Mr. Chairman,

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

2. Allow me to say that under your guidance we worked intensively during this session and we interchanged ideas that helped the Parties to understand each other's position. This constructive engagement has been very useful and we are ready to continue in this fashion in future sessions.

Mr. Chairman,

3. According to the Compilation and Synthesis of fifth national communications from Parties included in Annex I to the Convention, over the period 1990- 2008, the total aggregate of greenhouse gas (GHG) emissions from Annex I Parties that are not economies in transition, excluding LULUCF, increased by 8%.
Moreover, according to projected data, the GHG emissions of Annex I Parties, excluding emissions and removals from the LULUCF sector are expected to increase by 7.8 %, between 2010- 2020.

Mr. Chairman,

4. The Group of 77 and China is very concerned about the facts and the trend contained in the reports FCCC/SBI/2011/INF.1, Add 1 and Add. 2. The Group strongly urges Annex I Parties to intensify their efforts aimed at reducing their GHG emissions in accordance with the principles and provisions, the objective of the Convention and their commitments under the Convention and the Kyoto Protocol.

5. With reference to the same document on the "Compilation and Synthesis of Fifth National Communications of Annex I Parties", on financing, it states, in Section III covering the implementation of commitments for financial resources, transfer of technologies and capacity-building, that "many data gaps and inconsistencies in reporting approaches among Annex II countries and across periods still persist, which was also noted in the previous synthesis report…"

6. We therefore urge Annex I Parties first, 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. Secondly, 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. At a time when more and more responsibilities on reporting are placed on developing country Parties, it is incumbent on developed country Parties who have the obligation to provide financial resources at agreed full costs basis to developing country Parties, to clarify whether they are meeting their commitments under the Convention related to financing.

8. We underline our call on Parties included in Annex II of the Convention to intensify their efforts aimed at fulfilling their commitments on the provision of financial resources, enhancing technology development and transfer, meeting costs of adaptation, and strengthening capacity building in developing country Parties in accordance with articles 4, paragraphs 3, 4 and 5 of the Convention. To this end, the accuracy, comparability and level of detail of information regarding the provision of support of financial resources, technology development and transfer and capacity building reported in National Communications of Annex II Parties must be further defined and enhanced.

9. The G77 and China considers that verifiable, concrete actions are needed in order to assure the fulfillment of commitments of developed country Parties and their compliance.

Mr. Chairman,

10. The Group would like to reiterate 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. As we are all aware, the Cancun decisions contain additional reporting obligations for developing countries, as well as provisions on more frequent timelines for the submission of reports. Decision 1/CP.16 clearly specifies that "developing countries, consistent with their capabilities and the level of support provided for reporting should also submit biennial reports…" (paragraph 60 (c). The submission of biennial reports is therefore contingent on support, and would therefore require specific technical and technological inputs, as well as increased human and institutional capacities.

11. Predictability of funding and the provision of the agreed full costs for the preparation of
national communications from non-Annex I Parties are crucial. Financing of non-Annex I national communications are currently subject to limited allocations and other conditions.

12. We also reiterate our call for more contributions to the funds devoted to adaptation under the Convention, in particular the Special Climate Change Fund, the Least Developed Countries Fund and the Adaptation Fund under the Kyoto Protocol. Not only are they hugely underfunded, and most of them dependent on voluntary funding, they are also the only main sources of financing adaptation under the Convention.

13. In addition we urge that 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 should not be applied to these funds, in particular the requirement of co-financing prior to accessing funding. The historical imbalance in financing to the detriment of adaptation must be redressed, and adaptation financing be treated in an equal manner as 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 basic principles and are strong positions of the Group of 77 and China. We will continue to pursue these positions firmly in these negotiations.

14. Still on financing, Mr. Chairman, we deeply regret that the developed country Parties refuse the continuation of the National Economic, Environment and Development Study (NEEDS) project for climate change that have benefited 11 developing country Parties in undertaking their financial needs assessment, and to allow us to extend this project to other developing countries. Such financial needs assessment would have enabled us to determine how we can fully implement the Cancun decisions.

Mr. Chairman,

15. The G77 and China expects that the process for the formulation and implementation of National Adaptation Plans modalities and guidelines will truly enable developing countries to address adaptation needs. We seek to clearly establish a process to enable least developed country Parties to formulate and implement national adaptation plans. In addition, we seek to develop the modalities for particularly vulnerable developing countries. We require a clear way forward to support LDCs and other particularly vulnerable developing countries to formulate and implement their National Adaptation Plans.

Mr. Chairman,

16. On Article 6 of the Convention, we would like to emphasize that education, training and public awareness about climate change are essential for all countries and even more for developing countries, to enable them to formulate and implement mitigation and adaptation programmes and actions. It is so important that it deserved a specific Article in the Convention, in addition to being an activity in Article 4.1 (i) subject to financing at agreed full incremental costs basis.

17. In this SBI session the Terms of Reference for the review of the Implementation of the Amended New Delhi Work Programme were agreed. This will be key for collecting proposals in order to design the new Art. 6 Programme after 2012.

18. Mr. Chairman, your support was decisive. We specially congratulate your proposal to organize an event at COP17, in Durban, to define the opportunities to both strengthen and promote Art. 6. We are sure that under your leadership we will have a new Art. 6 Programme, that will be funded with new and additional resources.

Mr. Chairman,

19. On activities to be undertaken by the Work Programm on Loss and Damage, the G77 and China reaffirms the need to strengthen international cooperation, to enhance knowledge and capcity directed to reduce adverse effects of climate change, and to provide support for its implementation.

Mr. Chairman,

20. The G77 and China welcomes the forum on the impact of the implementation of response measures and its special event convened by the Chairs of the SBI and SBSTA at this session under paragraph 93 of 1.CP/16, to be continued at the thirty-fifth session of the subsidiary bodies, with the objective of developing a work programme under the subsidiary bodies to address these impacts, and with a view to adopting, at the seventeenth session of the Conference of the Parties, modalities for the operationalization of the work programme and a possible forum on response measures.

21. The Group of 77 and China reiterates the necessity of enabling the active participation of Palestine in the UNFCCC process and to make every effort to grant Palestine access to funding from sources of climate change financing.

Finally, Mr. Chairman,

22. The Group of 77 and China would like to reassure you of its commitment to make concrete progress in order to achieve the main goal and objectives of the Convention and its Kyoto Protocol, thereby ensuring the success of the 17th session of the Conference of the Parties in Durban, South Africa.

Thank you.