Biden Commits $1 Billion to Global Climate Fund

U.S. President Joe Biden committed $1 billion to a U.N. global climate fund during remarks at the April 20 Major Economies Forum on Energy and Climate (MEF).

“I’m pleased to announce the United States is going to provide $1 billion to the Green Climate Fund, a fund [that is] critical in ways to help developing nations that can’t do now,” Biden said, speaking just after U.S. climate envoy John Kerry.

Established through a series of U.N. climate conferences, the Green Climate Fund’s governing instrument states that it’s meant to help developing countries “limit or reduce their greenhouse gas emissions” and “adapt to the impacts of climate change.” The Fund has already received $1 billion from the United States.

“We need to strengthen the role of multilateral development banks in fighting [the] climate crisis as well, starting with the World Bank,” Biden said during his remarks.

He said he wanted those institutions to expand their climate-related lending.

Senior officials previewed Biden’s remarks in an April 19 call to reporters.

A senior administration official told reporters that the funding would come from “money in hand” rather than the fiscal year 2024 budget, which is already under scrutiny by congressional Republicans.

The officials were asked what Biden would tell other countries about his 2021 promise to deliver $11.4 billion in international climate aid by 2024.

The senior administration official said the administration is considering “new and creative authorities” as part of its efforts to obtain that funding.

Biden also announced that the U.S. would provide the Amazon Fund, which is managed by the Brazilian Development Bank, with $500 million to aid what he described as “Brazil’s renewed effort to end deforestation by 2030.”

He said another federal institution, the Development Finance Corporation, aims to send another $1 billion for conservation efforts in Latin America and the Amazon.

Low-Emissions Vehicle Goal

Biden on April 20 proposed an ambitious target for global vehicle emissions.

“I encourage all of you to join us in our collective goal to ensure that at least 50 percent of new passenger cars and 30 percent of trucks will be zero emissions by 2030,” he said.

The senior administration official further elaborated on that aim on April 19.

“By 2030, over 50 percent of LDVs [light-duty vehicles] and at least 30 percent of medium- and heavy-duty vehicles sold globally will be zero-emission vehicles—so battery-electric, fuel cell, plug-in hybrid vehicles.”

A senior State Department official who spoke to reporters on April 19 noted that medium- and heavy-duty vehicles are “more important sources of emissions in many major emerging economies relative to light-duty vehicles.”

In some respects, the Environmental Protection Agency’s (EPA) latest tailpipe emissions proposals, released on April 12, exceed the standards outlined on April 20.

The EPA expects that, under its new standards, two-thirds of new light-duty vehicles sold in the United States will be electric by the model year 2032.

“Part of the zero-emission vehicle goal tomorrow encourages all major economies to set their own zero-emission vehicle goals by COP 28 for all vehicle classes, and just as we have set standards for light-, medium-, and heavy-duty vehicles, this is calling for all major economy foreign countries to do the same,” the senior official told reporters.

The U.N. COP28 climate conference will occur in November and early December in Dubai, United Arab Emirates.

In his April 20 remarks, Biden said the latest EPA target—which he suggested sets a global standard—is part of the U.S. efforts to create a “clean transportation sector,” alongside spending in major legislation such as last year’s Schumer–Manchin bill, dubbed the Inflation Reduction Act.

“We stood wit