COPENHAGEN- A U.N. summit is considering a target of limiting global warming to a maximum 2 degrees Celsius, backed by a new fund of $100 billion a year to aid developing nations, according to a draft text pulled together on Friday morning hours before world leaders met.

Deep cuts in global emissions are required, according to the draft, seen by Reuters.

It had blanks still to be filled in for commitments by rich nations to cut greenhouse gas emissions by 2020. This latest draft had not moved on significantly from a text produced during the night.

Recognising the scientific view that the increase in global temperatures ought not to exceed 2 degrees...parties commit to a vigorous response through immediate and enhanced national action based on strengthened international cooperation, it said.

Many major economies have already adopted a goal of limiting warming to 2 Celsius over pre-industrial times, seen as a threshold for dangerous changes such as more floods, heatwaves, droughts and rising sea levels.

The parties support the goal of mobilising jointly $100 billion by 2020 to address the climate change needs of developing countries, it said. This money will come from a wide variety of sources.

The phrasing echoed U.S. Secrtary of State Hillary Clinton's speech to the Copenhagen meeting on Thursday.

The text also outlined a goal of providing $10 billion a year in quick start funds for developing nations from 2010-12, rising until the $100 billion goal by 2020.

The text said developing nations would agree to some monitoring of their promised emissions curbs, including reporting back to the U.N. Climate Change Secretariat every two years. The United States is insisting on international verification as part of a deal.

Negotiations on full legal texts -- of one or more new climate treaties -- would have to be wrapped up by the end of 2010, the draft said.
The text would not be legally binding. The text said nations would continue talks with a view to adopting one or more legal instruments ... as soon as possible and no later than COP 16, the next U.N. meeting due in Mexico in November 2010.

Many developing nations want two pacts -- an extended Kyoto Protocol that now obliges rich nations to cut emissions until 2012 and a new deal outlining actions by the poor. Developed nations prefer a single treaty.

The overall text was titled the Copenhagen X -- reflecting disagreement about what to call it. I'd call it the Copenhagen catastrophe, said one environmental activist, saying it was too weak.

(Reporting by Alister Doyle and Gerard Wynn)