Minister Singh Advocates for Boosting Adaptation Finance to Address Climate Action Challenges

“Adaptation finance presents a significant challenge. With limited investment from the private sector, the annual funding shortfall amounts to hundreds of billions. The UNEP Adaptation Gap Report 2024 also underscores that funding is falling behind needs, impeding adaptation initiatives,” the minister remarked while leading the inaugural session of the conference titled ‘India 2047: Building a Climate Resilient Future.’ UNEP refers to the United Nations Environment Programme.

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UNEP’s Adaptation Gap Report 2024 urges nations to substantially amplify efforts to adapt to climate change, beginning with a commitment to take ambitious strides in adaptation finance.

Adaptation finance refers to the funds necessary for actions that can aid communities in mitigating the risks associated with climate hazards; the “adaptation finance gap” represents the disparity between the financial requirements for adapting to climate change in developing countries and the actual funding available to address these costs.

The minister emphasized that to catalyze climate action, enhanced international finance—public, grant-based, and concessional—is vital, in line with the UNFCCC (UN Framework Convention on Climate Change) principles of fairness and differentiated responsibilities.

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Singh further asserted that financial resources must be considerably increased to cater to the needs of vulnerable communities and guarantee effective adaptation measures. He highlighted the importance of innovative financing mechanisms, including blended finance, risk-sharing frameworks, and increased engagement from the private sector, to complement public finance in advancing adaptation efforts.

Moreover, the minister pointed out that adaptation investments should directly benefit those most affected by climate change, such as farmers, small businesses, and coastal communities. He explained that by enhancing financial instruments such as green bonds, climate-resilient infrastructure funds, and concessional financing, India aims to establish a sustainable and equitable climate finance ecosystem.

Stressing the urgent need for stronger adaptation measures across all sectors, Singh remarked, “India has consistently championed climate advocacy for the Global South, ensuring that international climate policies are just and inclusive. As we progress, it is essential to scale up adaptation efforts and guarantee that the most vulnerable communities have access to the resources and technologies they require to foster resilience.”

While India has made notable advancements in mitigation through ambitious renewable energy targets and commitments for emission intensity reduction, he stressed that adaptation and resilience remain crucial for protecting livelihoods, ecosystems, and infrastructure from the impacts of climate change.

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According to him, India’s emission intensity (carbon emissions per unit of GDP) decreased by 36% from 2005 to 2020, keeping the nation on course to meet its target of a 45% reduction by 2030.

Additionally, non-fossil fuel sources now constitute 47.1% of India’s total installed electricity generation capacity—making the 50% clean energy target by 2030 a feasible reality.