Climate Adaptation Costing in a Changing World

The impacts of climate change are increasingly evident across Europe and are expected to worsen as global temperatures rise. Despite efforts to decarbonize, the climate effects of past emissions are already significant and will require substantial adaptation investments. These investments are necessary to address a wide range of climate hazards and their diverse effects on communities and economies. Developing effective adaptation strategies is challenging due to the broad and complex nature of adaptation needs.

To address this, the report reviews methods for prioritizing and costing adaptation strategies and presents case studies to guide policymakers in identifying viable investments.

Europe, which is experiencing faster warming and rising economic losses from climate-related events, needs to significantly increase adaptation investments. Since 1980, climate-related losses in the EU have totaled about €650 billion, with future losses expected to rise sharply. By 2070, economic losses could reach up to 2.2% of GDP, with some regions facing even greater impacts.

Recent extreme weather events, such as severe floods, droughts, and heatwaves, highlight Europe's current unpreparedness and the urgent need for structural changes to manage these challenges effectively.

Scaling up investments in climate adaptation requires more and better information on their costs.