🎟️ London Climate Action Week Private Event

Climate Adaptation: Technology Showcase & Reception

Monday, June 23
3:00 PM - 7:30 PM
London, UK (Location on approval)

Join Mazarine Climate and Climate Proof this London Climate Action Week for a unique event spotlighting the pioneering technologies that are adapting our world to a warmer, wilder future.

WRI Flags Adaptation ROI, But Path for Investors Uncertain

New research by the non-profit World Resources Institute (WRI) claims that US$1 invested in adaptation is likely to yield US$10.50 in economic benefits over a 10-year period.

The finding is based on an analysis of more than 300 actual adaptation investments across 12 countries made between 2014 and 2024. The researchers used a triple dividend of resilience (TDR) framework to arrive at their return on investment (ROI) figure, which takes into account avoided losses, induced economic benefits, and social and environmental benefits.

The WRI paper joins a rich literature of adaptation ROI studies. In 2024, the US Chamber of Commerce and insurer Allstate estimated that every dollar invested in adaptation would yield US$13 in benefits: US$6 due to reduced damage and cleanup costs from disasters and US$7 from reduced economic costs after an event. The year prior, analysis of corporate climate disclosures by BCG found the benefit-to-cost ratio of adaptation to be between US$2 to US$15 for every dollar spent. A 2019 World Bank Group study of infrastructure systems in low- and middle-income countries pegged the benefits of resilience upgrades at US$4 for every US$1 spent.

The WRI study differs from these by extrapolating the ROI from a database of actual adaptation investments approved by international finance institutions — like the World Bank — in the agriculture, health, water, and infrastructure sectors. The analyzed projects cost over US$133bn and are expected by the WRI to generate US$1.4trn in benefits. 

Range, Median, And Average Returns Of Adaptation Investments By Subsector

The authors say the case for broadening the “adaptation investment narrative” to include economic, social, and environmental spillover benefits is strengthened by their findings. About half the monetized benefits of the projects analyzed — like induced development, increased efficiency, and higher incomes – arise whether or not a climate disaster occurs.

The authors also say the high ROI should be used to tempt private finance into the adaptation space, adding that this may be better achieved by “downplaying adaptation investments as a separate asset class” and showing instead how investing in resilience can enhance the return profile of public and private assets. 

Asked by Climate Proof how an adaptation ROI derived from a study of public finance investments could incentivize private investment, Carter Brandon — one of the study’s authors — said: “I would not say there’s a direct link. I would say that it shows that the fact of reducing vulnerability is more than avoided losses. It also saves them long-term costs that they might want to look at when they think about their own investments.”

“This is not about cash flow. This is not about financial rate of returns. This is about economic benefits,” he added.

In Brief

Nearly half of institutional investors now view climate adaptation and resilience as an increasingly attractive investment theme over the next three to five years, according to Robeco’s 2025 Global Climate Investing Survey. This comes as money managers increasingly doubt the achievability of Paris Agreement targets and rising expectations for a disorderly transition. Interest in adaptation investing is highest in Europe and Asia-Pacific. However, across the board survey respondents said that uncertainty about the ability to achieve competitive risk-adjusted returns, a lack of suitable investment assets, and challenges identifying credible climate adaptation companies are barriers to increased investment in the theme. (Robeco)

Finance ministries worldwide recognize climate change as a key economic challenge, yet face challenges when it comes to integrating it into economic analyses, a survey by the Coalition of Finance Ministers for Climate Action reveals. Staffing constraints and data challenges impede efforts to incorporate climate risks into fiscal policy, with only 35% of ministries integrating these considerations into budget projections. (London School of Economics)

New analysis by sustainability non-profit Ceres shows that US insurers are expanding and improving their climate risk disclosures — but are still falling short when it comes to reporting relevant metrics and targets. The non-profit assessed 526 insurance groups’ filings, and found that while 99% report on risk management and 97% on strategy, only 29% disclose climate-related metrics and targets. (Ceres)

California Governor Gavin Newsom announced the launch of the CalAssist Mortgage Fund, a US$105mn initiative that will dispense up to US$20,000 in mortgage relief grants to homeowners affected by the Los Angeles fires and other disasters. Set to begin on June 12, the program aims to alleviate financial pressure on disaster survivors. The Governor also announced that an additional US$25mn in additional housing counseling support would be made available for impacted homeowners. (California Governor)

The Bank of England (BoE) has faced criticism from former staff for deprioritizing climate change under Governor Andrew Bailey, which could potentially elevate the financial sector’s vulnerability to climate shocks. While the BoE acknowledges climate risk as part of its remit, UK Chancellor Rachel Reeves has sent mixed signals to the bank’s Financial Policy Committee, saying she would prioritize growth over climate issues if pushed. The shift in the BoE’s focus could impact the UK's capability to handle climate-induced financial risks, for example by slowing progress on its technical risk-modelling capacity. (Green Central Banking)

CAF, the development bank of Latin America, has pledged US$2.5bn through 2030 to support the blue economy across Latin America and the Caribbean. The new strategy envisions financing for clean ocean energy, resilient ports, marine ecosystem restoration, responsible tourism, and coastal community development. CAF plans to deploy the financing through a range of innovative financial tools, including blue bonds and debt-for-nature swaps.(CAF)

The Global Environment Facility (GEF) has allocated US$261mn to advance international environmental goals, including building more resilient and healthier seascapes and biodiversity conservation. The funding is intended to attract over US$3bn in co-financing from private sector partners and others. GEF CEO Carlos Manuel Rodríguez highlighted the urgency of addressing environmental strains such as fires and floods to meet 2030 climate and environmental targets. (Global Environment Facility)

Africa faces a climate adaptation financing shortfall of up to US$100bn annually by 2030, according to Emomotimi Agama, Director-General of Nigeria's Securities and Exchange Commission. Speaking at the African Development Bank meetings, Agama urged private sector players to develop bankable, standards-aligned projects and cited Nigeria’s oversubscribed sovereign green bond as proof that local capital can be tapped when supported by robust regulatory frameworks. Agama also pointed to Nigeria's early adoption of the ISSB’s sustainability disclosure standards as a blueprint for advancing climate finance innovation across the continent. (Punch)

Bloomberg Philanthropies is investing US$6.8mn in Brazil’s ocean and coastal conservation efforts to support the “30×30” goals ahead of COP30. The “30×30” is an international pledge to conserve 30% of land and sea from destructive activities by 2030. Bloomberg funds will be spent on protecting mangroves and coral reefs, and enhancing transparency, monitoring, and enforcement of rules in marine environments. (Bloomberg Philanthropies)

At UN Ocean Summit, Governments Pressed to Enhance Sea-Level and Coastal Resiliency

Ahead of the third UN Ocean Conference — which kicked off today in Nice, France — scientists urged governments to boost coastal resilience efforts and strengthen ocean observing and modeling capabilities.

The list of ten recommendations from the International Scientific Committee of the One Ocean Science Congress (OOS) includes enabling “effective, equitable and environmentally safe ocean-based approaches” for meeting the Paris Agreement’s decarbonization and adaptation goals. Governments should invest in “local to global long-term ocean observing systems” and run “assessments of impacts and risks of slow-onset ocean changes, extreme climate events” and other risks in support of this goal. They should also develop “holistic approaches” to bolstering coastal resilience.

The recommendations also highlight the need for inclusive transdisciplinary research — connecting natural, engineering, digital, and social sciences — and major investments to close the financing gap for UN Sustainable Development Goal 14, which is focused on ocean and marine resources conservation.

The UN Ocean Conference, which runs through June 13, is supposed to chart a course towards fulfilling an international pledge on ocean conservation. Today, roughly 9% of the ocean is protected or conserved, with only 2.7% assessed and deemed “effectively protected”, according to the Marine Conservation Institute. Countries have pledged to conserve 30% of land and sea from destructive activities by 2030.

It is also hoped the gathering will ratify the High Seas Treaty, which creates a legal foundation for conserving marine ecosystems in international waters. Sixty countries have to ratify for the treaty to come into force. As of Monday, only 32 countries had done so.

The outputs from discussions at the Ocean Conference will be bundled into the Nice Ocean Action Plan, a list of voluntary commitments on ocean protection and resilience, that countries are expected to adopt by consensus and present to the UN in July.

In Brief

The Federal Emergency Management Agency received overwhelming public support in a recent consultation on its disaster response programs, with nearly 12,000 comments supporting the agency’s essential role as climate-driven disasters grow more frequent and severe, according to a summary compiled by Natural Resources Defense Council (NRDC). Many commenters urged stronger federal support for pre-disaster hazard mitigation and climate-smart rebuilding, warning that shifting responsibilities to under-resourced states would undermine national resilience. (NRDC)

US lawmakers have reintroduced the Tribal Emergency Response Resources (TERRA) Act, aiming to streamline federal disaster aid for Tribal Nations facing escalating climate threats such as sea-level rise, wildfires, and extreme weather. The bipartisan bill would consolidate multiple agency processes into a single program under the Department of the Interior, reducing administrative hurdles that have slowed access to important relocation and resilience funding. (Congresswoman Emily Randall)

New York Governor Kathy Hochul unveiled a raft of measures to combat extreme heat in New York and improve access to cooling resources. The initiatives include free air conditioning for eligible households and the launch of Round 8 of the Climate Smart Communities grant program, which makes US$22mn in grants available for climate adaptation and mitigation projects. In addition, the New York State Department of Health launched an interactive Heat Risk and Illness Dashboard to forecast heat-related health risks. (New York Governor)

The European Commission has unveiled its Water Resilience Strategy, aimed at safeguarding the continent’s water cycle and fostering a competitive water economy. This initiative includes over 30 actions to enhance water management efficiency, and includes a 10% water efficiency improvement target by 2030. This is to be driven by over €15bn (US$17bn) in investments via the European Investment Bank. (European Commission)

UK Floods Minister Emma Hardy proposed a streamlined funding process to accelerate flood defense projects. The new system would make it easier for cash-strapped local councils to bid for central government funding, potentially leading to a more equitable distribution of flood resilience financing across the country. The government plans to fully fund the first £3mn (US$4mn) of projects, and require 10% of costs above this amount to come from alternative sources, like private investors. The consultation on the proposal is open until July 29. (UK Government)

Ireland faces 115 distinct climate change risks, according to the Environmental Protection Agency’s inaugural National Climate Change Risk Assessment. Among the threats, the country has critical exposure to extreme winds threatening energy and communications infrastructure. The report calls for urgent resilience measures within five years to mitigate severe disruptions from wind, coastal erosion, and flooding, particularly around Dublin and coastal regions. (Ireland Environmental Protection Agency)

Wind Turbine Robot Start-up Aerones Raises US$62mn for Expansion

Latvian start-up Aerones has secured US$62mn in fresh funding to expand its fleet of AI-enabled wind turbine maintenance robots — which promise to cut costly turbine downtime as global wind power scales up. 

Dainis Kruze, the company’s CEO, told Reuters that the robots can maintain and service wind-turbine blades in half the time it takes humans to do so. Demand for the robots is likely to grow as global wind energy capacity surges and extreme weather events become more frequent and severe, increasing the risk of damage to turbines.

Already, around 5.4% of turbine blades are hit by lightning every year, with these strikes responsible for 60% of operational blade losses and 20% of operational wind losses, according to one study.

Aerones’ funding round was led by US investors Activate Capital and S2G Investments, with participation from Carbon Equity and Overlap Holdings, and existing investors Lightrock, Blume Equity, Metaplanet, Change Ventures, and Extantia. Aerones is also backed by a €4mn (US$4.6mn) grant from the EU Innovation Fund, and raised €30mn (US$34mn) in a 2023 funding round.

The company counts energy companies GE and Enel among its customers, and intends to use its new funding to grow its presence in the US. Last year, the company opened an office in Dallas, Texas, as part of this expansion.

In Brief

Google is expanding its partnership with agtech firm Arable to deploy precision irrigation technology across 20,000 acres in North and South Carolina. The rollout is intended to save over 500 million gallons of water annually while enhancing farmer profitability and resilience. Using Arable’s crop intelligence platform, farmers can optimize water use in real time, reducing groundwater depletion and greenhouse gas emissions. The project builds on prior successes in Nebraska. (Arable)

The apocalyptic rock-and-ice wave that flattened the village of Blatten in Switzerland last month underscores the need for enhanced glacier monitoring and early warning systems, World Meteorological Organization Secretary-General Celeste Saulo said at the recent Glacier Preservation Conference in Tajikistan. The Blatten disaster was triggered by the collapse of the Birch Glacier situated above the village, which unleashed 53 million cubic feet of ice and debris. At the Global Platform for Disaster Risk Reduction conference last week, Saulo further underlined the importance of these systems, saying: “Early Warnings for All must become more than a goal. It must be a global guarantee.” (WMO / Euronews)

RESEARCH

Drivers of the extreme North Atlantic marine heatwave during 2023 (Nature)

Warming accelerates global drought severity (Nature)

Vulnerability of power distribution networks to local temperature changes induced by global climate change (Nature Communications)

As extreme heat threats grow, can heat insurance offer protection? (Journal of City Climate Policy and Economy)

New homeowners insurance data reveals insights into market trends and suggests future research needs (Risk Management and Insurance Review)

Insights into industrial catastrophe risk climate peril modelling, and cross-sector opportunities for progress (Journal of Catastrophe Risk and Resilience)

Thanks for reading!

Louie Woodall
Editor