Mr. Chairman,

1. I have the honour to deliver this statement on behalf of the Group of 77 and China.

2. Although the time allocated for this SBI session was quite short, we found it to be effective and useful under your able leadership and guidance; it allowed parties, particularly G77 and China member countries, to be engaged constructively in discussions in order to achieve real progress on different issues under the SBI. In this context, Mr. Chairman, the Group of 77 and China assures you that it will similarly continue to engage in future sessions.

3. SBI is the body responsible for implementing climate change related activities, and I underline the word implementation. Therefore, the Group of 77 and China, in this context, would like to see more efforts towards implementation oriented-decisions and conclusions on important issues to be adopted by the COP, in order to enable developing countries to deal with the difficulties they are facing in terms of lack of technical and financial support, predictability of funding and the provision of the agreed full costs. This will eventually allow them to overcome the barriers on implementing activities and programmes on adaptation and mitigation of climate change.

Mr. Chairman,

4. The Group of 77 and China considers the operation of the Adaptation Fund and the direct access to funding to be an excellent example of successes that we have achieved, which will help pave the road for an equal and balanced treatment of adaptation, in providing funding as it has been historically given to mitigation.

5. In this context, the review process of the Adaptation Fund and its institutional arrangements that will be conducted in 2011 are also important steps that the G77 and China is looking forward to.

6. I have no intension to repeat the Group's concerns that we clearly articulated in our opening statement on last Tuesday; but allow me, however, to highlight some of these key issues, namely, review of financial mechanism, governance of long term finance, review of Adaptation Fund and its institutional arrangements, Implementation of decision 1/CP10, lack of inflow of capital to the Special Climate Change Fund and the Least-developed Countries Fund to enable developing countries to deal with the adverse impacts of climate change, predictability of funding and the provision of the agreed full costs for the preparation of National Communications from Non-Annex I, which are all big concerns for the group.

7. SBI agenda item No 8, Development and transfer of technology is a key element for developing countries as they have the right for development, which will not be achieved without paving the road through the creation of a technology mechanism consisting of the key elements that are necessary for scaling up of development and transfer of technology for adaptation and mitigation by the developed countries . Here once again, it is important that financing technology transfer should come from public resources of developed countries.

8. We recognize the work that GEF is carrying out under the Poznan Strategic Program on development and transfer of technologies. However, in the planning of its future activities, the Group strongly recommends the GEF to align these activities with those of the Technology Mechanism to be established under the UNFCCC.

9. The Group accentuates the importance, in future sessions of the SBI, of switching from the habitual "to take note of documents" to a proactive action to raise COP decision for the parties included in Annex 1 with increase trends of GHG emissions on the period 1990-2007, to adopt national policies and take corresponding measures on the mitigation of climate change, by limiting and effectively reducing its anthropogenic emissions of greenhouse gases and protecting and enhancing its greenhouse gas sinks and reservoirs and the guidelines to establish mechanism to ensure compliance.

10. At the same time, the Group considers that it is urgent to adopt COP decision to implement the recommendations, prepared by the Consultative Group of Experts on National Communications from Parties not included in Annex I to the Convention, to cope with the constraints and gaps affecting non-Annex 1 Parties in the process of and preparation of their national communications and the assessment of their capacity building needs.

Mr. Chairman,

11. Since the Cancun Conference will not be able to complete the negotiation under the mandate of Bali Road Map, the AWG LCA and AWG KP need to continue their work in 2011 in order to achieve an outcome in South Africa. As a result, sufficient budget should be allocated for the meetings of the AWG LCA and AWG KP scheduled in next year.

12. The Group of 77 and China reiterates the necessity of Palestine effective participation in the UNFCCC process, and to have the right of access to funding from different climate change sources. Furthermore, we request the SBI to provide financial support for the participation of the Palestinian delegation in the meetings of the convention and its Protocol.

Finally Mr. Chairman,

13 . The Group of 77 and China would like to reassure you of its commitments to make concrete progress during the next and subsequent sessions consolidated, with the compromise of all parties, in conclusions and decisions in all SBI agenda items in order to achieve the main goal and objectives of the convention and its Protocol.

I thank you.