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Historic ‘loss and damage’ fund adopted at COP27 climate summit

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(Al Jazeera) Countries at the United Nations COP27 climate summit in Egypt have adopted a final agreement that establishes a fund to help poor nations cope with the extreme weather events caused by global warming.

Following tense negotiations that ran through the night, the summit’s Egyptian presidency released a draft text of the overall agreement early on Sunday and also called a plenary session to push the document through as the final, overarching agreement for the UN summit.The plenary session approved the document’s provision to establish a “loss and damage” fund to help developing countries bear the immediate costs of climate-fuelled events such as storms and floods.

However, many of the more contentious issues regarding the fund were pushed into talks to be held next year, when a “transitional committee” will make recommendations for countries to then adopt at the COP28 climate summit in November 2023.The recommendations will cover “identifying and expanding sources of funding”, which refers to the vexed question of which countries should pay into the new “loss and damage” fund.

Still, the adoption of the fund is a big win for poorer nations which have long called for financial compensation because they are often the victims of climate change – such as worsened floods, droughts, heat waves, famines and storms – despite having contributed little to the pollution that is heating up the planet.

“This loss and damage fund will be a lifeline for poor families whose houses are destroyed, farmers whose fields are ruined, and islanders forced from their ancestral homes,” said Ani Dasgupta, president of the environmental think-tank World Resources Institute, minutes after the early morning approval was announced.Calls by developing countries for such a fund have dominated the two-week summit, pushing the talks past their scheduled finish on Friday.

“This is how a 30-year-old journey of ours has finally, we hope, found fruition today,” Pakistan Climate Minister Sherry Rehman said.

One-third of her nation was submerged this summer by a devastating flood and she and other officials used the motto: “What went on in Pakistan will not stay in Pakistan.”

Collins Nzovu, Zambia’s minister of green economy and environment, said he was “excited, very, very excited”.

“Very exciting because for us, success in Egypt was going to be based on what we get from loss and damage,” he said.

“This positive outcome from COP27 is an important step toward rebuilding trust with vulnerable countries.”

According to the agreement, the fund would initially draw on contributions from developed countries and other private and public sources such as international financial institutions.While major emerging economies such as China would not initially be required to contribute, that option remains on the table and will be negotiated over the coming years.

This is a key demand by the European Union and the United States, who argue that China and other large polluters currently classified as developing countries have the financial clout and responsibility to pay their share.The fund would be largely aimed at the most vulnerable nations, though there would be room for middle-income countries that are severely battered by climate disasters to get aid.

Experts said the adoption of the fund was a reflection of what can be done when the poorest nations remain unified.

“I think this is huge to have governments coming together to actually work out at least the first step of … how to deal with the issue of loss and damage,” said Alex Scott, a climate diplomacy expert at the think-tank E3G.But, like all climate financials, it is one thing to create a fund and another to get money flowing in and out, she said.

The developed world still has not kept its 2009 pledge to spend $100bn a year in other climate aid – designed to help poor nations develop green energy and adapt to future warming.

“In many ways, we’re talking about reparations,” said University of Maryland environmental health and justice professor Sacoby Wilson.

“It’s an appropriate term to use,” he said, because rich northern countries had received the benefits of fossil fuels, while the poorer global south nations were suffering the effects of climate change.

Some delegates meanwhile said the approved deal does not do enough to boost efforts to tackle the emissions that cause global warming.

It did not contain a reference requested by India and some other delegations to the phasing down use of “all fossil fuels”.

It instead called on countries to take steps toward “the phasedown of unabated coal power and phase-out of inefficient fossil fuel subsidies,” as agreed at the COP26 Glasgow summit.The draft also included a reference to “low-emissions energy”, raising concern among some that it opened the door to the growing use of natural gas – a fossil fuel that leads to both carbon dioxide and methane emissions.

Norway’s Climate Minister Espen Barth Eide told reporters his team had hoped for a stronger agreement. “It does not break with Glasgow completely, but it doesn’t raise ambition at all,” he said.

“I think they had another focus. They were very focused on the fund,” he said.



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No change in death toll, stands at 639 as at 0600AM today [11th]

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The Situation Report issued by the Disaster Management Center at 0600 AM today [11th December 2025] confirms that there has been no addition to the death toll in the past 24 hours and remains at 639. The number of missing persons has reduced by ten [10] and stands at 193.

There is a slight reduction in the  number of persons who are at safety centers and, stands at 85,351  down from 86,040 yesterday.  Five safety centers have also closed down in the past 24 hours and  873 safety centers are still being maintained.

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Regulatory rollback tailored for “politically backed megaprojects”— Environmentalists

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Investigations have revealed that the government’s controversial easing of environmental regulations appears closely aligned with the interests of a small but powerful coalition of politically connected investors, environmentalists have alleged.

The move weakens key Environmental Impact Assessment (EIA) requirements and accelerates approvals for high-risk projects, has triggered a storm of criticism from environmental scientists, civil society groups and even sections within the administration, they have claimed.

Environmental Scientist Hemantha Withanage, Executive Director of the Centre for Environmental Justice, told The Island that the policy reversal “bears the fingerprints of elite political financiers who view Sri Lanka’s natural assets as commodities to be carved up for profit.”

“This is not accidental. This is deliberate restructuring to favour a specific group of power brokers,” he told The Island. “The list of beneficiaries is clear: large-scale mineral extraction interests, luxury hotel developers targeting protected coastlines, politically backed hydropower operators, industrial agriculture companies seeking forest land, and quarry operators with direct political patronage.”

Information gathered through government insiders points to four clusters of projects that stand to gain substantially:

Several politically shielded operators have been lobbying for years to weaken environmental checks on silica sand mining, gem pit expansions, dolomite extraction and rock quarrying in the central and northwestern regions.

High-end tourism ventures — especially in coastal and wetland buffer zones — have repeatedly clashed with community opposition and EIA conditions. The rollback clears obstacles previously raised by environmental officers.

At least half a dozen mini-hydro proposals in protected catchments have stalled due to community objections and ecological concerns. The new rules are expected to greenlight them.

Plantation and agribusiness companies with political links are seeking access to forest-adjacent lands, especially in the North Central and Uva Provinces.

“These sectors have been pushing aggressively for deregulation,” a senior Ministry source confirmed. “Now they’ve got exactly what they wanted.”

Internal rifts within the Environment Ministry are widening. Several senior officers told The Island they were instructed not to “delay or complicate” approvals for projects endorsed by select political figures.

A senior officer, requesting anonymity, said:

“This is not policymaking — it’s political engineering. Officers who raise scientific concerns are sidelined.”

Another added:”There are files we cannot even question. The directive is clear: expedite.”

Opposition parliamentarians are preparing to demand a special parliamentary probe into what they call “environmental state capture” — the takeover of regulatory functions by those with political and financial leverage.

“This is governance for the few, not the many,” an Opposition MP told The Island. “The rollback benefits the government’s inner circle and their funders. The public gets the consequences: floods, landslides, water scarcity.”

Withanage issued a stark warning:

“When rivers dry up, when villages are buried in landslides, when wetlands vanish, these will not be natural disasters. These will be political crimes — caused by decisions made today under pressure from financiers.”

He said CEJ was already preparing legal and public campaigns to challenge the changes.

“We will expose the networks behind these decisions. We will not allow Sri Lanka’s environment to be traded for political loyalty.”

Civil society organisations, environmental lawyers and grassroots communities are mobilising for a nationwide protest and legal response. Several cases are expected to be filed in the coming weeks.

“This is only the beginning,” Withanage said firmly. “The fight to protect Sri Lanka’s environment is now a fight against political capture itself.”

By Ifham Nizam

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UK pledges £1 mn in aid for Ditwah victims

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Acting UK High Commissioner Theresa O’Mahony inspecting a school damaged by floods, during a visit to the Sri Lanka Red Cross operations in Gampaha.

The UK has pledged £1 million (around $1.3 million) in aid to support victims of Cyclone Ditwah, following Acting High Commissioner Theresa O’Mahony’s visit to Sri Lanka Red Cross operations in Gampaha.

“This funding will help deliver emergency supplies and life-saving assistance to those who need it most,” the British High Commission said. The aid will be distributed through humanitarian partners.

During her visit, O’Mahony toured the Red Cross warehouse where UK relief supplies are being prepared, met volunteers coordinating relief efforts, and visited flood-affected areas to speak with families impacted by the cyclone.

“Our support is about helping people get back on their feet—safely and with dignity,” she said, adding that the UK stands “shoulder to shoulder with the people of Sri Lanka” and will continue collaborating with the government, the Red Cross, the UN, and local partners in recovery efforts.

She was accompanied by John Entwhistle, IFRC Head of South Asia, and Mahesh Gunasekara, Secretary General of the Sri Lanka Red Cross.

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