Unpacking Loss and Damage: A Call for Climate Justice

“Loss and Damage” is a term used in UN climate talks to describe the tangible and intangible effects of climate change that are too severe for communities to adapt to or when they lack the resources to cope. This can involve losing important coastal sites in small island countries like Maldives due to rising seas or experiencing the devastation of homes and lives during extreme floods in mountainous countries like Nepal.

What is Loss and Damage?

The “loss” part of this concept refers to things that are permanently affected by the climate crisis, like human and animal lives, species, territories, water sources, livelihoods, heritage sites, and languages. On the other hand, the “damage” aspect refers to things that have been harmed by climate change but have the potential to be restored, such as impacts on physical and mental health, soil, roads, schools, homes, health centers, and businesses.

To date, there is no official definition of loss and damage under the UN.

Types of Loss and Damage:

Economic Loss and Damage:

Economic loss and damage entail quantifiable negative impacts, including infrastructure damage, reduced crop yields, and productivity losses. The economic cost associated with destruction, loss of livelihood assets, and damage to essential infrastructure can be calculated and assigned a monetary value.

Non-economic Loss and Damage:

Non-economic loss and damage encompass impacts that resist easy quantification in monetary terms, such as the loss of culture, displacement, and irreversible changes to a way of life. Examples include the loss of coastal heritage sites, homes, and lives during extreme events like floods and the broader impacts on health, biodiversity, and ecosystems.

Loss and Damage in Climate Change Negotiations:

1991: The concept of loss and damage was first introduced in 1991 when Vanuatu proposed an insurance scheme for countries vulnerable to rising sea levels.

2007: Loss and damage appeared in UN texts during the 2007 international climate negotiations in Bali.

2013: Momentum grew in 2013 with the establishment of the Warsaw International Mechanism (WIM) for Loss and Damage associated with climate change impacts.

2019: COP25 saw the establishment of the ‘Santiago Network’ to connect developing countries with technical assistance providers.

2022: At COP27, an agreement was reached on the operationalization of the ‘Santiago Network’ and the establishment of the ‘Loss and Damage Fund.’

2023: COP28 achieved a historic breakthrough by formally establishing a Loss and Damage Fund, which will provide financing for vulnerable countries hit hard by climate disasters.

What does Loss and Damage mean to countries like Nepal?

Between 2000 and 2019, the world witnessed a staggering $2.8 trillion in loss and damage from climate change, equating to an alarming $16 million per hour 1. This financial burden is a poignant reminder of the relentless impact of climate change on our global community.

Loss and damage disproportionately affect vulnerable communities, emphasizing the urgency of addressing climate justice. The most vulnerable, including small island states, face existential threats due to the escalating frequency and intensity of weather-related hazards. The adverse impacts of these risks are expected to persist and intensify. Loss and damage is and will continue to harm vulnerable communities the most, making addressing the issue a matter of climate justice.

In Nepal, the frequency of climate-induced disasters, including floods, landslides, thunderstorms, fires, windstorms, avalanches, hailstorms, glacial lake outburst floods, and cold waves, has been witnessing an alarming upward trend. These disasters are inflicting significant loss and damage on both human lives and property. Between 2017 and 2018 alone, a distressing total of 968 individuals lost their lives due to these calamities, with the majority succumbing to floods, landslides, thunderstorms, and fires.

The economic toll of these disasters during the specified period is staggering, estimated at approximately Rs. 6.83 billion according to the Government of Nepal 2. The Ministry of Home Affairs reported a particularly devastating incident in Bara and Parsa, where gale-force winds, suspected to be the first-ever tornado in Nepal, wreaked havoc on March 31, 2019. This catastrophic event caused the tragic loss of 28 lives, left 1,155 individuals injured, and destroyed 1,452 houses, while another 1,373 houses suffered partial damage3.

With low capacity to adapt, Nepal faces devastating disasters every year and most of the disasters cannot be overcome by adaptation practices.

Who is Responsible?

Understanding the roots of today’s climate challenges is super important. The United States leads in CO2 emissions, mainly because it heavily relied on coal in its early days. China comes next, contributing 11.4% of global emissions. Russia is third (6.9%), followed by Brazil (4.5%) and Indonesia (4.1%). 4 The 2021 Carbon Brief study points out how these countries are responsible for the damage from climate change. It’s crucial for climate justice that we acknowledge and deal with the historical emissions of these big players. This is a key step in creating a fair and resilient future for everyone on our planet.

According to another study by Global Carbon Atlas, the top five CO2-producing nations in 2021 were China, the United States, India, Russia, and Japan.5 Countries experiencing severe loss and damage, such as the least developed and small island states, mountainous countries bear the least responsibility for global carbon emissions. Nepal, contributing only 0.02% of global emissions6, is sandwiched between the two largest emitters, India and China. The entire African continent, responsible for only 3.8% of global emissions, remains the most vulnerable to climate change impacts.

Way Forward

As we navigate the complex terrain of loss and damage, it becomes evident that the burden of recovery should not rest on the shoulders of impacted communities in the global South. The establishment of mechanisms like the Loss and Damage Fund represents a crucial step toward ensuring support for developing countries grappling with the aftermath of climate change. The global community must acknowledge its shared responsibility, recognizing that those least responsible often bear the heaviest burdens. Only through collaborative and concerted efforts can we hope to address the profound challenges posed by loss and damage in the face of an escalating climate crisis.

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