Economics of climate change adaptation in least developed countries

Project
Archived
2008 - 2009 (Phase 1 preparation) 2009 - 2011 (Phase 2)

This project aimed to build capacity in the least developed countries (LDCs) in the economic analysis of climate change to inform policymaking.

The IPCC has identified the least developed countries (LDCs) as those that will be most affected by climate change because of their current low adaptive capacity. The dependence of these countries on climate-sensitive sectors, such as agriculture, makes their economies – and the livelihoods of poor people – especially vulnerable to climate change impacts.

Adaptation will be a key response to unavoidable climate change in LDCs, but will only be successfully achieved at a significant cost. The costs and benefits of adaptation need to be built into the policy and planning processes of the LDCs, and supported in local community practices.

LDC policymakers and negotiators need homegrown data to make substantive arguments at global forums and to guide appropriate domestic policy making. But there is a lack of economic data specific to LDCs on climate change, and adaptation in particular.

This project aimed to carry out the first phase of a major programme of collaborative economic research and capacity-building, looking at the costs of climate change impacts and the costs and benefits of adaptation in 12 LDCs.

Robust analyses of the impacts of climate change impacts and the costs and benefits of climate change adaptation at local and national levels were planned to feed into local and national policymaking and negotiating positions.

What IIED did

To address the gaps in data on costs and benefits, the Climate Change research group and the Environmental Economics programme began a major programme of work with partners in the LDCs. This aimed to build capacity in conducting economic analysis of climate change and feed the resulting information into local and national policymaking and negotiating positions.

The project built on the well established Capacity Strengthening in Least Developed Countries for Adaptation to Climate Change (CLACC) network. We formed a network of LDC economists and supported them in undertaking robust economic analyses of climate change impacts and climate change adaptation at local and national levels. This work also incorporated analysis of non-market impacts of climate change and adaptation.

The first phase from 2008-09 saw the network formed and the project team support local economists in a review of available data and selection of appropriate methodologies. A detailed proposal was developed for funding for the second phase from 2009-11.

Additional resources

Climate change adaptation in developing countries: issues and perspectives for economic analysis, Muyeye Chambwera, Jesper Stage (2010), IIED Discussion Paper

Donors

The Innovation Fund - funding from frame donors for innovative work

Partners

All partners belong to the CLACC network.

Bangladesh Bangladesh Centre for Advanced Studies (BCAS) 
Nepal Local Initiatives for Biodiversity Research and Development (LI-BIRD)
Senegal Environmental Development Action in the Third World (ENDA)
Malawi Coordination Unit for the Rehabilitation of the Environment (CURE)
Zambia Energy and Environmental Concerns for Zambia (EECZ)
Sudan Sudanese Environment Conservation Society (SECS)
Uganda Development Network for Indigenous Voluntary Association (DENIVA)

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