The United Nations announced on Wednesday that it would finance an independent review of its panel on climate change, which faces accusations of scientific misinformation and potential financial conflicts of interest.

UN Secretary-General Ban Ki-moon attends a joint press conference with Chairman of the Intergovernmental Panel on Climate Change (IPCC) Rajendra Pachauri (not pictured) at the UN headquarters in New York, the United States, March 10, 2010. [Xinhua]

The scientific organization InterAcademy Council (IAC) will conduct a comprehensive review of the procedures and processes of the Intergovernmental Panel on Climate Change (IPCC)," said Secretary-General Ban Ki-moon.

"It will be conducted completely independently of the United Nations," said Ban.

Britain's Sunday Telegraph and others have unearthed problems and inaccuracies in the IPCC's landmark 2007 climate report. For example, the report concluded that the Himalayan glaciers could disappear by 2035. It was based on a decade-old interview with a glaciologist, who later claimed he was misquoted. The panel expressed "regret" for the mistake.

Without disclosing the price tag for the study, co-chair of the IAC Robbert Dijkgraaf told reporters that the United Nations will finance support for the review panel, such as travel expenses.

However, he did not know what accountability mechanisms would be put in place to establish independence from the UN despite the financial link.

"We will have to look into this," he said. The IAC, which is multinational organization of the world's science academies, is currently led by two-chairs, Dijkgraaf of the Netherlands and Lu Yongxiang of China.

Chairman of the Intergovernmental Panel on Climate Change (IPCC) Rajendra Pachauri speaks at a joint press conference with UN Secretary-General Ban Ki-moon (not pictured) at the UN headquarters in New York, the United States, March 10, 2010. [Xinhua]

The intergovernmental body was created in 2000 to provide scientific-based advise to international organizations like the United Nations and the World Bank.

In a brief statement, IPCC chairman Rajendra Pachauri said the panel has been "receptive and sensitive" to criticisms of its procedures.

He welcomed the review process and said it would help the IPCC conduct its research in a "solid and credible" way as it embarks on its Fifth Assessment Report.

An ad hoc Independent Evaluation Group (IEG) established by the IAC will conduct the review and to present recommendations on possible revisions of IPCC practices and procedures. The IEG has been asked to deliver its findings by August 31, Dijkgraaf said.

Responding to questions about whether the review panel would look into a possible conflict of interest in Pachauri's work advising companies like Deutsche Bank and Toyota, Dijkgraaf said, "We will look at the approach the IPCC has in how it is formed."

Pachauri acts as a paid consultant to many companies but he says the payments go to the Energy and Resources Institute, a Delhi-based nonprofit research center that he founded in 1982 and still leads.

However, whether he is paid directly or indirectly, many experts have voiced concern over the appropriateness for a chairman of the UN panel to serve as an advisor.

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