Climate-induced loss and damage (L&D) refers to the impacts of climate change that go beyond
the capacity of communities and countries to adapt, causing harm to people, livelihoods,
economies, and ecosystems. This includes impacts such as sea-level rise, severe weather events,
droughts, and heatwaves, which can result in physical damage to infrastructure and buildings, loss
of crops and food security, displacement of communities, and declines in human health and wellbeing.
L&D is a growing concern, particularly for countries and communities that are already
vulnerable and lack the resources to cope with and adapt to these impacts.
In the Sixth Assessment Report (AR6) of the Intergovernmental Panel on Climate Change (IPCC),
the concept of “L&D” continues to be an important topic. AR6 assesses the latest scientific
knowledge on the impacts of climate change and the options for adaptation and mitigation. The
report highlights the growing need to address the impacts of climate change that cannot be
prevented through adaptation measures alone. AR6 also highlights the increasing concern over
the impacts of climate change on the most vulnerable populations and emphasizes the need for
international cooperation to address the challenges posed by L&D, including through the
development and implementation of effective policies and measures to prevent and reduce these
impacts.
At the 27th Conference of the Parties (COP 27) to the United Nations Framework Convention
on Climate Change (UNFCCC), a decision was made to establish a L&D finance facility. The
purpose of this facility is to provide financial support to countries and communities that are
already experiencing the impacts of climate change and cannot fully adapt, resulting in harm to
people, livelihoods, economies, and ecosystems. The facility aims to provide resources to help
these countries and communities cope with and recover from the impacts of climate change, such
as sea-level rise, severe weather events, droughts, and heatwaves. The decision to establish a
L&D finance facility is part of the international community’s efforts to address the challenges
posed by climate change, particularly for the most vulnerable populations, and to ensure that they
are able to access the resources they need to prevent and reduce the impacts of climate change.
The details of the facility, including its governance, funding sources, and operations, are still being
worked out.
Leading up to COP 27, many L&D activists argued that this is an issue that must be separated
from mitigation, adaptation and humanitarian responses and should be addressed through a
dedicated L&D financing facility. On the other hand, most developed country governments argue
that L&D can be addressed through financial and operational mechanisms that already exist to
deliver mitigation, adaptation and disaster response. Such differences in perspective continue to
stall progress in mobilising the finance and technical support that the most at-risk countries and
communities require to deal with the L&D risks they face today. Action must be taken now to
address L&D, but while the Glasgow Dialogue and debates on the Santiago Network on Loss and
Damage (SNLD) will keep the issue of L&D alive at the COP, such processes will likely take time
to deliver meaningful results that can help the most at-risk communities in Least Developed
Countries (LDCs).
Considering the overall circumstances, capacity building on the rapidly evolving L&D discussion
is needed both for the L&D practitioners and academician. To address these growing concerns,
an online short course on L&D was conducted to provide an overview of the key concepts,
mechanisms, and policies related to this field.
Contributors: S M Saify Iqbal | Madiha Chowdhury | Afra Sayra Rahman
Published by:International Centre for Climate Change and Development (ICCCAD).
Date of Publication:01 July, 2023
