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Environment › Climate negotiations and finance
Also: International Relations › Neighbourhood
2 Sep 2026
Loss and damage: Nepal seeks climate compensation from major emitters, and India responds
After the 26 August disaster, Nepal's Foreign Minister said China, the United States and India, the major emitters, had a historical responsibility to compensate vulnerable nations like Nepal. Nepal wrote to the UN's Fund for Responding to Loss and Damage. The minister later denied seeking compensation.
India's reply
India invoked common but differentiated responsibilities and respective capabilities, with developed countries leading on emissions cuts, finance and technology.
Nepal produces about 0.1 per cent of global emissions.
India's per capita emissions, around 2 tonnes a year, are about half the global average.
A small fund
About $822 millionPledged to the fund
$5 to 20 millionCap on each grant in the pilot phase
$4.78 billionNepal's reconstruction bill
From The Hindu, 5 and 12 September 2026
Contributions are voluntary, and the United States has pulled out.
The decision adopting the Paris Agreement says Article 8 gives no basis for liability or compensation.
Loss and damage in the climate regime
2013
COP19 in Warsaw sets up the Warsaw International Mechanism for Loss and Damage.
2015
Article 8 of the Paris Agreement recognises averting, minimising and addressing loss and damage.
2019
COP25 creates the Santiago Network to give technical help to vulnerable countries.
2022
COP27 in Sharm el-Sheikh agrees to set up a fund for loss and damage.
2023
COP28 in Dubai operationalises the fund, hosted for now by the World Bank.
From The Hindu, 5 September 2026, and The Indian Express, 9 September 2026; earlier dates are from UNFCCC decisions
Nepal's disaster sharpens the case for data sharing on Himalayan rivers as China presses on with its Yarlung Tsangpo dam
China is pressing on with its mega dam on the Yarlung Tsangpo, the Brahmaputra in Tibet, in a seismically active region near the Indian border. Nepal's flood disaster has renewed calls for binding data sharing on Himalayan rivers.
The dam
Chinese analysts project about 60 GW, over three times the Three Gorges.
Water may be diverted through a 40 km tunnel at the Great Bend.
Little is public, so India cannot judge the effect downstream.
A weak framework
1997
UN Watercourses Convention; neither India nor China has joined
2002
Flood season memorandum on the Brahmaputra
2005
Flood season memorandum on the Sutlej
2017
China stops sharing Brahmaputra data during the Doklam standoff
July 2025
Construction of the dam begins
From The Indian Express, 7 September 2026, and The Hindu, 6 September 2026
There is no water treaty, and the Expert Level Mechanism is only consultative.
India too shares data thinly with its downstream neighbours.
Why data matters
More than 14,000 glacial lakes dot the Tibetan Plateau, growing fastest near China's southern borders.
When a flood can reach a border in minutes, upstream data is part of the warning system.
Way forward
Way forward
Data sharing
A binding mechanism for regular sharing
Not exchanges only during disasters
Himalayan disaster compact
Transboundary monitoring
Warnings that reach communities
Development suited to fragile valleys
The dam
Joint impact assessment and monitoring
From The Indian Express, 7 and 8 September 2026
Models
Rhine
Technical cooperation insulated from politics
Senegal River
Member states jointly own their dams as common property
At the first International Space Summit in Paris, India sets out three principles for space
France hosted the first International Space Summit in Paris on 9 and 10 September. Prime Minister Modi said crowded orbits call for cooperation over confrontation, sustainability over short term gain, and inclusion over exclusion, anchored in international law.
The summit
Its four pillars: security and defence, space sector competitiveness, regulation of activities such as space debris, and science and exploration.
India welcomed support for the International Telecommunication Union's framework for frequency management.
India's record
430+payloads from 34 countries launched on Indian rockets
2035target for an indigenous space station
2040target for an Indian astronaut on the Moon
From the PIB release, 10 September 2026
Partners
European Space Agency
Ground stations to track Gaganyaan missions
Talks on human spaceflight, lunar exploration and ISRO's Venus Orbiter Mission
CNES, France's space agency
Built Megha-Tropiques and SARAL with ISRO
Joint TRISHNA with ISRO: thermal infrared mission tracking land surface temperature and evapotranspiration
India and Germany sign a joint declaration on conserving wetlands of international importance
At the 4th Indo-German Environment Forum on 1 September, India and Germany signed a Joint Declaration of Intent on the conservation and wise use of Wetlands of International Importance, for shared wetland science, restoration and community participation.
UPSC has asked
Prelims 2022: wetlands as the kidneys of the Earth
Prelims 2014: what the Montreux Record implies
The science
Wetlands store floodwater, recharge groundwater, filter pollutants and hold large amounts of carbon, which is why they are called the kidneys of the landscape.
Ramsar basics
Ramsar Convention
Signed
At Ramsar, Iran, in 1971
Countries designate Wetlands of International Importance, or Ramsar sites
India
Joined in 1982
Wetlands (Conservation and Management) Rules, 2017
Wise use
Keeping a wetland's ecological character while people continue to benefit from it
Montreux Record
Sites whose ecological character is changing because of human activity
Standard facts about the Ramsar Convention, as background to the PIB release of 1 September 2026
The forum
Held since 2008, it is the highest level bilateral forum between India and Germany on environmental policy.
Also: International Relations › Global institutions
2 Sep 2026Prelims focus
International Big Cat Alliance and Asian Development Bank sign MoU at tiger landscapes workshop
UPSC has asked
Prelims 2025: who launched the Nature Solutions Finance Hub for Asia and the Pacific
The news
The International Big Cat Alliance (IBCA) and the Asian Development Bank signed an MoU at a tiger landscapes workshop organised with the National Tiger Conservation Authority.
It framed tiger landscapes as natural capital needing integrated landscape management.
4 Prelims and 2 Mains questions, on the most important items above.
Prelims
Q1
With reference to loss and damage in the UN climate regime, consider the following statements:
1.The Fund for Responding to Loss and Damage was operationalised at COP28 in Dubai.
2.The decision adopting the Paris Agreement makes Article 8 a basis for liability and compensation.
3.The Warsaw International Mechanism was set up at COP27.
Which of the statements given above is/are correct?
(a)1 and 2 only
(b)1 onlyAnswer
(c)2 and 3 only
(d)1 and 3 only
Show answer and explanationHide answer and explanation
Only statement 1 is correct. Statement 2 is wrong: that decision says Article 8 gives no basis for liability or compensation. Statement 3 is wrong: the Warsaw International Mechanism was set up at COP19 in 2013; COP27 agreed to set up the fund.
With reference to the BRICS New Delhi Declaration, 2026, consider the following statements:
1.It opposes carbon border adjustment mechanisms as unilateral, punitive and discriminatory measures.
2.It calls for fossil fuels to be phased out of emerging and developing economies.
3.It supports negotiations on Pathogen Access and Benefit Sharing under the WHO Pandemic Agreement.
Which of the statements given above are correct?
(a)1 and 2 only
(b)1 and 3 onlyAnswer
(c)2 and 3 only
(d)1, 2 and 3
Show answer and explanationHide answer and explanation
Statements 1 and 3 are correct. Statement 2 is wrong: the declaration accepts that fossil fuels will keep an important role in developing economies, and calls for just, orderly, equitable and inclusive transitions instead.
Nepal's demand for climate compensation applies to India the argument of historical responsibility that India makes to developed countries. Examine this claim, and the adequacy of the Fund for Responding to Loss and Damage.
What does the BRICS opposition to carbon border adjustment mechanisms reveal about the divide between developed and developing countries on climate action?
Q1 (b) Only statement 1 is correct. Statement 2 is wrong: that decision says Article 8 gives no basis for liability or compensation. Statement 3 is wrong: the Warsaw International Mechanism was set up at COP19 in 2013; COP27 agreed to set up the fund.
Q2 (b) Statements 1 and 3 are correct. Statement 2 is wrong: the declaration accepts that fossil fuels will keep an important role in developing economies, and calls for just, orderly, equitable and inclusive transitions instead.
Q3 (c) Statements 1 and 3 are correct. Statement 2 is wrong: SARAL, like Megha-Tropiques, was built by ISRO with France's space agency CNES.
Q4 (d) Statements 1 and 3 are correct. Statement 2 is wrong: the convention was signed in 1971, but India joined it only in 1982.