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An EU official said the not-yet-final deal “decides to establish new funding arrangements for assisting developing countries that are particularly vulnerable to climate change in responding to loss and damage.” The same official said a clause in the draft text that referred to “identifying and expanding sources of funding” was a vague reference to expanding the base of countries that would contribute to the fund. The EU will work next year to ensure that that reference applies to countries such as China and Saudi Arabia. The talks in Egypt set the stage for more conclusive negotiations at the next U.N. climate summit, scheduled for late 2023 in the United Arab Emirates. Those talks will try to develop more details on the design of the new fund. But with major aspects of the negotiations st...

The proposal may still fail to satisfy critics from developing countries who say the U.S. is continuing to shirk its responsibility for all the greenhouse gases it has pumped into the atmosphere since the 19th century. Another potential sticking point is the U.S. insistence that China — now the world’s top carbon polluter — must be among the countries opening their wallets. Still, the idea that the U.S. would even consider supporting the creation of a climate damage fund is a potentially seismic shift in its thinking after 30 years of opposing the concept. It could also attract fierce criticism back home, where Republicans hostile to President Joe Biden’s climate agenda are due to take control of the House in January. A State Department spokesperson said late Friday that delegates at the s...