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The paper examines the fragmented landscape of climate change adaptation finance, analyzing the roles of the UNFCCC, the Adaptation Fund, the Global Environment Facility (GEF), and Overseas Development Assistance (ODA). It argues that the current system is a 'non-system' characterized by inefficiencies, double counting of funds, and a lack of standardized metrics for success. The author explores the potential for regional banks, such as the African Development Bank, to provide more effective, decentralized management of funds. The document concludes by offering lessons for the Green Climate Fund (GCF), emphasizing the need for direct access modalities, clear ring-fencing of assets, and a transparent trustee selection process to avoid conflicts of interest, particularly regarding the World Bank.

The July 2012 issue of Investment Treaty News Quarterly explores the tension between investor protections and the regulatory autonomy of states. Key discussions include the use of deferential standards of review to enhance the legitimacy of investor-state arbitration and the risks associated with unilateral offers to arbitrate in national investment codes. The document also analyzes how international investment agreements can clash with the provision of public services and the increasing trend of investors challenging renewable energy feed-in tariffs (FiTs) and domestic content requirements. Additionally, it reviews the European Commission's draft text for investor-state dispute settlement in EU agreements and provides summaries of recent arbitral awards involving countries such as Slovakia, Cuba, Paraguay, Ecuador, and Turkey.

The document assesses the transition from the GATT's 'gentleman's club' model to the WTO's formal rules-based system, highlighting how the principles of consensus and the Single Undertaking have become obstacles to progress. It argues that the rise of emerging economies and the increased complexity of trade issues—including domestic regulation and climate change—have rendered the current system obsolete. The author evaluates several reform options, including weighted voting, an executive committee, and plurilateral agreements, ultimately suggesting that a 'critical mass' or plurilateral approach may be the most practical way to maintain the WTO's relevance.

The document examines how Cape Town and eThekwini integrated climate change into their statutory Integrated Development Plans (IDPs), highlighting that prior climate initiatives, political leadership, and research were critical for success. While IDPs are essential for resource allocation and strategic focus, the brief argues that mainstreaming alone is insufficient and must be supported by sectoral plans, by-laws, and capacity building.

The research paper evaluates four types of cost limits—alternative compliance payments, contract price caps, retail rate/revenue impact caps, and renewable energy fund caps—across several U.S. states. It finds that while cost limits can insure against unacceptably high costs, they often create market uncertainty, may act as price floors rather than ceilings, and can conflict with renewable energy targets if not aligned with expected costs. For California, the author recommends avoiding public contract-level benchmarks, ensuring the limit is consistent with expected RPS costs, and implementing a simple, clearly defined mechanism with a predictable review process.

The document examines the conflict between Vattenfall and Germany arising from the 13th Amendment to the Atomic Energy Act, which mandated the closure of nuclear plants by 2022. It explores how the Energy Charter Treaty (ECT) allows foreign investors to bypass domestic courts and seek compensation through the International Centre for the Settlement of Investment Disputes (ICSID). The report compares the investor-friendly standards of international arbitration—such as 'fair and equitable treatment' and 'indirect expropriation'—with the more public-interest-oriented protections of the German Basic Law. It concludes that the current investor-state dispute settlement system lacks transparency and predictability, potentially creating a 'chilling effect' on environmental policy-making.

The report argues that genetic engineering has provided modest results in addressing agricultural drought, exemplified by Monsanto's DroughtGard corn, which offers limited protection under moderate drought and no benefit in severe conditions. It finds that conventional breeding and improved farming practices are often more cost-effective and successful. The author highlights that drought tolerance is a complex trait involving many genes, making single-gene GE approaches limited, and notes a lack of evidence that GE has improved water-use efficiency (WUE). The report recommends increasing public support for conventional breeding, focusing on drought-tolerant 'orphan crops' from the Southern Hemisphere, and investing in soil and water conservation.

The report identifies 'green shoots of recovery' in securitisation markets, particularly through increased residential mortgage backed securities (RMBS) in the UK and trade finance securitisations. While investor demand is returning, the report argues that supply is constrained by heavy government intervention (such as by the ECB and US federal agencies) and stringent new regulations like Basel III and Solvency II. The author suggests that the normalisation of these markets is vital for climate finance, as 95% of project finance globally comes from bank lending, and securitisation allows banks to recycle limited capital to fund renewable energy and energy efficiency projects.

The report evaluates advanced nuclear reactor designs to provide affordable, low-carbon energy. It focuses on small modular light water reactors (smLWRs) for their deployment flexibility and safety; high-temperature gas-cooled reactors (HTGRs) for their high thermal efficiency and process heat applications; and fluoride salt-cooled high-temperature reactors (FHRs) for their potential for breakthrough economics due to compact size and high power density.

The document analyzes the tension between protecting foreign investments and the sovereign right of states to regulate for the public interest. It examines how the lack of a clear definition of 'indirect expropriation' in most investment treaties allows arbitration tribunals to apply varying criteria—such as the 'sole effect doctrine' or proportionality—which can lead to substantial compensation claims even for legitimate public health or environmental regulations.

The report analyzes the challenges of defining 'indirect expropriation'—measures that deprive an investor of the economic value of an investment without formally seizing the title. It contrasts the 'sole effect doctrine,' which focuses exclusively on the prejudice suffered by the investor, with more balanced approaches like proportionality and the 'police powers' doctrine, which protect legitimate non-discriminatory public regulations. The author argues that current investment treaties often lack precise definitions, leading to inconsistent arbitral rulings that may discourage states from implementing essential public health, environmental, or social protections due to the risk of costly compensation claims.

The document analyzes the nexus of trade, investment, and competition policy in South Africa, highlighting the shift from early trade liberalization to a more cautious approach centered on employment creation. It details the role of the Competition Act of 1998 in addressing public interest and the complexities of managing foreign direct investment (FDI), illustrated by the Walmart-Massmart merger. The author argues that a robust competition regime is essential to maximize the benefits of FDI and ensure market efficiency while adhering to international obligations.

The statement examines the instability of the Arab Spring, the complexities of the 'responsibility to protect' doctrine, and the geopolitical shift toward state capitalism. It specifically addresses South Africa's diplomatic efforts in Sudan and South Sudan, its aspirations within the African Union, and the role of the South African Development Partnership Agency. The author also highlights SAIIA's ranking as the top think-tank in Sub-Saharan Africa and its youth development initiatives.

The report examines the 'mainstreaming' of climate change adaptation into development planning to increase efficiency and avoid policy conflicts. It analyzes three guiding frameworks (Huq and Ayers, UNDP-UNEP, and OECD) and evaluates entry points across different governance levels. The analysis highlights challenges in the Asia-Pacific region, such as the disconnect between disaster management and climate policy, and suggests strategies including the use of a 'climate lens' for screening projects and the adoption of 'no-regrets' strategies.

Zimbabwe lacks a formal climate change policy, strategy, or national adaptation strategy, relying instead on a fragmented collection of uncoordinated programmes and various pieces of legislation, including the Environment Management Act of 2002, to guide its climate activities.

The report evaluates the first two phases of the EU ETS, finding that while it successfully capped emissions, its actual abatement impact was modest (40–80 MtCO2/yr) and heavily influenced by the 2008-2009 financial crisis. It notes that the system failed to drive large-scale long-term low-carbon investment due to price volatility and over-allocation. The analysis also highlights significant 'windfall profits' in the power and industrial sectors resulting from free allowance allocations and the pass-through of carbon costs to consumers. The document concludes by suggesting strengthening measures such as price floors and set-asides, and reviews similar emerging schemes in jurisdictions like Australia, China, and the USA.

The report examines the MRV frameworks of four major emitters, finding that while emissions tracking is well-established and consistent with international standards, the tracking of mitigation actions is fragmented, often relying on ex-ante projections rather than ex-post measurements of actual reductions.

The document highlights that while the SADC FTA has facilitated some trade growth, its effectiveness is severely hampered by restrictive Rules of Origin, non-tariff barriers (NTBs), and overlapping regional memberships. Private sector actors report administrative burdens in acquiring certificates of origin and the use of technical barriers to trade as veiled protectionism or revenue-raising tools. The briefing recommends harmonizing technical standards, simplifying Rules of Origin through the Tripartite FTA, and improving customs cooperation to reduce the cost of doing business in the region.

The report traces the history of ASAT programs, focusing on the United States and Russia/Soviet Union, while noting emerging capabilities in China and India. It details various technologies—including kinetic-kill, co-orbital, laser, and jamming systems—and assesses the risks of space debris and conflict escalation. The document also reviews diplomatic attempts to prevent an arms race in outer space, such as the Outer Space Treaty and various codes of conduct.

The document examines housing vulnerability to typhoons and floods in Vietnam, focusing on the region of Central Vietnam and the city of Da Nang. It identifies a 'two-fold source of vulnerability' where the adoption of modern materials without professional technical guidance has increased risk. Technical weaknesses in semi-permanent housing—such as flat roof angles, lack of ring beams, and inappropriate building shapes—are highlighted as primary failure points. Socio-economic factors, including low income and lack of awareness, prevent the adoption of disaster-resistant measures. While national strategies exist, the paper argues they lack local specificity, and local governance in Da Nang lacks the legal framework to enforce safe construction practices. Economically, the paper notes that while reinforcement costs 15-60% of construction costs, the lack of such measures leads to recurring repair costs that can double the initial construction investment over five years.