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COP23 Fertilizes Climate-Smart Agriculture

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COP23 leaders, from left: UNFCCC Executive Secretary Patricia Espinosa of Brazil; President Emmanuel Macron, France; Frank Bainimarama, prime minister of Fiji and COP 23 president; Chancellor Angela Merkel, Germany; and UN Secretary-General António Guterres at the opening of the High-Level Segment of the conference, November 15, 2017 (Photo courtesy Earth Negotiations Bulletin) Posted for media use

By Sunny Lewis

BONN, Germany, November 21, 2017 (Maximpact.com News) – New commitments and initiatives in the agriculture and water sectors were announced as nearly 200 countries gathered at the United Nations Climate Conference (COP23) hosted by the government of Fiji in Bonn, November 6-17.

Delegates made concrete progress on turning the historic 2015 Paris Agreement into action on the ground across the world, ahead of next year’s UN climate conference in Katowice, Poland.

COP23 delegates aimed at motivating greater climate action by public and private stakeholders as the Paris Agreement, adopted in 2015, enables countries to combat climate change by limiting the rise of global temperature below 2 degrees Celsius and strive not to exceed 1.5 degrees Celsius higher than pre-industrial levels.

About one degree of that rise has already happened, increasing the pressure on governments and the private sector to progress further and faster to cut the greenhouse gases responsible for global warming.

For the first time in the history of UN climate negotiations, governments reached an agreement on agriculture that will help countries develop and implement new strategies to both reduce emissions from agriculture and build resilience to the effects of climate change.

“Agriculture is a key factor for the sustainability of rural areas, the responsibility for food security and its potential to offer climate change solutions is enormous,” said Christian Schmidt, Germany’s federal minister of food and agriculture.

Investing more quickly and broadly in agricultural climate action and to support the sustainable livelihoods of small-scale farmers will unlock much greater potential to curb emissions and protect people against climate change, sector leaders and experts said.

New COP23 initiatives include a US$400 million fund established by the Government of Norway and the corporation Unilever for public and private investment in business models that combine investments in high productivity agriculture, smallholder inclusion and forest protection.

The European Investment Bank will provide US$75 million for a new US$405 million investment program by the Water Authority of Fiji. The plan will strengthen resilience of water distribution and wastewater treatment following Cyclone Winston, the world’s second strongest storm ever recorded, which hit Fiji in February 2016.

The Green Climate Fund (GCF) and the European Bank for Reconstruction and Development signed up to free US$37.6 million of GCF grant financing in the US$243.1 million Saïss Water Conservation Project to make Moroccan agriculture more resilient.

The nonprofit World Resources Institute announced a landmark US$2.1 billion of private investment to restore degraded lands in Latin America and the Caribbean through Initiative 20×20.

“Climate change is a fundamental threat to the Sustainable Development Goal 2 that aims to end hunger, achieve food security and improve nutrition,” said José Graziano da Silva, director-general of the UN’s Food and Agriculture Organization (FAO)  at a high-level event on hunger at the conference.

“To achieve SDG2 and effectively respond to climate change, we require a transformation of our agriculture sectors and food systems,” he said.

According to FAO’s “State of Food Security and Nutrition in the World 2017” report, hunger has grown for the first time in over a decade, mainly due to conflicts and climate change. An estimated 815 million people are now hungry.

Extreme climate impacts come down hard on small-scale farmers and pastoralists as well as fishing and forest communities, who still provide the bulk of the planet’s food.

Supporting these communities with innovative solutions to reduce their emissions and protect their communities meets many of the objectives of every one of the 17 Sustainable Development Goals.

Over 70 percent of the world’s extreme poor live in rural areas. They are also the most vulnerable to hunger and malnutrition, natural resource scarcity, conflict, and climate impacts.

“The rural poor are part of a comprehensive response to climate change,” said da Silva. “They are key agents of change who need to be strengthened in their roles as stewards of biodiversity, natural resources and vital ecosystem services.”

Requests to direct more resources to the agriculture sector as a key strategy to meet the goals of the Paris Climate Change Agreement and the 2030 Agenda for Sustainable Development were made during Agriculture Action Day November 10.

“Countries now have the opportunity to transform their agricultural sectors to achieve food security for all through sustainable agriculture and strategies that boost resource-use efficiency, conserve and restore biodiversity and natural resources, and combat the impacts of climate change,” said René Castro, FAO assistant-director general.

In the livestock sector, for example, FAO estimates that emissions could be readily reduced by about 30 percent with the adoption of best practices.

At COP23, the FAO released a new “Sourcebook on Climate-Smart Agriculture,” which recommends scaling up public and private climate finance flows to agriculture, spurring public-private partnerships, strengthening a multi-sector and multi-stakeholder dialogue, investing in knowledge and information, and building capacity to address barriers to climate action.

The book features knowledge and stories about on-the-ground projects to guide policymakers and program managers to make the agricultural sectors more sustainable and productive, while contributing to food security and lower carbon intensity.

The COP23 meeting agreed that land needs to be managed in ways to increase soil carbon, particularly in grasslands, and that robust protocols for assessing and monitoring carbon stocks need to be developed with stakeholders.

Rehabilitating agricultural and degraded soils can remove up to 51 billion tonnes of carbon from the atmosphere, according to some estimates.

For the livestock sector, FAO estimates that emissions could be readily reduced by about 30 percent with the adoption of best practices.

Tom Driscoll, director of conservation policy with the U.S. National Farmers Union, says, “Farming is one of the few professions with the ability to not only reduce ongoing greenhouse gas emissions, but to also remove existing greenhouse gases from the atmosphere. National Farmers Union supports policies and programs that maximize agriculture’s GHG elimination potential by offering value to farmers for either climate-smart or emissions-reducing and carbon-sinking production and conservation practices.”

Cap-and-trade programs, which limit ongoing emissions from major sources of greenhouse gas emissions, are one means of offering farmers value for climate-smart practices.

Cap-and-trade programs can drive emissions reductions where they can happen in the most cost-effective manner, and farmers can often achieve emissions reductions and sequester atmospheric greenhouse gases for less money than the emitters these programs primarily regulate, says Driscoll on the NFU website.

The state of California has implemented a cap-and-trade program that allows for the creation and transfer-for-value of offset credits that meet regulatory criteria. Regulated entities may meet up to eight percent of their triennial compliance requirements by purchasing these credits.

In California, each credit must be quantified using a compliance offset protocol approved by the California Air Resources Board. Currently, ARB will approve credits some U.S. farmers create by capturing and destroying methane from manure management systems.

The Climate and Clean Air Coalition (CCAC), an organizer of COP23’s Agriculture Action day, announced that the Coalition will work in the next few years to create the conditions for greater agricultural climate action.

The voluntary partnership of more than 100 governments, intergovernmental organizations, businesses, scientific institutions and civil society organizations aims to help give countries the confidence to set realistic yet ambitious targets through the next revision of their national climate plans – the Nationally Determined Contributions.

“Agriculture is a large source of powerful greenhouse gases like methane and other short-lived climate pollutants but has great potential to store carbon and reduce greenhouse gases in our lifetime, that’s why we support and advocate for countries to improve their livestock emissions inventories,” said Helena Molin Valdes, head of the CCAC Secretariat.

CCAC partners signed onto the Coalition’s Bonn Communiqué which prioritizes initiatives to reduce methane and black carbon emissions from agriculture and municipal solid waste.

These initiatives support broader efforts to reduce air pollution, end hunger, and build sustainable cities and communities, while helping to limit global warming.

James Shaw, New Zealand Minister for Climate Change, said he was pleased with the Communiqué’s focus on agriculture as it was a large source of his country’s greenhouse gases.

“We hope this encourages partners to develop policies to reduce emissions from agriculture, while at the same time improving the productivity, resilience and profitability of farmers,” said Shaw.

Other agriculture-based solutions for addressing climate change were also presented at COP23. Discussions involved people from governments, civil society, the private sector, small scale and young farmers centered on livestock, traditional agriculture systems, water, soil, food loss and waste, and integrated landscape management.

Among the recommended actions and initiatives were to:

  • Scale up public and private climate finance flows to agriculture, and use them in a catalytic manner. Climate finance flows continue to favor mitigation over adaptation, and focus overwhelmingly on energy systems and infrastructure. These imbalances should be addressed.
  • Incentivize public-private partnerships. Strong dialogue and collaboration between the public and private sectors is key to ensure alignment between public policy and private sector investment decisions in agriculture and throughout the entire food system.
  • Strengthen a multi-sector and multi-stakeholder dialogue towards more integrated approaches to landscape management. This will require enhanced coordination of policy and climate action across multiple public and private entities.
  • Invest in knowledge and information. Additional analyses are needed to better identify the institutional barriers and market failures that are inhibiting broader adoption of climate-resilient and low-emissions agricultural practices in individual countries, regions and communities.
  • Build capacity to address barriers to implement climate action. Agricultural producers require additional capacities to understand the climate risks and vulnerabilities they face, and respond accordingly.

In the water sector, most national climate plans with an adaptation component prioritize action on water, yet financing would need to triple to US$295 billion per year to meet such targets, said experts at COP23.

“Sustainable use of water for multiple purposes must remain a way of life and needs to be at the center of building resilient cities and human settlements and ensuring food security in a climate change context,” said Mariet Verhoef-Cohen, president of the Women for Water Partnership.

The international water community co-signed what it called a “nature based solution declaration” to encourage the use of natural systems in managing healthy water supplies.

Around 40 percent of the world’s population will face water shortages by 2050, accelerating migration and triggering onflict, while some regions could lose up to six percent of their economic output, unless water is better managed, warned Verhoef-Cohen.

She said, “Involving both women and men in decision making and integrated water resources initiatives leads to better sustainability, governance and efficiency.”


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Featured Image: G.H. MUMM champagne 2017 harvest in champagne vineyard near Verzenay, France, September 7, 2017 (Photo by Intercontinental Hong Kong) Creative Commons license via Flickr

Green Climate Fund Disburses Hope

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Dwellings on the banks of Samoa’s Vaisigano River are at risk during increasingly extreme storms. (Photo courtesy UN Development Programme)

By Sunny Lewis

SONGDO, South Korea, February 23, 2017 (Maximpact.com News) – Just three days before he left office on January 20, U.S. President Barack Obama transferred a second installment of US$500 million to the Green Climate Fund, based in South Korea’s Songdo International Business District.

To be financed by wealthy countries, the Green Climate Fund was established by 194 governments to limit or reduce greenhouse gas emissions in developing countries, and to help vulnerable societies adapt to the unavoidable impacts of climate change.

The Fund was key to the Paris Agreement on climate which took effect throughout the world on November 4, 2016. The Agreement’s stated aim is to keep climate change “well below” 2°Celsius and, if possible, to 1.5°C above pre-industrial levels.

At the UN climate treaty talks in Paris, wealthy governments, including the United States, pledged to contribute US$100 billion a year by 2020 for climate change adaptation and mitigation projects in the Global South, primarily through the Green Climate Fund.

As of January 2017, contributions to the Green Climate Fund total US$10.3 billion.

Initially, the United States committed to contributing US$3 billion to the fund. President Obama’s most recent installment still leaves US$2 billion owing, with President Donald Trump expected to stop payments entirely.

In his “Contract With the American Voter,” which defines his program for his first 100 days in office, President Trump pledges to “cancel billions in payments to U.N. climate change programs and use the money to fix America’s water and environmental infrastructure.

President Obama’s move followed a campaign coordinated by the nonprofit Corporate Accountability International , with more than 100 organizations and nearly 100,000 people asking Obama to transfer the full US$2.5 billion to the Fund.

Although that didn’t happen, the Green Climate Fund Board is already disbursing what money it does have. To date, the Fund has approved more than US$1.3 billion to support low-emission and climate-resilient projects and programs in developing countries.

This year has demonstrated that the Fund is rapidly gathering pace with regard to scaling up climate finance,” said then Board Co-Chair Zaheer Fakir of South Africa, who held developing country role on the Board. “I am proud of the progress we have made over the past 12 months in improving Fund performance and growing our portfolio of investments.

That developing country role has now passed to Ayman Shasly of Saudi Arabia, representing the Asia Pacific group.

Fellow Co-Chair Ewen McDonald of Australia, who this year retains his role representing the developed countries on the GCF Board, said, “I have high hopes that 2017 will be the year of climate finance for the Pacific.

In December, following the last GCF Board meeting of 2016 in Apia, Samoa, McDonald said, “I am really pleased that the Board approved US$98 million for Pacific proposals at this meeting. This is the largest climate finance meeting to ever be held in the region and it comes on the cusp of 2017, the year Fiji will host the UNFCCC Conference of the Parties.”

The 2017 UN Climate Change Conference, COP23, will take place from November 6 to 17 at the World Conference Centre in Bonn, Germany, the seat of the Climate Change Secretariat. COP23 will be convened under the Presidency of Fiji.

The approved projects are funded in cooperation with accredited partners of the Green Climate Fund, which can be multi-lateral banks or UN agencies, such as the UN Development Programme (UNDP).

One of the projects approved by the GCF Board in Apia was US$57.7 million for integrated flood management to enhance climate resilience of the Vaisigano River Catchment in Samoa, with the UNDP.

The Vaisigano River flows through the Apia Urban Area, Samoa’s capital and largest city, the island nation’s primary urban economic area.

As a Small Island Developing State in the Pacific, Samoa has been heavily impacted by increasingly severe tropical storms blamed on the warming climate.

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Green Climate Fund Board Co-chairs Ewen McDonald of Australia and Zaheer Fakir of South Africa join in the applause for multi-million dollar decisions to support developing countries as they mitigate and adapt to the Earth’s changing climate. Apia, Samoa, December 15, 2016. (Screengrab from video courtesy Green Climate Fund) Posted for public use

The Integrated Flood Management project, proposed by the government, will enable Samoa to reduce the impact of recurrent storm-related flooding in the Vaisigano River Catchment.

Some 26,528 people in the catchment will benefit directly from upgraded infrastructure and drainage downstream, integrated planning and capacity strengthening, including planning for flooding caused by extreme weather events, and flood mitigation measures, such as riverworks and ecosystems solutions.

Another 37,000 people will benefit indirectly from the project, which is expected to run from 2017-2023.

Peseta Noumea Simi, who heads Samoa’s Ministry of Foreign Affairs and Trade, said the project is about improving the protection of people living near the river.

You might be aware that during the cyclone in 2012, the extensive damage caused was as a result of the Vaisigano River flooding,” she told the “Samoa Observer” newspaper.

And that extended from the mountain down to the ocean. So this is the basis of this program. You will also recognize that along the Vaisigano River route, we have extensive and very important infrastructure initiatives by the government including hydropower, the bridges, the roads as well as the water reservoirs up at Alaoa. So this is what gives importance to this program.

The Vaisigano River project is one of eight proposals approved by the Board at its December meeting. And it wasn’t the only good news for the host of the biggest climate-funding meeting ever held in the Pacific region.

Of three approvals related to the Pacific, Samoa is involved in two. The second is a US$22 million grant for a multi-country renewable energy program with the Asian Development Bank (ADB).

The Pacific Islands Renewable Energy Investment Program will assist Cook Islands, Tonga, Republic of Marshall Islands, Federated States of Micronesia, Papua New Guinea, Nauru, and Samoa to move away from burning polluting diesel fuel to generate electricity and towards solar, hydropower, and wind energy.

The program offers an excellent opportunity for Pacific islands countries to share experiences and learn from the innovation ongoing in the region,” said Anthony Maxwell, ADB principal energy specialist. “It will help finance transformation of the power grids in the region.

The GCF board approved an initial US$12 million grant for Cook Islands to install energy storage systems and support private sector investment in renewable energy. This investment will see renewable energy generation on the main island of Rarotonga increase from 15 percent to more than 50 percent of overall supply.

The GCF funding will allow Cook Islands to ramp up renewable energy integration onto the grid, and lower the cost of power generation,” said Elizabeth Wright-Koteka, chief of staff, Office of the Prime Minister, Cook Islands. “This will have significant benefits to our economy and help achieve the government’s objectives of a low carbon sustainable economy,

The GCF Board also approved a US$5 million capacity building and sector reform grant to develop energy plans, build skills, implement tariff and regulatory reforms, and foster greater private sector participation in the energy sector.

To see all projects approved at the GCF Board’s December 2016 meeting, click here.


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US$100 Billion to Finance Climate Triage

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Clever Kanga works for the Foundation for Irrigation and Sustainable Development in the central African country of Malawi, working to install solar powered irrigation projects, April 2016. (Photo by Trocaire) Creative Commons license via Flickr.

By Sunny Lewis

WASHINGTON, DC, November 3, 2016 (Maximpact.com) – Finance is always a hot button issue at the UN’s annual climate negotiations, and this year’s 22nd Conference of the Parties to the UN Framework Convention on Climate Change, COP22, will focus even more intently on financing – this time to support the first global greenhouse gas limitation pact, the Paris Agreement on Climate Change.

At COP22 in Marrakech, Morocco, taking place November 7-18, nations are expected to continue strengthening the global response to the threat of climate change, with the central focus placed on enhancing ambition, promoting implementation and providing support, especially financial support.

The process is energized by the unexpectedly rapid entry into force of the Paris Agreement on November 4, just before the opening of COP22.

The Paris Agreement was adopted at the UN climate conference in December 2015. To enter into force, at least 55 Parties accounting for at least 55 percent of global greenhouse gas emissions were required to join the pact, which enters into force 30 days later.

On October 5, those thresholds were reached. Countries joining the Agreement include the biggest and smallest greenhouse gas emitters, as well as the richest and the most vulnerable nations.

The Paris Agreement is clear that all finance flows – both public and private – must become consistent with a low-emission and climate-resilient development path.

Several new studies make clear that meeting the agreement’s central goal of holding temperature rise to well below 2 degrees C (3.6 degrees F), and aiming for 1.5 degrees C (2.7 degrees F), requires quickly shifting investments from fossil fuels and other high-emissions activities towards clean energy, green infrastructure and climate resilience.

In the United States, 2016 is the first year that investment in renewable energy sources has outpaced investment in fossil fuels, said John Morton, director for energy and climate change for the National Security Council, speaking to reporters today on a conference call.

At COP 22 in Marrakech, work to develop the rules that deliver on this goal continues.

Here are five key climate finance issues to watch as outlined by the World Resources Institute, a global research organization that spans more than 50 countries, with offices in Brazil, China, Europe, India, Indonesia, Mexico, and the United States, where it is headquartered in Washington, DC.

1. Pathway to US$100 Billion

In Paris last December, developed countries were asked for a concrete roadmap for mobilizing US$100 billion in climate finance for developing countries by 2020. This roadmap – which can help build trust that developing countries will be supported in taking urgent climate action – is now being finalized, with the aim of presenting it at a “pre-COP” gathering of ministers next week.

In Copenhagen in 2009 and in Cancún in 2010, developed countries committed to jointly raising $100 billion annually from 2020 to 2025 to help developing countries cope with climate change by building low carbon and climate resilient economies. This pledge was re-affirmed in the Paris at COP21.

This sum may come from bilateral or multilateral, public or private sources, including innovative financing, for example, the French contribution to the financial transaction tax.

Public financing may take several forms: multilateral funds such as the Green Climate Fund; multilateral or regional institutions such as the World Bank; government contributions; and bilateral institutions such as the Agence Française de Développement, the French Development Agency.

The $100 billion in funding should not be confused with the Green Climate Fund; only part of this sum will pass through the Fund.

On October 17, developed countries released a Roadmap for how they will mobilize climate finance between now and 2020.

The Roadmap “aims to provide increased predictability and transparency about how the goal will be reached, and sets out the range of actions developed countries will take to meet it.

An analysis of the Roadmap by the Organization for Economic Cooperation and Development (OECD) finds that by 2020, developed countries are expected to have mobilized between $90 billion and 92 billion of climate finance, depending on how effective public finance is in mobilizing private finance.

By comparison, the overall total for mobilized public and private finance in 2014 was $62 billion.

The OECD analysis predicts that the $100 billion goal will be reachable for 2020, due to increased leverage ratios for private finance.

2. What Counts?

Determining progress towards the $100 billion goal is tricky, say WRI analysts, since countries have never agreed on what counts as climate finance.

After considering this issue at climate negotiations earlier this year, countries agreed to hold a workshop in Marrakech to advance progress on the Paris commitment to develop modes for accounting of climate finance.

Consistency in finance reporting will help all countries to accurately track progress on commitments and ensure improved quantity and quality of climate finance flows.

3. Rules for Reporting Finance

Countries will be developing formats for how finance will be reported, based on these reporting mandates:

  • Developed countries must report projected levels of finance they will provide to developing countries and finance they already have provided to developing countries. Other countries providing finance are encouraged to report voluntarily.
  • Developing countries should report on finance needed and received.

These requirements build on earlier rules, but have the potential to be more comprehensive and systematic. Countries need to ensure the reports provide useful information for the global stocktaking process under the Paris Agreement that will assess progress every five years.

4. Scaling Up Adaptation Finance

The Paris Agreement called for a balance between support for adaptation and mitigation, but there remains some way to go.

Adaptation refers to making changes in the way humans respond to changes in climate.

Mitigation refers to controlling emissions of greenhouse gases so that the total accumulation is limited.

Developed countries’ most recent reporting to the UN shows that 14 percent of bilateral funding went to adaptation in 2014. An additional 17 percent went to both adaptation and mitigation.

In Paris, countries called for increasing adaptation finance. A clear commitment for how adaptation funding will be increased up to 2020 would bolster confidence that the most vulnerable countries’ most urgent needs will be supported.

Proposed options include a 50:50 allocation between mitigation and adaptation, a doubling of the current share of adaptation finance and a doubling of the amount of adaptation finance from current levels.

5. Adaptation Fund, Renewed?

One mechanism for channeling adaptation finance to developing countries is the Adaptation Fund, which was created at the 2001 COP in Marrakech, to serve the Kyoto Protocol. With the Kyoto Protocol’s commitment period ending in 2020, the Fund’s future is uncertain.

Countries are considering whether and how the Adaptation Fund can support the Paris Agreement.

The Adaptation Fund has a good niche in supporting relatively small-scale adaptation projects and prioritizing direct access to funding. It can provide money directly to national institutions in developing countries, without going through international intermediaries.

Creating a mandate for the Adaptation Fund to serve the Paris Agreement in Marrakech would give it a new lease on life to continue supporting vital adaptation efforts around the world.

What is Being Done Today?

Financial institutions have already been busy finding and allocating funding to climate projects.

The two operating entities of the UNFCCC Financial Mechanism, the Green Climate Fund (GCF) and the Global Environment Facility (GEF) approved more than two dozen projects in recent meetings.

Water provision in Ali Addeh camp in Djibouti. A combination of high food prices, water scarcity, climate change and reduced pasture has increased food insecurity. This year’s El Niño has led to even dryer weather. Humanitarian funding from the European Commission provides refugees with access to clean water and sanitation as well as shelter, protection, nutrition and health care. May 2016 (Photo by European Commission DG ECHO) Creative Commons license via Flickr.

The GCF Board approved funding proposals for 10 projects, totaling US$745 million, and the GEF Council approved its Work Program, comprising 16 project concepts and three programmatic frameworks, with total resources amounting to US$302 million.

In addition, the Adaptation Fund Board approved two new projects totaling US$7 million,

World Bank Head Calls for Slowing Down Coal Finance

Speaking at the World Bank-International Monetary Fund Annual Meetings 2016 Climate Ministerial meeting in October, World Bank Group President Jim Yong Kim called on ministers to accelerate the transition to low carbon power sources, noting that the Paris Agreement goals cannot be met if current plans for coal-fired stations are implemented.

Kim called for concessional finance that is well targeted and “follows the carbon,” is leveraged and blended to crowd in the private sector, and is available quickly, at scale and easily deployed.


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2050 Climate Adaptation Costs: $500B a Year

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Funding makes possible this cash-for-work and disaster risk reduction project in the West African country of Niger. These half-moon structures in the drought-stricken village of Gobro collect water when it rains, refilling the water table and encouraging the regrowth of vegetation. Oxfam International runs the project in partnership with the local NGO Mooriben and the UN’s World Food Programme. (Photo by Fatoumata Diabate / Oxfam) Creative Commons license via Flickr

By Sunny Lewis

NAIROBI, Kenya, May 19, 2016 (Maximpact.com News) – By 2050, the cost of adapting to climate change in developing countries could balloon to $500 billion annually, five times greater than previous estimates, warns a new report from the United Nations Environment Programme (UNEP).

The report calculates the difference between the costs of climate change adaptation in developing countries and the amount of money available to meet these costs – a difference known as the “adaptation finance gap.”

The 2016 Adaptation Finance Gap Report is written by authors from 15 institutions and reviewed by 31 experts. They conclude that failure to cut the greenhouse gas emissions humans are pumping out will send the annual costs of adaptation to climate change skyrocketing into the stratosphere. By 2050 these costs could be up to five times higher than earlier World Bank estimates.

The second in UNEP’s series of Climate Adaptation Gap reports, this assessment finds that total bilateral and multilateral funding for climate change adaptation in developing countries has risen in the five years leading up to 2014, reaching $22.5 billion.

But the report warns that, despite this increase, there will be a major funding gap by 2050 unless new and additional finance for adaptation appears.

“It is vital that governments understand the costs involved in adapting to climate change,” said Ibrahim Thiaw, UNEP deputy executive director.

“This report serves as a powerful reminder that climate change will continue to have serious economic costs. The adaptation finance gap is large, and likely to grow substantially over the coming decades, unless significant progress is made to secure new, additional and innovative financing for adaptation,” said Thiaw.

Previous estimates place the cost of adapting to climate change at between $70 to $100 billion annually for the period 2010-2050, a figure based on a World Bank study from 2010.

After reviewing national and sector studies, the new report finds that the World Bank’s earlier figures are likely to be “a significant underestimate.”

The true cost of adapting to climate change in developing countries could range between $140 and $300 billion per year in 2030, and between $280 and $500 billion per year in 2050.

Adaptation costs are likely to increase sharply over time even if the world succeeds in limiting a global rise in temperatures to below two degrees Celsius by 2100, the report warns.

The United Nations Framework Convention on Climate Change (UNFCCC) has called on developed countries to provide $100 billion annually by 2020 to help developing countries mitigate climate change, and adapt to its impacts, such as drought, rising sea levels and floods.

But the UNEP report warns, “There is no agreement as to the type of funding that shall be mobilised to meet this goal. This hampers efforts to monitor progress toward meeting the goal.”

“The adaptation finance gap is large, and likely to grow substantially over the coming decades, unless significant progress is made to secure new and additional finance for adaptation,” the report concludes.

The Green Climate Fund, an operating entity of the UN Framework Convention on Climate Change’ Financial Mechanism, is mandated to promote a paradigm shift towards low-emission and climate-resilient development pathways in developing countries.

Based in South Korea, the Green Climate Fund has mobilized about US$10 billion and has already made its first investments. It is the largest entity under the financial mechanism of the Paris Climate Agreement, which 195 countries negotiated in December and 170 of them signed April 22 at UN Headquarters in New York.

Green Climate Fund Executive Director Héla Cheikhrouhou said at the signing ceremony, “We need to ensure that the investments GCF makes today and in the years ahead are indeed groundbreaking. We need developing countries and our partner institutions to bring forward project proposals that meet the ambition of Paris, that unlock innovation, and that will truly drive low-emission, climate-resilient development. It is time to convert the words – and signatures – into action!”

To meet finance needs and avoid an adaptation gap, the total finance for adaptation in 2030 would have to be approximately six to 13 times greater than international public finance today, calculates the UNEP report.

Christiana Figueres of Costa Rica, outgoing executive secretary of the UN Framework Convention on Climate Change, addresses the Adaptation Futures conference in Rotterdam, The Netherlands, May 10, 2016 (Photo by Maartje_Strijbis) Posted for media use.

Christiana Figueres of Costa Rica, outgoing executive secretary of the UN Framework Convention on Climate Change, addresses the Adaptation Futures conference in Rotterdam, The Netherlands, May 10, 2016 (Photo by Maartje_Strijbis) Posted for media use.

Adaptation costs are already two to three times higher than current international public funding for adaptation, states the report, which was issued May 10 in Rotterdam at Adaptation Futures 2016, the biennial conference of the Global Programme of Research on Climate Change Vulnerability, Impacts and Adaptation.

Adaptation Futures 2016 attracted over 1,600 participants from more than 100 countries, people from the business community, from governments and nongovernmental organizations, scientists and climate specialists.


Featured Image: The Adaptation Gap Report 2016