Finance
What is COP29? The biggest issues on the table in Baku next month
A new global climate finance goal is the centrepiece of the climate summit.
The next UN climate conference, COP29, is taking place a month today in Azerbaijan’s capital of Baku.
In a week marred by deadly flooding in eastern Europe and a “berserk” climate fuelled hurricane in the US, it is painfully evident that the climate crisis continues to escalate beyond our efforts to temper it.
For a fortnight from 11 to 22 November, the world will be looking to leaders to ramp up climate action and afford stronger protection to those on the frontlines.
COP29 is billed as the ‘finance COP’, because it is time for countries to set a new global climate finance goal. Ahead of COP30 in Brazil next year, they also need to submit stronger national climate commitments.
And after some wins at COP28 in Dubai last year – including the official launching of a new loss and damage fund for climate victims – developing countries are anxious for past commitments to be honoured and improved on.
A month is a long time in global affairs. Devastating conflict in the Middle East, and the US election in early November, will influence the negotiations in various ways. But given the timeframes built into the UNFCCC process, here are the key issues heading into the summit.
What was agreed at COP28?
As required by the Paris Agreement which has guided global climate action since 2015, the main outcome agreed at COP28 was the first ever ‘global stocktake’.
For the first time at a climate COP, the final text actually named fossil fuels – and called for all countries to “transition away” from them. Despite this progress, the decision shied away from the full “phase-out” many said was needed to stay below 1.5C global heating.
The outcome also called on countries to contribute to the global tripling of renewable energy capacity by 2030.
Following the historic agreement to create a loss and damage fund at COP27 – to effectively compensate climate-vulnerable countries – COP28 succeeded in officially launching the fund.
The finer details remain to be figured out in Baku, before the money actually starts flowing to nations in need next year.
Why is COP29 being called the ‘finance COP’?
For the first time in 15 years, countries will need to agree to a new global finance goal, known as the new collective quantified climate finance goal (NCQG).
This will update the target set in 2009, when developed countries pledged to mobilise $100 billion (€91.4 bn) a year by 2020 to help developing countries mitigate and adapt to climate change. A promise they only managed to deliver on in 2022.
With the crisis intensifying, the actual amount of climate finance that developing countries now need is estimated to be in the region of $500 billion dollars to over $1 trillion a year. There are big challenges to bridging the minimum that they will be willing to accept in a deal, and the maximum that developed countries are willing to put themselves on the hook for.
As well as the total figure, COP29 will see much wrangling over the terms of the NCQG, including: who the donor base and recipients will be; how much will come from public and private sources; and whether it will be in the form of grants or loans.
ADVERTISEMENTWhere does the EU stand on climate finance?
EU ministers approved their conclusions on climate finance earlier this week, committing to continue collectively mobilising $100 billion per year until 2025, and to set an “ambitious” NCQG for thereafter.
The council is expected to adopt its final negotiating mandate for COP29 on 15 October. Currently, the climate finance text stresses that international public finance should be at its core and be provided by a “broader base of contributors, including those countries that are capable of contributing.”
Michael Bloss, climate and industrial policy spokesperson for the Greens in the European Parliament, tells Euronews Green that “$100 billion per year is nowhere near enough.”
“Our priority is clear: balance funding across mitigation, adaptation, and loss and damage, with strict interim targets,” he adds. “Grants must replace loans to break the cycle of debt and unlock true potential for sustainable development.”
ADVERTISEMENTIt remains to be seen whether the NGQG will have specific sub-goals for adaptation and loss and damage funding. The former is more likely, according to Alden Meyer, a senior associate at the E3G climate think tank. For the last few years, developing countries have been fighting for 50 per cent of finance to be allocated towards adaptation – given the urgent need to adjust to climate change.
Laying the ground for stronger NDCs
Also fast approaching under the Paris Agreement is the deadline for countries to submit new Nationally Determined Contributions (NDCs), outlining how they will curb emissions.
These must be renewed every five years, with the next round due in February 2025. So COP29 is a crucial moment for countries to raise the bar and hold each other to account.
NDCs should include sector-specific targets, such as concrete goals for shifting to emissions-free energy and food systems, the World Resources Institute (WRI) notes.
ADVERTISEMENTDuring a recent high-level event, the troika of presidencies – the UAE, Azerbaijan and COP30 host Brazil – indicated that their NDCs will either be announced at COP or by the end of the year.
But despite some stirring rhetoric on “keeping 1.5C alive”, Meyer said the leaders had little information on how they will act on last year’s global stocktake.
“I was struck by the fact that the troika presidencies said nothing about reforming their current intentions to expand production and export of fossil fuels,” he told press during a subsequent briefing. “All three of them have plans to dramatically scale up investment in that sector.”
COP29 has the mammoth task of bringing rhetoric closer to reality.
ADVERTISEMENTTurning energy ambition into action
“This is going to be a finance COP that we’re heading into,” said Leo Roberts, an energy transition expert at E3G during the same briefing. “But that doesn’t mean that energy is no longer relevant – in fact it makes it extremely important that it’s not dropped.”
With the global stocktake decision, COP28 concluded with a set of global efforts that countries were called on to contribute to, including: tripling renewable energy capacity and doubling energy efficiency by 2030; phasing-down coal power; and transitioning away from fossil fuels.
“It’s quite clearly a package, not a menu,” said Roberts, flagging a worrying selectiveness around the fossil fuel side of the equation. He also noted a lack of coherence about how countries are linking ambition on the global energy transition through to financing.
In his first official letter to parties, COP29 President-Designate Mukhtar Babayev emphasised that the summit’s two pillars will be enhancing ambition and enabling action.
ADVERTISEMENTThe latest IEA report finds that the world is currently only on track for increasing renewable energy capacity by 2.7 times by 2030, so more action and financial support is needed on this front.
Who is going to COP29?
World leaders will be arriving at Baku Stadium for the World Leaders Climate Action summit at the start of COP on 12 and 13 November.
As in previous years, this will be a chance for heads of state to convene before their negotiators get down to business. The biggest names tend to be confirmed nearer the time.
But in a sign that the event will be slimmer than the record-breaking list of over 65,000 attendees last year, numerous finance bosses have said they plan to skip the summit this year.
ADVERTISEMENTDespite the focus on private finance, the heads of Bank of America, BlackRock, Standard Chartered and Deutsche Bank are not attending, the Financial Times reports, with some arguing this is a “technical COP” less suited to business.
The UK’s veteran climate attender King Charles is also reportedly giving COP29 a miss.
But Azerbaijan’s president Ilham Aliyev is sure to be welcoming many more world leaders including Barbadian prime minister Mia Mottley, a champion of more equitable climate action. Now head of the V20 group of climate-vulnerable countries, Mottley will be bringing more radical ideas for financial reform under the Bridgetown Initiative.
Civil society organisations and climate campaigners will be travelling to Azerbaijan too – another petrostate host that has drawn scrutiny for its human rights record.
ADVERTISEMENT“Climate action must be holistic, with justice at its core,” adds EU Greens spokesman Bloss. “This includes holding COP host Azerbaijan accountable for its precarious human rights situation and demanding full freedom for civil society and national climate activists to act without restraint.
If you need a refresher on how climate COPs began, check out our comprehensive guide from COP28. And check back for more COP29 coverage as the world’s most important climate negotiations approach.
Before seeking a new referendum MPS needs to rebuild trust in the community through completing state audits, putting in place controls to prevent overspending and routine reports to the public.
For MPS Superintendent Brenda Cassellius, who just wrapped up her first year leading Milwaukee’s public school system, her tenure has been punctuated by some very big numbers.
The first is $252 million. That is the amount of new spending voters narrowly approved in an April 2024 referendum to support operations in Wisconsin’s largest school district. Just months later, MPS was rocked by revelations the district was months behind in filing key financial reports to the state, which led to former Superintendent Keith Posley’s resignation.
The second is $1 billion. MPS faces a deferred maintenance backlog exceeding $1 billion. The district’s enrollment has declined 30% over the last 30 years, leaving many schools at less than 50% full. That, in part, is driving a plan to close some schools and to improve others to help lower costs.
The final is $46 million, the deficit MPS was running for the 2024-25 school year, an unexpected shortfall which has led to hundreds of staff layoffs.
Getting the district’s accounting, budgeting and financial reporting back on track has dominated Cassellius’s first year at MPS. In an April 15 interview with the Journal Sentinel’s editorial board, she talked in detail about the challenges putting that into order and progress she sees in restoring transparency into its operations.
State funding and aging buildings create budget nightmares
Cassellius says state needs to keep up its share of school funding
In an interview with the Journal Sentinel editorial board, MPS leader Brenda Cassellius says budgets and buildings are her two top worries.
Cassellius said the on-going budget crisis is her top concern. She said the state’s failure to live up to its share of funding is exacerbating MPS’ budget woes. A group of school districts, teachers and parents filed suit against the state Legislature and its Joint Finance Committee claiming the current state funding system is unconstitutional and prevents schools from meeting students’ educational needs.
Funding for special education is especially critical. About 20% of MPS students have disabilities, almost twice the share of the city’s charter schools, and the average of 14% across Wisconsin.
“What’s keeping me up now, you know, is really just the budget crisis we’re in, with not only this year but multiple years going out without additional state aid, we’ve been not getting funding for what our needs are for our students, and particularly our students with special needs,” she said.
Although the state budget increased special education funding to a 42% reimbursement rate, the actual rate has been about 35%. Another component to the budget headache is the age of MPS buildings. The average age is 85 years-old compared to 45 across the nation.
“We have just kicked this can down the curb or kicked it down the street or whatever you call it for too long. And it’s time that we really take on a serious conversation about the conditions of the learning environments in which we send our children,” she said. “Particularly in Milwaukee Public Schools, we serve the most vulnerable children. Children who have language barriers, children who have disabilities, children in high-concentrated poverty.”
What needs to happen before MPS seeks another referendum
Voters need to be comfortable MPS has made tough budget decisions
In an interview with Journal Sentinel editorial board, Brenda Cassellius said voters will need to see budget improvements before seeking more spending
Cassellius said MPS will definitely need to go back to voters for a new referendum in the future. In addition to the 2024 measure, voters approved an $87 million plan in 2020.
Before doing that, she said the district first needs to rebuild trust in the community through completing required state audits, putting into place controls to prevent overspending and routine reports to the school board and public about finances.
“I don’t think that the voters are going to want us to bring something forward until they feel comfortable that we have done the cleanup that is necessary,” she said. “And we’ve built the trust that we have the sufficient controls in place.”
In the interim, she’s hoping the state will meet its constitutional responsibility to adequately fund public schools.
“What the public expects is you know where the money is, you’re spending it as close as you can to children, you’re getting good on the promise around art, music, and PE, and the things the public said they wanted to fund,” Cassellius said. “And they want their kids to have so that they have a quality education and an excellent education in Milwaukee Public Schools, and that they had the right amount of staff that they actually need. In the school to be safe and to run a good operation.”
Rebuilding finance staff in wake of $46 million in overspending
MPS is rebuilding school finance staff in wake of reporting lapses
In an interview with the Journal Sentinel editorial board April 15, MPS superintendent discusses accountability for district’s financial problems.
The $46 million budget shortfall from the 2024-25 school year started coming into view last fall and was confirmed in mid-January. Cassellius noted that in addition to hiring a new superintendent, MPS also parted ways with its comptroller and CFO.
“We are really rebuilding the personnel and staff of the finance department. That is what’s critical, is having the right people in the right seats doing the work,” she said. “Also critical is making sure that you have the right controls in place. The audit findings found that we did not have proper controls in place and now we have those proper controls in place and when we find things we put new SOPs in place and that is what any business does.”
Identifying that shortfall, though painful, was the result of better accounting.
“Being three years behind in auditing means that you don’t have full sight on your actual revenues and expenditures. And so we have now full sight of our revenues and our expenditures and that’s why we were able to see this new deficit of $46 million,” she said. “And we still continue to work with DPI on those processes to make sure that every month we’re doing monthly to actuals and doing those accounting, reporting that to the board. In a way that is consumable to the public that they can understand.”
Jim Fitzhenry is the Ideas Lab Editor/Director of Community Engagement for the Milwaukee Journal Sentinel. Reach him at jfitzhen@gannett.com or 920-993-7154.
Property markets move in cycles, and with interest rates rising and other pressures like high fuel costs, some markets are clearly slowing down. Many first-home buyers who have only ever seen markets going up are conditioned to think that when purchasing, competition is always intense and decisions need to be made quickly.
In those times, buyers often feel they need to act fast, stretch their budget and secure a property at almost any cost. But things have definitely changed.
In a softer market, the dynamic shifts. Properties take longer to sell, competition thins, and it’s the vendors who begin to feel pressure.
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For buyers who understand how to navigate that change, the balance of power quickly moves in their favour. The opportunity is not simply to buy at a lower price. It is to negotiate from a position of strength.
If that’s you right now, these are the key skills first-home buyers need to take advantage of in softer market conditions.
The most important shift in a soft market is psychological. In a rising market, buyers often feel like they are competing for limited opportunities. In a softer market, the opposite is true. There are more properties available, fewer active buyers and less urgency overall. This gives buyers options.
When buyers understand that they are not competing with multiple parties on every property, their decision-making improves. They are more willing to walk away, compare opportunities and avoid overpaying. Negotiation strength comes from not needing to transact immediately. When that pressure is removed, buyers are able to engage more strategically.
One of the most common mistakes first-home buyers make is continuing to apply strategies that only work in rising markets. Auction urgency is a clear example. In strong markets, auctions often attract multiple bidders and create competitive tension. In softer conditions, properties are more likely to pass in, shifting the process away from a public bidding environment into a private negotiation.
This is where leverage increases.
Private negotiations allow buyers to introduce conditions that protect their position. These may include finance clauses, longer settlement periods or price adjustments based on due diligence. Opportunities that are rarely available in competitive markets become standard in softer ones.
The Board of Visitors Finance Committee met Thursday and approved a 3.6 percent average increase in tuition, a 4.8 percent average increase in meal plan costs and a 5 percent increase in the cost of double-room housing for the 2026-27 school year. The approval was unanimous amongst Board members, though some expressed resistance to the increases before voting in favor of them.
The Committee heard from Jennifer Wagner Davis, executive vice president and chief operating officer, and Donna Price Henry, chancellor of the College at Wise, about reasons for the raise in tuition and rates. According to Davis and Henry, salary increases for professors and legislation passed by the General Assembly contribute to tuition and rates increases.
The Finance Committee, chaired by Vice Rector Victoria Harker, is responsible for the University’s financial affairs and business operations, and the Committee manages the budget, tuition and student fees.
Changes in tuition vary between schools, with the School of Law seeing at most a 5.1 percent increase, the School of Engineering & Applied Science seeing at most a 3.2 percent increase and the College of Arts and Sciences seeing at most a 3.1 percent increase in tuition for the 2026-27 school year.
For the 2026-27 school year at the College at Wise, the Committee also unanimously approved a 2.5 percent average increase in tuition, a 3.8 percent increase in meal plans and a 2 percent increase in the cost of housing.
Last year, the Committee approved a 3 percent average increase in tuition, a 5.5 percent increase in meal plans and a 5.5 percent increase in the cost of housing for the University.
Davis cited increased costs as the primary reason for the approved increase in tuition. She said that the budget that could be passed by the General Assembly for June 30, 2027 through June 30, 2028 could increase professor salaries — University professors receive raises via this process. Davis said that the Senate and House of Delegates have separate proposals dealing with the pay increases that are currently unresolved, with House Bill 30 raising salaries by 2 percent and Senate Bill 30 raising salaries by 3 percent.
Davis said every percent increase in faculty salaries costs the University $15 million annually, and the Commonwealth will increase funding to the University by $1-2 million to help pay for that increase. According to Davis, the most common way to stabilize the budgetary imbalance caused by raised salaries is through tuition raises.
Beyond the increase in salary, Davis cited the minimum wage increase, inflation and Virginia Military Survivors & Dependents Education Program as increased costs to the University. VMSDEP is a program that gives education benefits to spouses and children of disabled veterans or military service members killed, missing in action or taken prisoner. Davis said that the program is “partially unfunded” and could cost the University somewhere between $3.6 to $6 million, depending on how many students qualify for the program.
Davis spoke on other contributing factors to the increase in tuition, specifically collective bargaining — which allows workers to bargain for better wages and working conditions.
“If we look at other institutions or other states that have collective bargaining, [collective bargaining] does put an upward pressure on tuition,” Davis said.
Prior to Thursday’s meeting, the Committee heard the proposal for tuition increases from Davis and Henry April 6 in a Finance Committee tuition workshop with public comment. During the tuition workshop, tuition increases ranged from 3 to 4.5 percent for the University and 2 to 3 percent for the College at Wise. Both increases approved Thursday are within the ranges originally proposed.
Meal plan costs, on average, will be increasing by 4.8 percent in the upcoming academic year. Davis said that the University has been expanding dining options with the opening of the Gaston House and new locations for the Ivy Corridor student housing that is still in progress. She also said that the University has been taking steps to increase the availability of allergen-friendly food options.
Davis shared that the 5 percent cost increase in housing is due to the expansion of student housing in the Ivy Corridor. Davis also said that there will be 3,000 new units added to the Charlottesville housing market by 2027, of which 780 beds will be for University housing. Davis said that she hopes the Ivy Corridor housing would “free up” the city housing supply by having more students live on Grounds.
Board member Amanda Pillion said she was “concerned” about how tuition increases would harm rural families — she said the constant increases in cost could make a University education out of reach for middle-income Virginians.
“This is the second governor I’ve served under. Both times I’ve heard affordability, affordability, affordability,” Pillion said. “We need to really be conscious of the fact that … there is a large group of people that [are middle-income] that these increases [in tuition and fees] are really tough for.”
The Committee also approved a renovation for The Park — an 18-acre recreational hub in North Grounds — which will cost $10 million. As part of the renovation, The Park will include a maintenance facility, storm water systems and a maintenance access route. Davis said the renovation will address safety and security issues for the 200 people that use The Park daily. According to Davis, the University will use $2 million of institutional funds and issue $8 million of debt to fund the renovation.
The Finance Committee will reconvene during the regularly scheduled June Board meetings.
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