'Annual climate adaptation costs in developing countries could reach $300B'

LONDON

The cost of adapting to climate change in developing nations could reach $300 billion in 2030, according to the latest report by the UN Conference on Trade and Development.That figure could get up to $500 billion in 2050 if mitigation targets are not met.

Climate change adaptation is the process of adjusting to current or expected climate change and its effects.

Ahead of the upcoming COP26 climate summit in Scotland, the UN report calls for a transformative approach to climate adaptation, with advanced economies ensuring multilateral institutions can support developing countries to manage the pressures from a changing climate without compromising development goals.

“Climate change has no borders, so our strategy to adapt to it must be globally coordinated,” UNCTAD Secretary-General Rebeca Grynspan said in a statement. “Fulfilling the $100 billion a year pledge for the Green Climate Fund is a must at Glasgow. But aligning ambition and action will require a concerted reform effort at the multilateral level.”

The UN recommends reforms focus on increasing the proportion of additive finance designated for climate change adaptation and resilience building.

“If the G7 countries had met the 0.7% ODA (official development assistance) target in 2020, an additional $155 billion would have been available to meet development goals,” the report indicates.

It also said debt relief and restructuring for developing countries should be put firmly on the climate agenda.

Poorer countries face a $15 billion annual loss.

The report also warned that the push to liberalize trade in environmental goods and services will benefit mainly exporters in developed countries and constrain fiscal space in developing countries.

“Developing and least developed countries will lose $15 billion per annum in tariff revenue if this approach is pursued,” said the report.

What is COP?

COP, an abbreviation for the Conference of the Parties, will be attended by countries that have signed onto the UN Framework Convention on Climate Change (UNFCCC).

The numbered COP gatherings are hosted by a different country each year, with the very first, COP1, in Berlin in 1995.

COP26 was originally scheduled to take place last November in Glasgow, but was postponed for a year due to the coronavirus pandemic and is now being hosted by the UK in partnership with Italy.

The last conference was in Madrid, Spain, in November 2019 and ended with issues unresolved, but an agreement was reached on cutting carbon dioxide emissions.