The EU and the financial mechanism of the UNFCCC: deciding on synergies and trade-offs

For a long time, developing countries have advocated for strengthening the global climate regime in areas beyond mitigation, particularly in adaptation, loss and damage, and means of implementation. The European Union (EU) has often approached the relationship between enhancing these areas and maintaining the effectiveness of climate mitigation efforts as a trade-off, rather than recognizing their potential synergies. This paper offers alternative theoretical explanations for the EU’s position and tests these explanations through an empirical analysis based primarily on climate regime negotiations data. It argues that the EU’s stance cannot be fully explained by strategic considerations alone; its internal institutional structure—especially its normative, decision-making, and bureaucratic frameworks—also plays a crucial role in shaping its position.