Redirecting local funding lines to climate change adaptation in a European outermost region

Key Learnings

• A tailored Local Adaptation Fund that awards projects following pre-agreed rules is a catalyst for local investment and stimulates innovation on climate change adaptation at local level.
• The redirection and pooling of financial resources from existing available budget lines into a common decision-making process is an example of efficient and smart financing. Yet, the transition phase requires careful coordination, particularly in aligning procurement, contracting, and payment procedures across institutions. Engaging private investors remains a challenge, as the return on investment in adaptation solutions is often intangible, but some are willing to contribute out of a sense of responsibility and long-term vision.
• Co-design and cooperation between potential funders and decision-makers from the beginning is essential in order to create a trustworthy institutional arrangement.

Summary

The Local Adaptation Fund in Guadeloupe is the most advanced, adaptation-focused financial mechanism in the French territory. It gathers local public and private investors to finance innovative adaptation projects in the agriculture sector. This fund enabled the financing of six adaptation projects totalling 1,240,000 Euros. It responds to limited local financing options for adaptation projects, with most funds focusing on mitigation and post-disaster compensation actions. Implementing political and financial adaptation tools is crucial to tackling the impact of climate change impact in Guadeloupe.

Contact

Name: Pauline Guérécheau-Desvignes and Marianna Martel

Organisation: French Agency for Ecological Transition (ADEME) of Guadeloupe

Email: pauline [dot] guerecheau-desvignesademe [dot] fr (pauline[dot]guerecheau-desvignes[at]ademe[dot]fr); marianna [dot] martelademe [dot] fr (marianna[dot]martel[at]ademe[dot]fr)