Mr. Chairman,

1. I have the honour to deliver this statement on behalf of the Group of 77 and China. The Group of 77 and China would like to assure you of our full support and cooperation. Allow me at the outset to express my deep appreciation to the Government and people of Germany for hosting this important meeting in the historical city of Bonn. We also thank the Secretariat for their excellent work regarding the arrangements for this meeting.

2. The Group of 77 and China would like to reiterate its readiness to engage constructively in substantive work , in a Party-driven manner, so that concrete progress can be achieved during this session on the many issues under the SBI.

Mr. Chairman,

3. The Group of 77 and China would like to emphasize that the mandate for AWG-LCA is the full, effective and sustained implementation of the Convention, as per the Bali Action Plan and, in this regard, the Subsidiary Bodies should play an important complementary role.

4. We are aware that Cancun outcomes introduced new issues under the Subsidiary Body on Scientific and Technical Advice, as per Dec. 1CP/16, and, consequently, the SBI agenda has been enlarged. Some assignments to the SBI agenda following Cancun are clear enough, yet the new processes needing further political development therefore must be kept under the AWG-LCA sphere. In this sense, we believe that discussions on unresolved issues should continue in the AWG-LCA track, and not be transferred to other bodies, since that would not be in line with the Convention nor with the mandate given by Parties to the AWG-LCA, which was extended in Cancun. We further emphasize that the AWG-LCA must maintain an overview of the specific issues that were mandated to SBI through Decision 1CP/16, and that the progress made under SBI must feed into the comprehensive and balanced outcome of the AWG-LCA.

Mr. Chairman,

5. The Group would like to emphasize the shared difficulties faced by developing country parties in terms of lack of technical and financial support to enable them to prepare their national communications. Moreover, the Cancun decisions contained additional reporting obligations for developing countries, as well as more frequent timelines for the submission of reports, in particular on inventories of greenhouse gas emissions which require specific technical and technological inputs, as well as increased human and institutional capacities.

6. Predictability of funding and the provision of the agreed full costs for the preparation of National Communications from Non-Annex I Parties are crucial, currently subject to limited financing allocations under expedited procedures. We also urge Annex I parties to provide detailed information or make available in their national communications the level of improvement in emissions reductions, or lack thereof. In this sense, it is important to maintain and strengthen Annual reports on the technical review of greenhouse gas inventories from Parties included in Annex I to the Convention as well as the monitor, report and evaluation of their domestic mitigation action. As repeatedly stated in the synthesis of Annex I communications, standard formats of reporting on the provision of financial resources, including for transfer of technology and adaptation should be utilized in fulfillment of obligations under Article 12.3 of the Convention.

7. The Group would like to underline the fact that developing countries continue to suffer from the adverse impacts of climate change, and the increasing frequency and intensity of extreme weather events. The Group also underlines the challenges faced by developing countries from the impact of response measures. Therefore, we call for more contributions to the funds under the Convention, in particular the Special Climate Change Fund, the Least Developed Countries Fund and the Adaptation Fund under the Kyoto Protocol.

8. There must be fewer conditions attached to the allocation and use of the funds that are managed through the Global Environment Facility as an operating entity of the financial mechanism of the Convention, in particular the requirement of co-financing for the use of these funds. and to treat adaptation in an equal manner as the case for mitigation. Balanced allocation of resources for adaptation, including for the design of the Green Climate Fund, as well as direct access as operationalized in the Adaptation Fund, are strong positions of the Group of 77 and China that we will continue to pursue in these negotiations.

Mr. Chairman,

9. The adoption of the agenda helped us to clarify the work ahead of us towards Durban.
However, time is limited and therefore, the G77 and China, request the Secretariat to strive not to schedule parallel meetings in order to allow for effective participation by small delegations from developing countries, as well as to ensure that there will be no clash of meetings of negotiating groups dealing with closely interlinked, or similar issues.

10. On the other hand, the Group of 77 and China is convinced that even with the best use of the time available to us, these sessions cannot be the last ones before convening in Durban, and there is a clear necessity for an additional session to be held in the Fall. In this regard, we expect to receive further clarity on the preparations under way and definitions of such meeting at the earliest possible time, and before we adjourn our work this session.

11. Accordingly, the Group will work to ensure that the budget and administrative matters to be considered during this session will be commensurate with the political will needed and with the urgency and importance of the issues under UNFCCC, as well as the additional responsibilities required for the implementation of Decision 1/CP.16. Additionally, and no less importantly, decisions over global issues can only be made at the global level, and in this regard it is fundamental to maintain adequate funding to ensure the full and effective participation of all developing countries in these processes.

12. The Group of 77 and China reiterates the necessity of Palestine active participation in the UNFCCC process and to make every effort to grant Palestine access to funding from different Climate Change sources.

13. We acknowledge decision 1/CP.16 was adopted over the explicit objection of one Party. We expect this to be on the record.

Finally, Mr. Chairman,

14. The Group of 77 and China would like to assure you that it will continue to work constructively with you and all Parties to make concrete progress during this session in order to advance towards a balanced and comprehensive outcome in Durban.

Thank you.