In News:

The Adaptation Gap Report 2024, published by the United Nations Environment Programme (UNEP), underscores the urgent need for enhanced climate adaptation efforts, particularly through increased financial support for developing countries. The report, titled Come Hell and High Water, provides an annual assessment of global adaptation progress in planning, implementation, and financing.

Key Findings

• Adaptation Gap:
  • The adaptation finance gap is estimated at $187–359 billion per year.
  • Current adaptation finance falls short, with only $28 billion provided in 2022, meeting just 5% of projected needs.
• Adaptation Progress:
  • International public adaptation finance to developing countries rose to $27.5 billion in 2022, up from $19 billion in 2019, reflecting progress toward the Glasgow Climate Pact's goal of doubling finance by 2025.
• Significance of Adaptation:
  • Ambitious adaptation measures could reduce global climate risk by 50%.
  • For instance, $16 billion annually in agriculture could prevent climate-induced hunger for 78 million people.
• Impact of Global Warming:
  • According to UNEP's Emissions Gap Report 2024, global temperatures may increase by 2.6°C–3.1°C above pre-industrial levels by 2100.
  • Developing countries face severe vulnerabilities, evidenced by recent floods in Nepal, Nigeria, and Chad.
• National Adaptation Plans (NAPs):
  • While 171 countries have at least one adaptation policy, progress in implementation remains slow.
  • 10 countries have shown no interest in developing adaptation policies.

Challenges in Adaptation Financing

• Financial Burden: Adaptation projects such as seawalls and resilient infrastructure are costly for developing nations.
• Funding Shortfalls:
  • Developed nations have failed to meet financial commitments like the $100 billion goal set for 2020.
  • The adaptation finance gap remains significant in non-private sector-funded areas, such as ecosystem preservation.
• High-Interest Loans: Much current funding relies on high-interest loans, increasing the debt burden for recipient countries.

Recommendations

• Adopt New Financing Goals: Establish an ambitious New Collective Quantified Goal for climate finance at COP29.
• Strategic Adaptation Financing:
  • Shift from project-based to anticipatory and transformational financing.
  • Invest in harder-to-finance areas like ecosystem preservation and cultural heritage.
• Alternative Financing Models: Encourage risk finance, resilience bonds, debt-for-adaptation swaps, and payments for ecosystem services.

Global and Indian Initiatives

Global Initiatives:

• Paris Agreement: Sets a global adaptation goal to enhance resilience.
• UAE Framework for Global Climate Resilience: Introduced at COP28, focusing on agriculture, water, and health adaptation targets.
• Adaptation Fund: Provides project funding for developing nations under the Kyoto Protocol.

Indian Initiatives:

• National Action Plan on Climate Change (NAPCC): Includes eight missions, such as the National Adaptation Fund for Climate Change (NAFCC).
• Sectoral Schemes:
  • MISHTI: Mangrove initiative for shoreline protection.
  • Amrit Dharohar: Enhances wetland ecosystems.
• India's adaptation spending accounted for 5.6% of GDP in 2021–2022.