New hope at Copenhagen climate talks

Copenhagen: There is a new lease of life at Copenhagen climate summit after a virtual collapse. The Kyoto Protocol, which binds developed countries to legally binding emission cuts, is back on the agenda.

The big positive statement of the day came from US Secretary of State Hillary Clinton who has promised the United States will help raise $100 billion annually by 2020 to assist poor countries in coping with climate change as long as America's demands for a global warming pledge are met.

All eyes are now on India and China and PM Manmohan Singh is on his way to Copenhagen.

While no legally binding agreement is possible, a political statement is still very much a possibility that could then set the stage for negotiations on a binding deal next year.

India welcomed the United States' commitment to contribute to the multi-billion-dollar climate aid fund.

On Thursday, Clinton announced at the Copenhagen talks that the USwould join other rich countries in raising $100 billion in yearlyclimate financing for poor countries by 2020. (Read: US will 'do its bit' for climate change: Hillary)

"We welcome the announcement by US Secretary of State Hillary Clinton," said Environment Minister Jairam Ramesh, adding, "Financing is an important step in climate negotiations. I have not seen the text of her statement but this is a positive note." (Watch: India welcomes Hillary's announcement)

The US declaration could give a boost to the deadlocked climate talksin the Danish capital, which have faltered over disputes between richand developing countries on greenhouse gas emission cuts and aid topoor countries most affected by climate change.

"We met the Americans on Thursday this morning, and suggested a four-point formula. We hope to get into a political definition of a draft with the heads of state," said Ramesh.

Below is the four  point proposal that BASIC countries reportedly made to Americans:

• National communication once in two years based on revised format
• Supported action will have international Measurement, Reporting and Verification (MRV)
  
• Unsupported action domestic MRV based on international guidelines 
• Domestic MRV will be provided to the United Nations Framework Convention on Climate Change (UNFCC) for information. Americans want the word consultation to be used instead.
  

Apparently there is agreement on first three but not on fourth and BASIC countries are clear no intrusive review possible.

That would then set the stage for negotiations on a binding deal at Bonn or Mexico, venues for the next stage of climate talks.

Negotiations have resumed on both Kyoto Protocol and Long-Term Cooperative Action (LCA) tracks. BASIC countries comprising of India, China, Brazil and South Africa will be under severe pressure to accept verification; that's a deal breaker for the US.

However, the final picture on Copenhagen will only emerge in closing hours.

Earlier on Thursday, India attacked host Denmark for keeping the political statement under wraps, even as the US accused emerging nations of "backing away" from scrutiny of their climate actions. "The continued reluctance of the Danes to reveal the political outcome is most baffling," the Environment Minister said.

The statement came hours before the key segment of the 12-day climate talks, to be attended by over 100 world leaders including Prime Minister Manmohan Singh and US President Barack Obama.

(With inputs from agencies)