Loss and damage funding has been finally included on official agenda of the United Nations Climate Change Conference (COP27) that kicked off in Egypt on Sunday.
Whether rich countries should compensate poorer nations most vulnerable to the climate crisis has long been a matter of demand from developing nations and inclusion of the topic as an official agenda comes as a relief for many, including Bangladesh.
Loss and damage mainly refer to the impacts of climate change that cannot be avoided through mitigation or adaptation. It signifies the consequences of climate change that go beyond what people can adapt to.
In addition to economic losses and damages to households, communities, infrastructure and industries like agriculture, forestry, fisheries and tourism, loss and damage also encompasses “noneconomic” losses to lives, cultures and territories.
Funding arrangements for Loss and Damage has been established as a sub-agenda item under “matters related to finance” in the provisional agenda released on Sunday.
"Matters relating to funding arrangements responding to loss and damage associated with the adverse effects of climate change, including a focus on addressing loss and damage,” reads section 8f of the provisional agenda.
Bangladesh has earlier called on governments to establish a loss-and-damage fund for developing countries and implement climate financing pledges during the 2022 UN Climate Change Conference (COP27) in Egypt.
Proud to stand shoulder to shoulder with my young, but by now veteran, negotiator on @LossandDamage for @LDCChairUNFCCC . Excellent result in @COP27P to get finance for Loss and Damage in the agenda!! Well done! pic.twitter.com/Lht0sQme4V
— Saleemul Huq (@SaleemulHuq2) November 6, 2022
Earlier, during the 26th UN Climate Change Conference (COP26) in Glasgow last year, developing countries put forward a proposal to create a Finance Facility for Loss and Damage (FFLD) which was not accepted by developed countries.
Instead, the developed nations replaced it by setting up the Glasgow Dialogue on Finance to explore for next three years on ways to fund loss and damage.
“Excellent result in COP27 to get finance for Loss and Damage in the agenda. Well Done!” Saleemul Huq, director of the International Centre for Climate Change and Development (ICCCAD), said in a tweet.
Renowned climate journalist at Channel4News writes: “A historic moment: #lossanddamage has made it onto a climate summit agenda for the 1st time. Historic as until now COPs have mostly been about lessening future climate change + on adapting to change already locked in. Now countries are talking about damage already done.”