Kathmandu, December 14, 2024 – Marking the 76th International Human Rights Day, a national dialogue program titled "Strengthening Stakeholder Roles in Accessing Loss and Damage Fund" was organized at the Nepal Tourism Board, Kathmandu. Hosted by DPNet Nepal in collaboration with SOSEC Nepal and supported by multiple national and international organizations including DCA, DiMaNN, the event aimed to integrate social, economic, and environmental considerations into safeguarding the rights of marginalized communities impacted by climate change.
Dr. Raju Thapa, Chairperson of DPNet Nepal, chaired the program. The event opened with welcome remarks from Ms. Shakti Gurung, Vice Chairperson of DPNet Nepal, who called for united efforts to mitigate the adverse effects of climate-induced challenges. Following this, Surya Bahadur Thapa, Immediate Past President of DPNet Nepal and Chairperson of DiMaNN outlined the program’s objectives. He urged stakeholders to focus on ensuring equitable access to climate funds and fostering resilience, particularly for communities at the frontline of climate change impacts.
Presentation by Kriti Shrestha, DCA
Kriti Shrestha, representing DCA, delivered an insightful presentation on the findings from research conducted in Gulariya and Dullu, focusing on the severe impacts of floods and droughts on marginalized communities. She highlighted how these recurring climate-induced disasters have severely disrupted livelihoods, particularly for communities dependent on agriculture. She pointed out that the lack of adaptive infrastructure and limited access to resources further exacerbate their vulnerability, leaving them trapped in cycles of poverty and disaster-induced displacement.
She emphasized that these challenges are deeply rooted in socio-economic inequities, which hinder the capacity of affected communities to recover and adapt. The research findings highlighted the need for targeted interventions, such as strengthening early warning systems, promoting sustainable agricultural practices, and developing disaster-resilient infrastructure. She also stressed the importance of ensuring that marginalized groups have a voice in decision-making processes related to climate adaptation and disaster response, as their lived experiences are crucial for crafting effective solutions.
In her concluding remarks, Kriti supported for a more inclusive approach to accessing the Loss and Damage Fund, ensuring it reaches the communities most affected by climate change. She called for greater collaboration among stakeholders, emphasizing the integration of indigenous knowledge and locally-driven strategies to enhance resilience. Kriti highlighted the potential of these measures to not only mitigate immediate risks but also to empower communities to achieve long-term sustainability and equity in the face of climate challenges.
Nawaraj Sapkota presented an in-depth analysis of Nepal’s climate finance landscape, emphasizing the country’s reliance on external funding to tackle climate-induced challenges. He shared critical data revealing that Nepal has received a total of $5.71 billion in climate finance from 2008 to 2021. This includes $3.28 billion from multilateral sources, $1.72 billion from bilateral agreements, $406.6 million through UNFCCC mechanisms, and $291.8 million from other sources. Sapkota highlighted that 90% of the funding received by Nepal is in the form of loans, while only 10% comes as grants, creating a significant debt burden for the nation.
Sapkota outlined Nepal's ambitious financial target of $46 billion by 2030 to address both mitigation and adaptation goals. Of this, a significant portion is required for implementing large-scale projects like renewable energy-powered transport systems to achieve net-zero emissions. He noted that despite Nepal's efforts, the pledged $100 billion annual climate finance by developed countries at COP15 in 2009 remains unmet. However, at COP29, wealthy nations agreed to increase this commitment to $300 billion annually, tripling their support to developing countries like Nepal by 2035.
Regarding specific initiatives, Sapkota pointed out that Nepal is utilizing climate funds to enhance community resilience through water management and sustainable agriculture projects, especially in flood-prone and drought-affected regions. He emphasized the urgent need for Nepal to access more adaptation funds as the frequency of extreme weather events, such as floods and landslides, continues to rise. He called for greater collaboration among government entities, private sectors, and international donors to scale up funding mechanisms, ensuring that the financial resources are not only accessible but also sustainable in the long term.
Dr. Ngamindra Dahal's presentation on "Climate Change-Induced Loss and Damage: Issues and Proposal" highlighted the increasing frequency and severity of climate-related disasters, such as floods and landslides, and their disproportionate impacts on vulnerable populations. He emphasized that the limits of adaptation are often breached due to financial, governance, and institutional constraints, resulting in both economic and non-economic losses. The presentation detailed global developments in loss and damage mechanisms, such as the Warsaw International Mechanism and the COP28 operationalization of the Loss and Damage Fund, while stressing the urgent need for Nepal to align its policies and strengthen frameworks to access these funds effectively.
Dr. Dahal proposed developing a standardized loss and damage (L&D) assessment framework tailored to Nepal's context, addressing challenges such as data gaps, methodological inconsistencies, and limited leadership in international advocacy. He called for leveraging improved databases, such as those of NDRRMA, to quantify both economic and non-economic losses. This, he argued, could enhance Nepal’s ability to lobby for its fair share of climate finance. By integrating risk assessments, early warning systems, and resilience-building strategies, the proposed framework would bridge the gap between disaster risk management and climate finance under the UNFCCC architecture.
Participants highlighted several critical issues related to Nepal’s preparedness for addressing climate change impacts and accessing international climate finance. A central concern was the lack of scientific research and evidence to substantiate claims about the relationship between disasters and climate change. For instance, while there is a perceived connection between the Chure hills and the Terai region, no comprehensive studies have validated this relationship. This gap undermines Nepal’s ability to build strong arguments for international support or design effective mitigation strategies.
Nepal’s vulnerability to the adverse effects of climate change, caused predominantly by the actions of other countries, was another major point of discussion. Participants noted that activities such as groundwater extraction in India negatively impact Nepal’s water resources, despite Nepal’s own focus on groundwater recharge. This highlights the need for regional cooperation and international accountability to address cross-border environmental impacts.
The procedural complexity of accessing global climate funds was a recurring theme. Participants emphasized that securing such funds often feels unattainable due to the bureaucratic hurdles involved. Nepal's reliance on loans, rather than grants, was also criticized. Participants argued that Nepal has the right to climate finance as compensation for damages caused by global emissions, rather than being burdened with debt to address these challenges. They called for a shift toward prioritizing grants over loans to ensure equitable access to funding.
The lack of capacity to meet global transparency and reporting frameworks was also highlighted. Participants observed that these frameworks often require structural provisions at the local level, which Nepal struggles to implement due to resource and capability limitations. This makes it difficult for the country to comply with international reporting mechanisms or access certain funds tied to such requirements. Additionally, the inability to quantify non-economic losses, such as stress, anxiety, and social conflicts caused by climate change, was seen as a major challenge. These intangible impacts are often overlooked in policy discussions and funding priorities, despite their profound effect on communities. We should have prioritized our indigenous knowledge and practice to mitigate climate change impact. Our ancestor had various solution of disaster events but we gradually abandon such which we need to revive. Lastly, participants criticized Nepal’s limited engagement in international climate platforms. Attending events like COP for a few days was deemed insufficient to secure meaningful access to global climate funds or influence key decisions. A more strategic and sustained effort is necessary to represent Nepal’s interests effectively and ensure that climate finance mechanisms address the country’s unique vulnerabilities and needs.
Dr. Bhisma Bhusal emphasized the urgent need for Nepal to address gaps in its approach to climate change vulnerability and disaster management. He pointed out that while there is increasing discussion about climate change impacts, Nepal has yet to shift from the Gender Equality and Social Inclusion (GESI) framework to the more inclusive Gender Equality, Disability, and Social Inclusion (GEDSI) approach. This paradigm shift is essential because climate change affects different groups in unique ways, often leading to what he termed a "triple disadvantage"—poor living conditions, disproportionate disaster impacts, and systemic discrimination in relief distribution.
Dr. Bhusal also highlighted challenges in managing funds for disaster and climate resilience. He mentioned that Nepal has declared 71 municipalities as emergency zones and accessed funding through the CAT DDO (Catastrophe Deferred Drawdown Option). However, he expressed concern that such funds, once transferred to the national treasury, often fail to reach the intended municipalities, raising questions about transparency and fund utilization. Additionally, he noted that most grants received are project-based, with a significant portion spent on consultancy fees rather than on-ground interventions.
A key focus of his remarks was Nepal's difficulty in segregating disaster-related losses from climate change-induced losses and damages. Unlike some countries that can attribute specific losses to measurable climate change impacts, such as the rise in sea temperatures forcing fish to migrate in Palau, Nepal struggles to establish such direct correlations. For example, road damage caused by rising river levels is often attributed to poor planning, such as building roads alongside rivers, rather than to climate change. This lack of structural preparedness and scientific evidence limits Nepal's ability to effectively claim climate loss and damage funds from international mechanisms.
Dr. Bhusal concluded by emphasizing the need for Nepal to develop robust frameworks and research capacity to substantiate claims for climate finance. This includes segregating disaster impacts from climate-induced losses, ensuring funds reach the most vulnerable populations, and addressing systemic issues like discrimination in relief distribution. He called for greater accountability, capacity-building, and structural reforms to strengthen Nepal’s position in accessing international climate funds.
Nawaraj Pudasaini stressed the importance of research-based evidence in addressing climate change impacts, emphasizing that climate change affects multiple sectors, including mental health, workload distribution, and societal stress. However, he cautioned against attributing every issue to climate change without robust research, as doing so could undermine credibility and efforts to secure international climate finance. He called for academic institutions to be mobilized for groundbreaking research that provides concrete, science-based, and statistical evidence to support claims. Research, he noted, should be outcome-oriented rather than conducted for its own sake.
He shared that climate finance is a right for countries like Nepal that are disproportionately affected by global emissions. However, accessing these funds is extremely complicated due to the procedural and data-driven requirements of international funding mechanisms. He explained that designing a project often takes three years due to the complexity of proposal formats and the need for extensive data collection. The back-and-forth approval process can take an additional two years, by which time funding priorities may shift, making the process even more challenging.
Pudasaini also pointed out the difficulty of segregating climate change impacts in project budgets. For instance, many projects include components related to climate change impacts, but not all are entirely focused on climate change, making it difficult to quantify the actual spending on climate-related activities. He noted that all projects now require climate impact assessments, but overburdening existing local-level staff with additional responsibilities, such as creating focal points for numerous issues, is not a viable solution.
He emphasized the need for diplomatic and strategic representation of climate issues on international platforms like COP, where governments must adopt a measured approach. Civil society organizations (CSOs), such as Dalit and women's NGOs, can play a complementary role by raising issues more assertively. Finally, Pudasaini called for greater mobilization of the private sector in climate finance, proposing win-win solutions to integrate private resources into climate resilience efforts. He concluded that securing grants requires coordinated efforts across sectors, grounded in research and evidence, while ensuring efficiency in fund utilization.
Anupam Poudel from the Ministry of Home Affairs emphasized the vital role of civil society organizations (CSOs) in addressing disaster and climate change challenges. He highlighted that the government alone cannot oversee all aspects, making CSO involvement crucial. CSOs can contribute by conducting research, generating data, and providing evidence to support informed decision-making. Poudel also announced that MoHA is in the process of revising the national relief standards to better address the needs of marginalized communities, with a focus on integrating considerations for both disaster and climate change impacts, ensuring more inclusive and effective responses in the future.
Dr. Raju Thapa, Program Chair and Chairperson of DPNet Nepal, concluded the event by highlighting DPNet's ongoing efforts to mainstream disaster and climate change considerations across all sectors. He stressed the importance of prioritizing access to climate finance from a human rights perspective, asserting that Nepal, despite its negligible contribution to global carbon emissions, is disproportionately affected by the severe consequences of climate change. He emphasized that this is a human rights issue, not merely a matter of loans and grants that Nepal should beg for.Dr. Thapa acknowledged the international community's reluctance to fully recognize Nepal's climate challenges due to the lack of credible research in this area. Drawing a metaphor from the "boiling frog syndrome"—where a frog placed in gradually heated water fails to recognize the danger until it's too late—he warned that Nepal risks a similar fate if it does not act decisively. He urged participants to focus on conducting robust research, exploring grant opportunities, and promoting indigenous knowledge and practices. He highlighted the wisdom and ingenuity of Nepal’s ancestors, who developed innovative and cost-effective solutions to mitigate environmental challenges using locally available resources. He encouraged the participants to reconnect with communities, tap into their indigenous knowledge, and avoid spending excessive funds on external experts. "Our grandparents were engineers, innovators, and experts in their own right—let’s honor their legacy by building on their wisdom," he said.
Dr. Thapa expressed his gratitude to all participants for their active engagement and officially closed the program, inspiring everyone to continue their collective efforts to tackle climate change