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The document outlines a new energy security framework for Central and Eastern Europe, emphasizing the transition from fossil fuel imports to clean energy to mitigate geopolitical risks. It calls for the elimination of fossil fuel subsidies, the creation of a grid security framework to counter hybrid warfare, and the expansion of the EU single energy market through harmonized permitting and increased interconnector investment. Additionally, it advocates for an incentive-based investment approach similar to the US Inflation Reduction Act to maintain European competitiveness and prevent reliance on non-EU financing.

The briefing examines how cuts to official development assistance, trade instability, and rising debt burdens threaten low-income countries. It argues that while the FfD4 outcome document represents a multilateral consensus, its success depends on translating commitments into action. The authors propose a strategy combining restructured aid, coordinated debt relief, and strengthened domestic resource mobilization—including wealth and natural resource taxation—to prevent systemic crises and support sustainable development.

The document argues that despite the COP 28 agreement to transition away from fossil fuels, production and consumption continue to rise. It proposes that COP 30 adopt differentiated timelines for phasing out fossil fuels based on national wealth and historical responsibility, and calls for an immediate end to new fossil fuel exploration and expansion. Key financial recommendations include ending public financing for fossil fuels, reforming subsidies, and establishing the Belém Action Mechanism for Just Transition to coordinate climate finance.

The document argues that current development and climate finance is insufficient to meet the Sustainable Development Goals (SDGs) and the Paris Agreement, noting a $4 trillion annual investment gap for SDG implementation in developing countries. It promotes the work of the Global Solidarity Levy Task Force (GSLTF), which has proposed 16 levy options targeting undertaxed sectors responsible for carbon emissions, including aviation, fossil fuels, and financial transactions. The GSLTF estimates that these levies could potentially generate over $500 billion in annual revenue, with specific examples such as a 0.1% levy on trading stocks and bonds potentially raising $418 billion. The brief calls for developing countries to engage in the design and assessment of these levies to ensure equitable access to funds, as the recovery of these taxes generally occurs through individual national tax systems, leaving the allocation of grants to developing countries to the discretion of developed nations.

The document argues that despite the COP 28 agreement to transition away from fossil fuels, production continues to rise, led by wealthy nations. It calls for COP 30 to establish differentiated phase-out timelines based on historical responsibility, mandate annual progress reports, and launch the Belém Action Mechanism for Just Transition. The briefing emphasizes that the transition is economically feasible if Global North countries redirect fossil fuel subsidies and tax polluters to mobilize over USD 5,000 billion annually for climate finance, prioritizing grants over loans to avoid exacerbating debt in the Global South.

The report analyzes the sources of development finance for low-income countries (LICs), identifying tax revenues as the primary source but highlighting systemic risks such as cuts to official development assistance (ODA), trade fragmentation, and an impending external debt crisis. It argues that while domestic resource mobilization (DRM) is essential, it must be balanced with 'external revenue mobilization' through export diversification to avoid balance of payments crises. The authors propose a pragmatic approach to the Financing for Development (FfD) agenda, recommending specific international reforms—such as separating poverty-reduction ODA from global public goods funding—and national reforms, including the removal of fossil fuel subsidies and the implementation of wealth and natural resource taxes.

The document outlines the work of the Global Solidarity Levy Task Force (GSLTF) in developing 16 tax options targeting undertaxed, high-emission sectors to bridge the trillion-dollar financing gap for Sustainable Development Goals (SDGs) and the Paris Agreement. It highlights the potential for these levies to generate over $500 billion in annual revenue and calls for developing countries to engage in the design and assessment of these mechanisms to ensure equitable access to funds. The brief details the GSLTF's efforts to build political momentum through international forums and its submission to the Baku to Belém Roadmap to support the New Collective Quantified Goal on Climate Finance.

The report calls for the EU to adopt a 2035 NDC target of at least 72.5% emissions reduction, aligning with a straight-line path toward a 90% reduction by 2040 and net zero by 2050. It emphasizes that a robust, investible target, supported by the Clean Industrial Deal and sectoral policies in energy, transport, and industry, will reduce dependence on fossil fuel imports—which cost the EU EUR 376 billion in 2024—and enhance global competitiveness. The authors advocate for a 'competitive sustainability' approach and strengthened public-private collaboration, citing models from Denmark, Sweden, and the Netherlands to accelerate the transition.

The International Institute for Sustainable Development (IISD) proposes revisions to the first draft of the Fourth Financing for Development Conference Outcome Document to increase ambition and specificity. Key recommendations include phasing out fossil fuel subsidies without 'inefficient' loopholes, strengthening natural resource taxation, and establishing a broad-based debt-relief initiative. The report also advocates for a phased approach to climate finance in least developed countries and the integration of green public procurement to align fiscal systems with climate goals.

G7 countries are on track to miss their 2025 deadline to phase out inefficient fossil fuel subsidies, with total subsidies reaching a record USD 282 billion in 2023. The surge was primarily driven by consumer subsidies for natural gas and petroleum to mitigate energy price volatility following Russia's invasion of Ukraine. While some members have implemented domestic reforms or joined coalitions like COFFIS and CETP, the author argues that the G7 must now drop the 'inefficient' qualifier, establish national action plans, and prohibit all subsidies to coal and fossil fuel production to align with 1.5°C climate pathways.

ClientEarth argues that EU State aid policy currently lacks environmental mainstreaming, allowing for the approval of aid that supports environmentally harmful activities, such as fossil fuels. The briefing asserts that there are no fundamental legal obstacles to integrating environmental requirements and proposes three main pillars: systemic verification of compliance with EU environmental law, horizontal application of the "Do No Significant Harm" (DNSH) principle, and the inclusion of environmental risks when assessing the negative effects of aid on competition and trade.

The Resilience and Sustainability Facility (RSF), the operational arm of the IMF's Resilience and Sustainability Trust (RST), provides long-term concessional loans to low- and middle-income countries (LMICs) to implement macro-critical climate reforms. While the RSF creates fiscal space and improves investment conditions, its impact is often hindered by limited engagement with sectoral ministries, overlapping climate initiatives, and inconsistent coordination with development partners like the World Bank and regional development banks. The document recommends institutionalizing inter-ministry platforms, aligning RSF reforms with national climate plans, and utilizing joint diagnostic tools. It also highlights the role of IMF Climate Finance Roundtables in aligning investments with national priorities, though these have yet to mobilize significant private capital. Case studies from Bangladesh, Barbados, and Senegal illustrate both the potential and the challenges of these coordination mechanisms.

In 2024, the world commissioned the lowest amount of new coal capacity in twenty years (44 GW), though global capacity still saw a net increase of 18.8 GW. While the EU27 quadrupled its retirements and the UK closed its last coal plant, China and India saw record construction starts and proposals, respectively. Outside these two nations, development capacity has fallen for ten consecutive years. In Latin America, new proposals are nearly zero, though Brazil continues to provide significant government subsidies to keep existing plants operational despite the competitiveness of renewables.

In 2024, the world commissioned the lowest amount of new coal capacity in twenty years, though a net increase in the global fleet occurred due to record construction starts in China and new proposals in India. While the EU27 saw coal retirements quadruple and the UK eliminated coal power entirely, other regions like Russia, Central Asia, and Mongolia continue to seek new plants. In Latin America, proposals are declining, though Brazil continues to provide significant government subsidies to keep coal plants operational.

The report provides a comprehensive framework for negotiating international agreements on fossil fuel subsidies (FFS), detailing six key building blocks: objectives, scope, disciplines, carve-outs/exceptions, special and differential treatment (SDT), and enforcement. It analyzes various legal approaches, including those based on the WTO's Agreement on Subsidies and Countervailing Measures (SCM) and the Agreement on Agriculture (AoA), and highlights the Agreement on Climate Change, Trade and Sustainability (ACCTS) as a primary precedent for specific FFS disciplines.

Government representatives of Small Island Developing States (SIDS) meeting in Barbados on 12 March 2025 issued a call to action for a just energy transition. The document highlights that over 24% of the SIDS population lacks electricity and nearly 43% lack clean cooking access. To address these gaps and reduce reliance on imported fossil fuels, the SIDS call for the swift capitalization of the Loss and Damage Fund, increased public grant and concessional finance, and the implementation of the Baku to Belém Roadmap to mobilize $1.3T. Proposed actions include submitting ambitious Nationally Determined Contributions (NDCs) ahead of COP30, scaling up innovative financing like debt-for-climate swaps, and deploying fit-for-purpose technologies such as Battery Energy Storage Systems (BESS) and electric cooking.

The document details the severe health impacts of the fossil fuel lifecycle, emphasizing that air pollution linked to fossil fuels causes over 80% of pollution-related deaths. It highlights the disproportionate burden on vulnerable groups—including children, women, the elderly, and racialized communities—and advocates for a managed phase-out of oil, gas, and coal to save millions of lives and reduce healthcare costs. The brief provides case studies from Argentina, India, the USA, and China to illustrate these harms and the benefits of decommissioning coal plants. It concludes with specific policy recommendations for city and national governments to transition toward renewable energy and protect public health.

The document highlights a critical gap between the estimated loss and damage (L&D) finance needs of developing countries (USD 400 billion to 1.6 trillion per year by 2030) and current pledges to the Fund for responding to Loss and Damage (USD 745 million as of December 2024). It proposes a variety of innovative instruments to generate revenue, categorized by their funding potential and alignment with the 'polluters pay' and historical responsibility principles. High-potential instruments include wealth taxes (up to USD 2 trillion per year) and windfall taxes (up to USD 1 trillion per year). The brief recommends that high-income countries implement these instruments nationally or advocate for global frameworks through forums like the G20, IMF, and the UN Framework Convention on International Tax Cooperation to ensure equitable climate finance.

The document identifies a USD 146.4 billion investment gap for Indonesia's 2030 ENDC targets, noting that private financial institutions' climate finance represents only 3% of their total investments. While new regulations like the Indonesia Taxonomy for Sustainable Finance (TKBI) and POJK 18/2023 support decarbonization, significant barriers remain, including contradictory fossil fuel subsidies and a mismatch between the long-term capital needs of climate projects and the short-term nature of commercial bank funding.

The briefing outlines how international agreements and industry pressure maintain fossil fuel subsidies in aviation and shipping, leading to higher emissions and market distortions. It recommends that countries tax domestic aviation and shipping fuels, reform legal barriers like the Energy Taxation Directive and air service agreements, and advocate for stringent international emissions levies through the ICAO and IMO, specifically suggesting a shipping levy exceeding USD 100 per tonne of CO2.