After Nepal’s call for ‘compensation’, India says developed countries should take lead on climate change
Nepal's Foreign Minister initially flagged the impact of global warming on the Himalayan nation in the context of a devastating flash flood, in remarks that were widely read as a call for compensation from India, the US, and China.
The minister subsequently clarified that he had not demanded compensation, but had instead shared Nepal's perspective on the disproportionate impact of climate change on vulnerable mountain states.
India's Ministry of External Affairs responded that it adheres to the principle of "common but differentiated responsibilities," and that historically high-emitting developed countries should take the lead in cutting emissions and in sharing technology with developing nations.
The exchange followed a catastrophic flash flood in Nepal's Rasuwa district that killed over a thousand people and left thousands missing, with India deploying relief material and rescue personnel as part of its bilateral response.
Common But Differentiated Responsibilities and Respective Capabilities (CBDR-RC)
CBDR-RC is a foundational principle of international environmental law holding that while all states share responsibility for addressing global environmental degradation, developed countries bear greater responsibility because of their larger historical contribution to emissions and their greater financial and technological capacity. It first found formal expression in Principle 7 of the Rio Declaration on Environment and Development (1992), and was codified in Article 3(1) of the UN Framework Convention on Climate Change (UNFCCC, 1992), which states that developed country parties "should take the lead in combating climate change and the adverse effects thereof."
India's MEA response citing developed countries' obligation to "take the lead" is a direct paraphrase of UNFCCC Article 3(1), reaffirming CBDR-RC as India's consistent diplomatic line even while declining to frame the issue as compensation to a neighbouring state.
Loss and Damage Fund
"Loss and damage" refers to the residual, often irreversible harm from climate change impacts (such as floods, glacial melt, and sea-level rise) that cannot be avoided through mitigation or adaptation. Developing and vulnerable nations, including small island states and Himalayan countries like Nepal, have long sought a dedicated finance mechanism for such harm, separate from general climate finance and mitigation funding.
Nepal's initial remarks, though later walked back, echo the loss-and-damage discourse that vulnerable, low-emitting states like Nepal use to seek support from both historically high-emitting developed nations and large regional emitters.
Glacial Lake Outburst Floods (GLOFs) as a Himalayan Climate Hazard
A GLOF occurs when a glacial lake, formed by meltwater dammed behind unstable moraine or ice, breaches suddenly and releases a destructive volume of water and debris downstream. Rising temperatures are accelerating Himalayan glacier retreat, expanding glacial lakes and increasing GLOF risk across the region, including in India's own Himalayan states.
Key Details
- The October 2023 South Lhonak Lake GLOF in Sikkim (Teesta river basin) killed dozens, destroyed a major hydropower plant, and highlighted India's own exposure to this hazard.
- Scientific studies attribute the growing frequency of such events to glacier retreat and permafrost thaw linked to climate change.
- India's National Disaster Management Authority (NDMA) and state disaster management agencies are developing GLOF early-warning and glacial lake monitoring protocols.
The Rasuwa flood in Nepal is part of the same climate-linked Himalayan hazard pattern as Sikkim's 2023 disaster, illustrating why India, Nepal, and other Himalayan states share a common vulnerability even as they may differ on how to apportion responsibility for global emissions.
- The Rasuwa district flood killed over 1,000 people, with thousands reported missing, including around 275 Indian nationals.
- India deployed roughly 95 tonnes of relief material across seven flights and around 54 personnel, including tunnel rescue and forensic teams.
- CBDR-RC traces to Rio Declaration 1992 (Principle 7) and UNFCCC 1992 (Article 3(1)).
- The Loss and Damage Fund was agreed at COP27 (2022, Egypt) and operationalized at COP28 (2023, UAE), hosted on an interim basis by the World Bank.