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The emerging polycrisis is challenging governments and institutions around the world. Especially countries in the Global South lack the financial capacity to address the current challenges and simultaneously prepare their nations for the impacts of climate change. The existing international financial architecture has so far been unable to provide the necessary financial resources.There are three major reform proposals that address different institutions within the international financial architecture. This primer introduces the proposals presented and provides an overview of the main institutions and actors involved in the process in Germany.

Indonesia's Just Energy Transition Partnership (JETP) is one of the outcomes of the G20 Summit that Indonesia hosted in 2022. The partnership is an agreement between Indonesia and the countries of the International Partners Group (IPG). It aims to mobilise finance for Indonesia to decarbonise and phase out the construction and operation of coal-fired power plants. The Indonesia Research Institute for Decarbonisation (IRID) and Germanwatch hosted a focus group discussion with CSOs including relevant research institutions on 18 January 2023 in Jakarta. The discussion was held to obtain feedback and input from CSOs working on topics related to the JETP.

Fossil fuel subsidies have long been a subject of discussion for the G20. As one of the G20 countries, Indonesia needs to prepare for the removal and redirection of fossil fuel subsidies without creating long-term negative impacts, especially in socio-economic terms. The Indonesia Research Institute for Decarbonisation (IRID) and Germanwatch confirm the need for G20 countries to reduce and shift fossil fuel subsidies. As this requires the readiness of G20 developing countries, on 19 January 2023, IRID and Germanwatch hosted a group discussion focused on Indonesia.

In 2022, Indonesia had the opportunity to host the annual G20 Summit, where the energy transition played a major role. The summit produced two key documents on energy, namely the Bali Roadmap and the Bali Compact. Both documents are expected to serve as a reference for G20 countries to achieve a just energy transition, even after Indonesia’s G20 presidency. The Indonesia Research Institute for Decarbonization (IRID) and Germanwatch acknowledge that this is important in order to avoid that dialogues at the G20 Summit start from scratch. For this reason, a focus group discussion took place in Jakarta on 25 January 2023. The discussion was limited to invitees.

Extreme weather events are increasing in intensity and frequency due to the impacts of climate change. Without appropriate intervention, Loss and Damage will be inevitable, despite efforts at adaptation, mitigation, and even disaster risk management. To understand how Loss and Damage financing will be discussed after the G20 Summit led by India and after COP27, the Indonesia Research Institute for Decarbonisation (IRID) and Germanwatch hosted a focus group discussion on 11 January 2022. The event aimed to gather information on different initiatives on Loss and Damage financing, including access modalities, challenges, and coping strategies.

The debate on downstream due diligence has never been more topical: The EU currently discusses the Corporate Sustainability Due Diligence Directive. However, both the Council and various parliamentary groups want to limit the scope of the value chain to which environmental and human rights due diligence obligations should apply. Among other things, the downstream value chain would then be (largely) exempted from corporate due diligence obligations. In this short policy brief, published along with Initiative Lieferkettengesetz, SOMO, SwedWatch, and the Heinrich-Böll-Stiftung we demonstrate why downstream due diligence is necessary and how it can be implemented. We also provide key recommendations for the Corporate Sustainability Due Diligence Directive.

European mining equipment manufacturers are cooperating with and supplying mining projects that are known for human rights abuses and environmental destruction. The lack of legislation requiring companies to address severe human rights and environmental risks in their downstream value chain makes this possible. This study highlights the need for downstream due diligence obligations in the mining equipment sector.

This case study of the Andina copper mine in Chile shows how European mining equipment manufacturers maintain close business relationships with the mine, despite the mining activities damaging the surrounding glaciers, massively increasing the water scarcity in the region and local protests against the expansion of the mine. We provide an example of how downstream due diligence obligations of European companies could have been exercised in this case. This is particularly relevant in this sector, where the business relationships between mining equipment manufacturers and their customers involve significant human rights and environmental risks.

Climate tipping points are thresholds in the Earth’s climate system. When passed, this system experiences abrupt and typically irreversible changes. In this blog series, we take a look at four of the most treacherous tipping points: the Amazon rainforest, the Atlantic Meridional Overturning Circulation, Coral Reefs, and the West Antarctic Ice Sheet. We also provide an overview of their physical nature and their impact on human security, including the important issue of loss and damage, a topic which became a major discussion point at COP27.

In the first blog post of our tipping points series, we take a look at the Amazon rainforest. It is considered a climate tipping point because it may shift to a savannah or savannah-like environment given enough tree death. We will discuss the effects of deforestation, climate change, and the potential threat that crossing this climate tipping point will have on the region—and indeed elsewhere—and take a deep dive into the human and socio-economic impacts.