to a level of $200 - 210 billion by 2030 to achieve emission reductions targets. In addition, hundreds of billions are needed to support adaptation activities. It is essential that an "investment pathway" is designed to secure additional financial resources for the developing countries for mitigation and adaptation and other related requirements in accordance with their national plans.

14. Capacity Building under the Convention and the Protocol remains an area of high priority for the G77, as it has not received the attention it deserves. The Group of 77 and China hopes that the scope for activities and replenishment will be decided upon soon in regard to the LDCs Fund and steps taken for implementing it through concrete projects that have measurable and positive impacts.

I Thank You Mr. Chairman