Bonn Bulletin: Adaptation Fund stalemate puts people at risk, says head

Share: X (Twitter) Facebook LinkedIn WhatsApp Email Print Dark clouds are gathering over adaptation finance. The US has all but stopped providing it and European countries are slashing their aid budgets to spend more on their militaries. Much of what is flowing comes in the form of loans and doesn’t reach the most vulnerable, as we’ve reported. Over the years, one bright spark has been the Adaptation Fund and its grants to developing countries for pioneering work in communities. It has allocated $1.6 billion to 226 projects, benefiting 90 million people, its website says. And, while rich nations are failing to give the fund all the money it needs to finance its growing pipeline, new revenues are supposed to come in from the Paris Agreement’s new carbon market, known as Article 6.4. Back at COP26 in Glasgow, governments agreed that the Adaptation Fund should get 5% of the proceeds from all Article 6.4 carbon credits - other than those based in small islands and least developed countries. How much money that will amount to is uncertain. It depends on how many projects there are and the price of their credits.  The fund got over $200 million from a similar share of proceeds under the Kyoto Protocol’s Clean Development Mechanism (CDM), although the price of those credits collapsed.  Already have an account? Log in here → This article is for subscribers Our reporters are in the negotiating rooms at the Bonn climate talks. This is the coverage that other outlets often skip — get unlimited access from £40/quarter. keep reading → Or £130/year — best value. ×Log in to your account Forgot your password? Dark clouds are gathering over adaptation finance. The US has all but stopped providing it and European countries are slashing their aid budgets to spend more on their militaries. Much of what is flowing comes in the form of loans and doesn’t reach the most vulnerable, as we’ve reported. Over the years, one bright spark has been the Adaptation Fund and its grants to developing countries for pioneering work in communities. It has allocated $1.6 billion to 226 projects, benefiting 90 million people, its website says. And, while rich nations are failing to give the fund all the money it needs to finance its growing pipeline, new revenues are supposed to come in from the Paris Agreement’s new carbon market, known as Article 6.4. Back at COP26 in Glasgow, governments agreed that the Adaptation Fund should get 5% of the proceeds from all Article 6.4 carbon credits - other than those based in small islands and least developed countries.