VIENTIANE (Vientiane Times/ANN): The Asian Development Bank (ADB) committed a record amount of climate finance in 2023 to help its developing member countries in Asia and the Pacific cut greenhouse gas emissions and adapt to the impacts of a warming planet.
According to the ADB, the bank committed US$9.8 billion in climate finance from its own resources last year - US$5.5 billion for mitigation and US$4.3 billion for adaptation - a more than 46 percent increase on its 2022 climate financing commitments.
The bank’s climate adaptation finance commitments in 2023 mean that ADB has provided more than US$10.4 billion in cumulative adaptation financing from 2019 to 2023 - surpassing its target of US$9 billion in 2019–2024 a year early.
Adaptation financing is critical in Asia and the Pacific which is experiencing more extreme heat, droughts and heavy rains, but where investments in adaptation remain a fraction of what is required.
“Climate change threatens the future of all development. 2023 was the hottest year on record and saw a swathe of extreme, deadly climate impacts in our region,” said ADB President Masatsugu Asakawa.
“This crisis threatens energy and food security and creates fiscal challenges. As the climate bank for Asia and the Pacific, ADB is deeply committed to helping our developing members de-fossilise their economies, progress along their climate transition pathways, and achieve their net-zero goals. We must act together, with urgency and at scale.”
Asia and the Pacific originates more than half of global carbon dioxide emissions while also being acutely vulnerable to the impacts of climate change. The region needs to invest an estimated US$3.1 trillion per year in energy and transport assets alone to meet net zero by 2050 - around 50 percent more than current levels.
Laos is committed to further promoting renewable energy and investments in low-carbon sectors to achieve carbon neutrality by 2050.
As Asia and the Pacific’s climate bank, ADB aims to provide US$100 billion in climate financing from its own resources from 2019 to 2030. In 2022, ADB committed US$6.7 billion of climate finance from its own resources, including US$4 billion for mitigation and US$2.7 billion for adaptation.
Strong foreign private investment inflows are expected to support the development and supply of low-carbon electricity and grid connectivity in Laos for export markets, according to the latest report from the Asian Development Bank.
The Lao government plans to increase the share of solar power in its energy mix to almost 25 per cent by 2025, from under 1 per cent at present. - Vientiane Times/ANN
