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 as well as our negotiating partners of the Group of 77 & China's resolve to engage constructively so as to ensure a substantive outcome of this important meeting.

2. 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.

3. The 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.
           
4. According the Fourth Assessment Report of 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.

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

Mr. Chairman,

6. 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.

7. Transfer of technology remains an enormous challenge to efforts for adaptation and mitigation keeping in view the issue of incremental costs and capacity building. Addressing current and future changes in the climate system depends on early and effective development, deployment, transfer and diffusion of environmentally friendly technologies to developing countries. A key question is also the treatment of intellectual property rights (IPRs) over climate-friendly technologies. Developing countries must also be helped, on affordable preferential and concessional terms, through technology transfer, directed R&D and other assistance, to acquire and build capacity for the application of technologies to meet sustainable development targets and goals. The G77 and China would like to express its disappointment about the progress made on this agenda item. Development of performance indicators to monitor if commitments have been honoured in this area will be a useful tool.

8. As reflected in the recent IPCC Reports, reducing emissions from deforestation deserves serious global attention.  Further, during this process, it has become clear that implementation of relevant policy approaches and positive incentives will require new and additional financial resources that are predictable, sustainable, and at sufficient scale.  The G77 and China recognizes the interests of the Parties to consider policy approaches and positive incentives that address compensated forest conservation and also forest degradation.

I Thank You Mr. Chairman