This Policy Brief takes the findings of the latest IPCC report as a starting point to discuss the implications for the EU’s role in the global governance of climate change with a particular focus on Loss and Damage policy and financing and the importance of the Glasgow Dialogue.
- The EU postulates global climate action leadership in the European Green Deal. The Glasgow Dialogue series is an opportunity to demonstrate this leadership by supporting the design of enhanced integrated approaches to climate risk governance and finance that better address Loss and Damage. Making progress on the EU’s climate commitments is paramount to sustaining the EU’s credibility in climate action and to building trust with vulnerable countries (Least Developed Countries, Small Island Developing States, G77) in multilateral climate governance.
- The IPCC WG II assessment on adaptation limits and residual risks urges reconsidering the EU’s climate change policy agenda and approach towards Loss and Damage. Revisiting efforts on climate change (European Green Deal, EU Adaptation Strategy) and specifically prioritising cooperation with vulnerable developing country partners to include Loss and Damage could help advance a more balanced approach to mitigation and adaptation in multilateral climate governance.
- To foster Loss and Damage financing, it will be important for the EU to explore how proposals (e.g. InsuResilience Global Partnership for Climate and Disaster Risk Finance and Insurance (CDRFI, designing a global protection shield)) could expand beyond insurance and disaster risk management solutions, to better address residuals risks (occurred and projected), non-economic losses and slow onset impacts. Further, adequacy and accessibility of funding should be key features of such proposals within the UN framework to reinforce Loss and Damage in the Paris Agreement and to improve its integration in climate finance goals.
- With the support of the EU’s leadership in comprehensive climate action, putting adaptation and Loss and Damage on top of the agenda in Sharm El-Sheikh, Egypt, in November 2022 can reinforce collective ambition forward on policy and financing.