Finance Resources for health and climate change
Financial sources for climate change adaptation implementation
The Special Climate Change Fund (SCCF)
As a program under the GEF charged with financing some adaptation activities (along with other environmental projects), the SCCF seeks to reduce health vulnerability to current and future climate change. It has implemented health relevant adaptation actions in disaster risk management and prevention, water, and health (monitoring disease vectors). It is currently involved in health projects such as “Piloting Climate Change Adaptation to Protect Human Health”. As of May 31, 2010 the SCCF received pledges from 14 countries, USD eq. 148 million and the net cumulative funding decisions taken amounted to USD 109 million. By that date, the total amount of funds available in the SCCF was US $12 million.
The Least Developed Countries Fund (LDCF)
The LDCF is a voluntary trust fund established under the UNFCCC to address the special needs of the 48 Least Developed Countries that are especially vulnerable to the adverse effects of climate change. As of May 31, 2010, the fund had 22 donors and, which had pledged a total amount of USD eq. 221. By that date, the net funds available for approval was USD eq. 42 million. The LDCF targets to reach $500 million in the next four years, which is the amount estimated by the UNFCCC needed to finance NAPA implementation as well as to move towards a four-year replenishment process. Although there is no requirement that NAPAs include health adaptation interventions, the implementation of those which already include health can be supported. Most of the approved projects include a health component but there's no specific project addressing exclusively the health adverse effects of climate change.
Pilot Program for Climate Resilience (PPCR)
This fund is a component of the World Bank’s CIF funds, and one of the three target programs of the Strategic Climate Fund (SCF). As of September 30, 2010, a total of USD eq. 972 million has been pledged specifically for the PPCR from 8 donors. Funds are channeled through Multilateral Development Banks (MDBs).The PPCR Sub-Committee will not approve any new PPCR financing for activities after calendar year 2012. Adaptation strategies are to build on those established by completed NAPA reports, and to be strategically aligned with other adaptation activities and funds. In November 2010, they were endorsed the first Strategic Programs for Climate Resilience (SPCR) for three countries, Bangladesh, Niger and Tajikistan.
Under the PPCR two types of investment are supported:
- Funding for technical assistance to enable developing countries to build upon existing national work to integrate climate resilience into national and sectoral development plans.
- Funding public and private sector investments identified in national or sectoral development plans or strategies addressing climate resilience. Most of the pilot countries include health as one of the primary goals and objectives of the PPCR in the country.
The Adaptation Fund (AF)
The Adaptation Fund has been established by the Parties to the Kyoto Protocol of the UN Framework Convention on Climate Change (UNFCCC) to finance concrete adaptation projects and programmes in developing countries that are Parties to the Kyoto Protocol.
The Fund is financed with 2% of the Certified Emission Reduction (CERs) issued for projects of the Clean Development Mechanism (CDM) and other sources of funding. It aims to meet the full cost of adaptation attributable to climate change through support of “concrete” adaption projects in developing countries. The total amount of funds to be made available for eligible developing country Parties will depend on the market-based monetization of Certified Emission Reductions (CERs) which are the AF's main source of revenue. As at 31 October 2010 the funds available in the AF were 192.51 USD eq. millions. The total available resources is expected to be between USD 250-350 million by 2012. Funding from other sources such as donations may also supplement the proceeds of the monetization of CERs. The AF defines certain health projects as explicitly meeting “adaptation” criteria: health outcomes with sufficient informational links to climate change, monitoring of disease vectors and early warning systems, prevention/planning/preparedness/management of extreme weather events, and establishing regional centres for response to these events. Funding request to the AF are conducted directly (usually through ministries of finance) or through a qualifying implementing or executing entity. By January 2011 the AF has only approved 3 projects and has endorsed 5 project concepts for submission of fully developed projects. Regarding the implementing entities, by January 2011 there is only one accredited national implementing entity (NIE) and seven multilateral implementing entities (MIEs). WHO is in the process to become accredited as a MIE.
The European Union (EU)
In its support for Adaptation, the EU has directly financed vulnerability assessments and completion of NAPAs along with guidelines for integration and avoidance of maladaptation. The Advancing Capacity to Support Climate Change Adaptation (ACCCA) will build effective partnerships to create and decide on a diverse set of adaptation schemes, and the Climate Change Capacity Development (C3D) project engages partnered institutions to train and build capacity.
The EU budget funds for climate change includes health in a wide range of activities in the Member States, including environmental policy, health and research. In 2010 the EU has mobilised fast start funding of € 2.2 billion to support developing countries’ efforts to adapt to and mitigate climate change, 33.4% of this (€735 million) for adaptation. This is part of the EU’s overall commitment to provide € 7.2 billion for the period 2010-2012.
EU fast start funding for adaptation is focused particularly on the least developed countries, small island developing states and African countries that will be most seriously affected by climate change. Fast start projects funded by the EU take into account the priorities identified by developing countries in their National Adaptation Plans of Action (NAPAs), National Communications and other relevant planning documents.
For advice on accessing funds, contact the WHO climate change focal point in your region.