Only 3% of International Climate Aid Goes to Transitioning Communities: 'This is Absurd'
The world's response to climate change is increasingly being seen as a means to appease investors rather than address the plight of workers and communities caught in the transition away from polluting industries. A new report by ActionAid reveals that less than 3% of international aid aimed at reducing carbon emissions supports just transition projects, which prioritize the needs of workers and communities.
The analysis, released ahead of major United Nations climate negotiations in Brazil, found that out of nearly 650 approved projects financed by the world's two major multilateral climate funds, only one in 50 met the criteria for a "just transition." This translates to just $630 million spent on such projects over more than a decade, a tiny fraction compared to the billions of dollars invested in polluting industries.
"These projects aren't doing nearly enough to reassure people that they don't have to make that choice," said Teresa Anderson, ActionAid's global climate justice lead. "People are being forced to choose between a safe job and a secure job and a safe planet."
The lack of consideration for workers and communities poses both ethical and practical questions for climate action. In one example cited by Anderson, developers in Bangladesh implemented a project that encouraged farmers to plant mango crops instead of methane-heavy rice without consulting seasonal workers or the mostly female workers who processed rice into local food items.
"The project didn't map all the people that were directly or indirectly involved with those farming activities," she said. "Had they consulted workers, the developers might have also realized that because mangoes only have one harvest a year – rice has three – the project would not be economically viable 'before it turned out to be an economic disaster.'"
ActionAid is calling for major reforms, including trillions of dollars in grant-based climate finance for global south countries and the overhaul of the Green Climate Fund's principles to prioritize labor and justice. The organization also demands that wealthy nations commit to a new "Belém Action Mechanism" under the program to flesh out actionable plans for just transition-aligned projects.
"The lack of consideration for workers and communities is simply absurd," said Anderson. "We need to see action, not just words. The time for shortcuts is over; we need to prioritize justice in climate action."
The world's response to climate change is increasingly being seen as a means to appease investors rather than address the plight of workers and communities caught in the transition away from polluting industries. A new report by ActionAid reveals that less than 3% of international aid aimed at reducing carbon emissions supports just transition projects, which prioritize the needs of workers and communities.
The analysis, released ahead of major United Nations climate negotiations in Brazil, found that out of nearly 650 approved projects financed by the world's two major multilateral climate funds, only one in 50 met the criteria for a "just transition." This translates to just $630 million spent on such projects over more than a decade, a tiny fraction compared to the billions of dollars invested in polluting industries.
"These projects aren't doing nearly enough to reassure people that they don't have to make that choice," said Teresa Anderson, ActionAid's global climate justice lead. "People are being forced to choose between a safe job and a secure job and a safe planet."
The lack of consideration for workers and communities poses both ethical and practical questions for climate action. In one example cited by Anderson, developers in Bangladesh implemented a project that encouraged farmers to plant mango crops instead of methane-heavy rice without consulting seasonal workers or the mostly female workers who processed rice into local food items.
"The project didn't map all the people that were directly or indirectly involved with those farming activities," she said. "Had they consulted workers, the developers might have also realized that because mangoes only have one harvest a year – rice has three – the project would not be economically viable 'before it turned out to be an economic disaster.'"
ActionAid is calling for major reforms, including trillions of dollars in grant-based climate finance for global south countries and the overhaul of the Green Climate Fund's principles to prioritize labor and justice. The organization also demands that wealthy nations commit to a new "Belém Action Mechanism" under the program to flesh out actionable plans for just transition-aligned projects.
"The lack of consideration for workers and communities is simply absurd," said Anderson. "We need to see action, not just words. The time for shortcuts is over; we need to prioritize justice in climate action."