The board of the fund has agreed on a name and a host country at a meeting in South Korea, but trickier issues remain
As Caribbean nations tallied the destruction caused by the passage of Hurricane Beryl, the board of the fund set up to compensate for such devastating loss and damage held its second meeting this week.
“The level of damage is apocalyptic,” said Henrietta Elizabeth Thompson from Barbados, among the countries worst hit by the natural disaster, at the start of the four-day session in Incheon, South Korea.
The board needs to create a fund that “reflects the scale of the magnitude, of the risk, the damage and devastation faced by people across the world and the urgency required to respond to it,” she added.
But before the fund starts handing out any money in future, board members have to agree on procedural matters.
A name and a place
On the opening day, the Philippines was picked as the host of the fund’s board in a secret vote by members. The Southeast Asian nation defeated bids from seven other candidates: Antigua and Barbuda, Armenia, Bahamas, Barbados, Eswatini, Kenya and Togo.
Selecting a host country was one of the most pressing priorities for this week’s meeting. It represented a first necessary step for the board to take up a legal personality and enter into formal agreements with the World Bank, set to host the loss and damage fund on an interim basis.
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While the administrative staff of the fund will be based at the World Bank, the board will carry out some of its meetings in the Philippines in the future, likely in the capital Manila. The country’s proposal scored particularly high thanks to its abundant transport options and accommodation facilities and its visa free entry for short stays for most visitors, according to a background paper.
A man stands in a home where the roof was ripped apart, in the aftermath of Hurricane Beryl, in St. Elizabeth Parish, Jamaica, July 5, 2024. REUTERS/Maria Alejandra Cardona
The somewhat thorny issue of what to officially call the fund also landed on the table in South Korea.
For nearly all climate talks participants, it’s simply been the “loss and damage fund” since it was adopted at COP27, but the United States have made various attempts at a rebrand. At COP28 in Dubai, for example, then U.S. climate envoy John Kerry kept referring to the “fund for climate impact response” – a more neutral label that softened the suggestion of developed countries’ historical responsibility.
In consultations ahead of the meeting, the co-chairs of the board collected various options, from the minimalistic “the Fund” to the highly technocratic “Fund referred to in decisions 1/CP.28 and 5/CMA.5”.