* EU leaders agree opt-out for Czechs on treaty

* Leaders fail to agree on climate funding, will try again

* Blair presidency candidacy suffers a blow

(Adds details)

By Jan Lopatka and David Brunnstrom

BRUSSELS, Oct 29 (Reuters) - The European Union reached a deal on Thursday that opens the way to ratification of a treaty to increase its influence in world affairs, but failed to agree on funding for a pact to combat climate change.

EU leaders also moved no closer to agreement on a new president in the first day of a two-day summit in Brussels, with former British Prime Minister Tony Blair's chances of securing the role receding. [ID:nLT246249]

Leaders of the 27-country bloc cheered and applauded when they agreed on the wording of a deal to persuade Czech President Vaclav Klaus to ratify the Lisbon treaty which would reform the EU's top institutions, officials said.

They accepted his demand for an opt-out from a charter on human rights which is attached to the treaty, saying this would shield the Czech Republic from property claims by ethnic Germans expelled after World War Two.

"The road to ratification now stands open," Swedish Prime Minister Fredrik Reinfeldt, whose country holds the EU presidency and has been negotiating with the Czech government, told a news conference.

The treaty needs the backing of all 27 member states to go into force. All have ratified it except the Czech Republic.

The only obstacle to Klaus's signature is now a legal challenge by Czech senators, which the country's constitutional court is expected to dismiss on Tuesday. [ID:nL975785]

Jiri Weigl, an aide to Klaus, said Klaus "does not intend to set further conditions, so I expect his decision, his intentions, will be communicated very fast after the constitutional court (decision)."

GLOBAL INFLUENCE

Ratification of the treaty after years of negotiations would encourage the EU in its hopes of increasing its influence on the world stage to match the rise of emerging powers such as China following the global economic crisis.

"This new treaty reminds me of a marathon, but a marathon with hurdles," European Commission President Jose Manuel Barroso said.

The treaty would streamline decision-making in the bloc, which is unwieldy now that it has grown to 27 member states representing 495 million people. [ID:nL0338354]

It also would create a president of the Council of EU leaders and enhances the powers of its high representative for foreign affairs. [ID:nLS699073]

The leaders said they did not discuss who would be the president and Blair's hopes faded when his candidacy failed to secure the blessing of European socialists who are his ruling Labour Party's allies. [ID:nLT418825]

The post is now more likely to go to a centre-right candidate. No front-runner has emerged but possible contenders include Dutch Prime Minister Jan Peter Balkenende and former Finnish Prime Minister Paavo Lipponen. [ID:nLT673586]

NO CLIMATE DEAL

The joy over the opt-out contrasted with the disappointment of many leaders over the failure to agree on funding to help poor countries combat global warming under a deal to be discussed at international talks in Copenhagen in December.

EU sources said the EU presidency would present new proposals on Friday, the last day of the summit.

Failure to agree on the funding would be another blow to the prospects of global leaders agreeing on a successor to the Kyoto Protocol on battling climate change at the talks in Copenhagen.

"I'm confident that a solution will be found. It is extremely important that the European Union keeps the leadership role we have had (in combating climate change)," Barroso said.

Nine countries in eastern Europe opposed reaching any agreement on how much to give developing countries until the EU agrees how much each EU state will provide. [ID:nBRU010520]

Some countries, including Germany, oppose declaring the figure too soon, saying it would be better to wait for other global powers to first say how much they will provide. (Writing by Timothy Heritage, additional reporting by Pete Harrison, David Brunnstrom, John O'Donnell, Bate Felix and Marcin Grajewski; Editing by Myra MacDonald)

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