The Breakthrough and the Challenge: Advances and Gaps in the Climate Negotiations of COP29

The recent COP29 climate negotiations once again highlighted the immense challenges and opportunities in global climate policy. Significant progress was made in the area of carbon markets, yet critical gaps remain that could hinder effective implementation. With the agreement on methodological requirements and carbon removals for Article 6.4 of the Paris Agreement, the foundations are set to kickstart international carbon trading. This is considered a potentially groundbreaking instrument that, according to Yalchin Rafiyev, the COP29 chief negotiator, could help save up to 250 billion dollars annually in the implementation of climate plans. Julien Hall from Climate Impact X is optimistic that future projects will be more financeable thanks to reduced uncertainties in carbon trading. Nonetheless, experts from Carbon Market Watch point out that numerous initial shortcomings remain, including the lack of sanctions for rule violations. In parallel, ambitious pledges were made in the energy sector to promote green technologies, including the globally set goal of 1.5 terawatts of energy storage by 2030. Douglas emphasizes that these commitments have the potential to fundamentally transform the energy sector, with an increasing focus on technologies such as long-term energy storage, wind, and geothermal energy. Despite the promising approaches, Douglas notes that the redirection of over 600 billion dollars annually in subsidies from fossil fuels to renewable energies is urgently required to accelerate the transition. In June 2025, international negotiations will continue in Bonn to resolve the remaining details from COP29 and further pave the global path to climate stability.