Themes of adaptation and inclusive action combine as CDP reports that those most in need of adaptation activities are from marginalised groups

The private sector can play a powerful role in providing inclusive adaptation solutions which could multilaterally address both the E and S of ESG.
Published
April 5, 2023

Two of ZCA’s top trends for 2023 collide as inclusive action in the form of adaptation is addressed

There is an urgent need for adaptation actions that will safeguard those who are most at risk given that between 3.3 and 3.6 billion people are already extremely vulnerable to climate change according to the IPCC.[i] CDP, a non-profit that runs the global disclosure system for investors, companies, cities, states and regions to manage their environmental impacts reports that understanding the effects of climate change and developing resilience can lead to a variety of possibilities, from better investment planning and infrastructure to improved community well-being.[ii]


Local governments in the UK are showing their dedication to climate adaptation. 77% of the local authorities in the UK that provided information to CDP in 2022 have a climate adaptation strategy, and 97% of them are putting that plan into practise.[iii] As part of the work CDP is doing with local authorities in the UK, respondents reported the barriers and impact of climate change in their areas. The data revealed that of the top five barriers three relate to socioeconomic issues and that the impact disproportionately affects low-income households, the elderly, marginalised/minority communities, children and youth, vulnerable health groups.[iv]

Source: CDP

These findings combine two of ZCA’s top trends for 2023; an increased focus on adaptation and work towards ensuring that climate action is inclusive action.

Understanding increased vulnerability

Low income communities

Although there are many differences in how vulnerable impoverished communities are to climate change and its effects, in general, climate change exacerbates already pre-existing vulnerabilities. The poor will experience a worsening of their health due to climate change, and beyond the UK many nations in Africa, Asia, and Latin America will face serious threats to their ability to feed themselves. Migration may be the only option in some places where there are few viable livelihood options, where declining crop yields threaten famines, or where it is expected that coastal landmasses will disappear.[v] LSE’s Acting on Climate Poverty report from April 2022 highlighted the importance of internationalism in combatting themes of fairness and financial commitments with regard to adaptation and development. The landmark loss and damage agreement from COP27 could suggest that the direction of policy is beginning to take into account the issue of poverty within climate change.

The elderly

UK census results for 2021 showed that the population of England and Wales has been ageing and that there are now more elderly individuals than ever. Over 11 million people, or 18.6% of the overall population, were 65 years of age or older, up from 16.4% in the 2011 census.[vi] The effects of climate change are especially dangerous for older people. The elderly can find it harder to counteract the negative impacts of certain environmental hazards, like air pollution. The health conditions that older people are more likely to have make them more vulnerable to climate hazards like heat and air pollution, which can exacerbate their pre-existing illnesses. Because they frequently have limited mobility, older people are more at risk before, during, and after a severe weather event.[vii]

Improving adaptation in an inclusive way to improve outcomes

CDP’s report outlines the next steps that local authorities could take to work towards more inclusive climate adaptation activities.

  • Construct a shared knowledge of current resilience activities, needs, and opportunities among council departments and improve their comprehension of climate change.
  • Analyse the staffing, capacity, and planning needed for adaptation initiatives as well as how they can support the mainstreaming of climate objectives and the mobilisation of climate finance.
  • Engage the local community actively, giving vulnerable groups who are at higher risk from climate change priority.
  • Establish connections with the business sector to create a shared understanding of climate risks and to collaborate on projects and investments for adaptation.[viii]

Partnerships between local authorities and businesses could provide the framework needed to achieve each of these objectives. Since the private sector shapes and finances cities, cross-sector cooperation at the local level is essential to bringing about the kind of change we need to see in order to prevent environmental catastrophe. The City-Business Climate Alliance (CBCA) works in a non-commercial setting during the pre-procurement phase of city-business interaction. This enables businesses and cities to collaborate to jointly develop, discuss, and offer advice on strategies and policies, which they claim encourages innovation and raises ambition for accelerated climate action. It is a potent mechanism for getting the funding required to the areas that need it most because of the financial influence of the private sector and the public engagement programs of the governmental sector.[ix]

A multilateral success for ESG?

McKinsey reports that responses to climate change and the environmental aspect of ESG have played a significant role in the expansion of the ESG market. Other ESG components, particularly the social dimension, have also been rising to the fore. According to one study, the number of shareholder proposals having a social focus increased by 37% in the 2021 proxy season over the prior year.[x] The opportunity of combining both the environmental and social aspects of ESG in this way could provide a new approach that could greatly increase private businesses’ access to funding.

References

[i] IPCC- Sixth assessment report: Impacts, adaptation and vulnerability

[ii] CDP- Cities at risk: dealing with the pressures of climate change

[iii] CDP- Building local resilience: Climate adaptation in UK local authorities

[iv] Ibid

[v] LSE- Acting on climate and poverty: if we fail on one, we fail on the other

[vi] ONS- Voices of our ageing population: Living longer lives

[vii] USEPA- Climate Change and the Health of Older Adults

[viii] Ibid

[ix] CBCA- A step-by-step guide for developing successful collaborations

[x] McKinsey- Does ESG really matter- and why?

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Oscar Pusey
Research Analyst

Oscar is a recent graduate with a background in earth science. He is currently studying an MSc focussing on disaster responses, emergency planning and community resilience. His postgraduate research project will assess the link between climate crisis risk perception and attitudes to green energy projects. “Adapting to the climate crisis through the pursuit of net zero requires community engagement and understanding. Zero Carbon Academy’s goals closely align with this approach and I’m excited to have the opportunity to research and communicate a variety of topics relating to our environment and sustainability”.

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