The demand that wealthy polluting nations pay climate-vulnerable countries for damages caused by historical emissions and current disasters.
Warsaw Loss and Damage
At COP19 (Warsaw 2013), developing nations forced creation of the “Warsaw International Mechanism for Loss and Damage”—acknowledging that adaptation funding wasn’t enough. Small island nations and climate-vulnerable countries demanded compensation for unavoidable climate impacts: rising seas, extreme weather, lost livelihoods.
Blocking and Delays
Wealthy nations (U.S., EU) resisted for years, fearing legal liability for emissions. The Paris Agreement (2015) explicitly stated loss and damage provisions “do not involve or provide a basis for any liability or compensation.” Developing nations felt betrayed—rich countries caused the problem but refused to pay for damages.
COP27 Breakthrough
At COP27 (Egypt, November 2022), after fierce negotiations, nations agreed to create a loss and damage fund. Specific details—who pays, who receives, how much—remained unresolved. Climate justice advocates celebrated the principle victory while noting wealthy nations would likely underfund it. The battle shifted from “whether” to “how much.”
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