Kosovo Presses for Climate Fund Access as Balkans Brace for EU Carbon Rules
COP 31 Presidency Events • United NationsNovember 12, 2026
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Kosovo's environment minister used a COP31 side event on Nov. 12, 2026, to argue that her country is being left out of global climate finance even as it plans a lignite exit. The dialogue on just energy transition in the Western Balkans and Türkiye ended without votes or binding decisions. Its proposals on carbon-border readiness, electrification and regional cooperation will feed a forthcoming policy brief.
- Kosovo's non-party status blocks access to the Adaptation Fund, Green Climate Fund and Global Environment Facility, despite a $2.3 billion project pipeline
- Kosovo pledges a 16.3% emissions cut by 2030, rising to 42% with outside finance
- North Macedonia's climate adviser warns exporters could "pay double" under the EU's carbon border tax without compatible monitoring systems
- Istanbul Policy Center expert urges Türkiye to act as "honest broker" and link the electrification pledge to a fossil fuel exit
- Panelists propose a regional knowledge hub, electricity market coupling with Türkiye and a civil society platform
Kosovo Wants a Seat at the Table
Kosovo arrived at COP31 with a decarbonization plan and a complaint about access. The plan is ambitious. The complaint is that the global system won't help pay for it.
The basics: Kosovo is not a party to the UN climate process. Under that non-party status, it cannot draw on the Adaptation Fund, the Green Climate Fund or the Global Environment Facility, the main multilateral sources of climate finance.
Why it matters: Kosovo's emissions are concentrated in lignite-fired power, a high-carbon form of coal. Moving off lignite takes capital, and the country says it has a $2.3 billion project pipeline it cannot take to the funds built for this purpose.
Where things stand: The Kosovo Minister of Environment and Spatial Planning laid out the national targets in the keynote:
- 16.3% emissions cut by 2030 under Kosovo's national climate pledge, rising to up to 42% with finance
- 100 MW of solar by mid-2027
- 1,200 MW of renewables through auctions by 2031
- A building renovation strategy and a Just Transition Roadmap
The minister framed the gap between those targets and Kosovo's institutional standing in blunt terms. "We have no seat at the table, no access to climate funds, and no voice in the decisions that shape our future," said the Minister.
Gayatri Rajesh, External Advisor on Climate Change and Circular Economy at Kosovo's environment ministry, returned to the theme during the panel. She added figures on households receiving support and on solar district heating, which supplies heat to buildings from a central, solar-powered system.
Decisions and stakeholder impacts: No action was taken. The difference between Kosovo's 16.3% unconditional target and its 42% conditional target shows how much of the plan depends on outside money. Households and workers in lignite-dependent areas, the intended beneficiaries of the Just Transition Roadmap, have the most at stake if that finance doesn't come through.
What's next: The minister's case was a call for access, not a formal request on any COP agenda. No specific next step was announced.
Build the Data Before the Carbon Price
Teodora Obradović-Gončarovska, State Advisor for Climate Change at North Macedonia's Ministry of Environment and Physical Planning, gave the panel's most technical warning. Western Balkan governments need EU-compatible emissions accounting in place before they price carbon, or their exporters could be charged twice.
The basics: The EU's Carbon Border Adjustment Mechanism, or CBAM, puts a charge on the carbon content of certain imports. The EU Emissions Trading System (ETS) is the bloc's internal carbon market. MRV stands for monitoring, reporting and verification, the data backbone that makes carbon pricing credible.
Why it matters: Without compatible systems, exporters may pay carbon costs twice, and carbon revenue may flow to Brussels instead of national budgets.
Where things stand: Obradović-Gončarovska argued that governments should mirror EU systems first. "Otherwise, you can introduce carbon pricing in your country, but without a copy-paste system, they will pay double if they are part of CBAM products," said Obradović-Gončarovska.
She described the groundwork in North Macedonia:
- A legal basis in the draft climate action law
- Work on national grid emission factors
- Training for ministries and universities
The other side: The harder constraint, she said, is capacity. Institutions in the region tend to be project-driven, built around donor-funded efforts rather than permanent staff. The EU acquis, the body of EU law candidate countries must adopt, keeps shifting. Brain drain pulls trained experts away. As a result, countries lean on outside consultants and struggle to transpose EU climate law.
Decisions and stakeholder impacts: No action was taken. Exporters of CBAM-covered goods face the most direct financial exposure. Finance ministries stand to gain or lose carbon revenue depending on how quickly MRV systems are built. Universities appear as both training partners and a possible answer to the talent drain.
Electrification Pledge Pitched as Fossil Exit Tool
Ümit Şahin, Head of Climate Studies at the Istanbul Policy Center, Sabancı University, backed the 35-by-35 Electrification Pledge, a flagship COP31 initiative.
Why it matters: The pledge comes amid U.S. absence from the talks and fragmented climate leadership. That leaves room for middle powers like Türkiye to shape outcomes.
Where things stand: Şahin urged Türkiye to act as an honest broker and to tie the pledge to the transition away from fossil fuels in the formal COP decision. He said the EU would endorse the pledge, citing European Commission President Ursula von der Leyen.
He also rejected the argument that electrification only pays off on a clean grid. "Even if your electricity mix is high carbon, you still reduce your emissions by electrification," said Şahin.
The other side: Şahin flagged a risk inside his own argument: data centers could absorb new renewable capacity before it displaces fossil fuels. He proposed a climate vulnerability and transition finance window to support countries making the shift.
What's next: Whether the pledge is written into the COP decision text, or stays a voluntary side commitment, is the key test for the rest of the conference.
Regional Cooperation 'Not Optional'
The panel closed with concrete proposals rather than general statements.
Where things stand: Panelists put forward three ideas:
- A regional climate knowledge hub offering degrees
- Coupled electricity markets between the Western Balkans and Türkiye
- A platform linking academia, civil society and policymakers
Closing messages from the panel: the transition is about transforming economies, it must be people-centered, and regional cooperation is not optional.
Why it matters: The knowledge hub responds directly to the brain drain and capacity problems raised earlier. Market coupling, which links national power markets so electricity trades across borders, could help absorb new solar capacity like Kosovo's planned auctions.
Decisions and stakeholder impacts: None of these proposals is binding. Universities, grid operators and civil society groups are the most likely partners if they move forward.
Looking Ahead
Moderator Agim Selami, Director of the Zip Institute and Chairman of the Macedonian Energy Forum, will draw on the discussion for a policy brief under the IPC-Mercator fellowship.