RP to push for $5-billion climate change adaptation fund for Asean

MANILA, Philippines - President Arroyo will push for the setting up of a $5-billion Asean climate change adaptation fund to strengthen defenses of member states against severe weather disturbances and allow them to respond quickly to disasters.

Albay Gov. Joey Salceda said Mrs. Arroyo will initiate the action during the Association of Southeast Asian Nations leaders’ summit this week in Bangkok, Thailand.

It would be similar to the $120-billion Chiang Mai Initiative aimed at rescuing distressed financial institutions during periods of economic crisis, he added.

Speaking to reporters yesterday, Salceda said Asean countries, including Japan and South Korea are “experts in protecting their banks” but not as enthusiastic when it comes to “protecting communities.”

“The Chiang Mai Initiative must have counterpart or a parallel structure for an Asean (climate change) adaptation fund,” he said.

Salceda said compared to the Chiang Mai Initiative, the proposed common fund could be easily put up.

Contribution of Asean members to the fund could be proportional to their foreign reserves, he added.

Salceda said the voice of developing nations would not be strong in the conference on cutting greenhouse gas emissions in Copenhagen in December “if we neighbors do not help each other or unite.”

“We should start in our backyard and this would be a step in process in the creation of a global cooperation fund,” he said.

Salceda said the pooled fund would allow Asean members access to bigger financing for critical infrastructure for protection against the effects of climate change, as well as quick response to disasters.

The Philippines is scrounging for foreign funding sources to finance its massive rehabilitation of typhoon-devastated areas, he added.

Salceda said having a system for quick financing, like the World Bank’s offer of a $200-million deferred draw down option, would end the practice of “repeatedly begging” before international creditors and allow Asean members “spontaneous access.”

“Any deal in Copenhagen without financing is farcical,” he said.

Heherson Alvarez, presidential adviser for global warming and climate change, said there are moves to put up $150 billion that could be “systematically distributed, depending on the vulnerability of the area.”

“Rich countries should be able to put together a pool of fund,” he said. “This is based on our common but differentiated responsibility.” – Paolo Romero