Philanthropic giving to climate change stayed flat in 2022
Despite the increased urgency of reducing emissions and building resilience to climate change impacts, a new analysis shows that total philanthropic giving by foundations and individuals remained essentially flat from 2021 through 2022.
Why it matters: In addition to the growing low-carbon economy, philanthropic giving is a major source of support for emissions cutting as well as climate adaptation.
The big picture: 2023 is on the way to becoming the hottest year on record globally, and new data suggests that the world may only have about six years of present-day emissions rates before the Paris Agreement goal of limiting warming to 1.5°C is surpassed.
- Given this reality, scaling up philanthropic support for climate programs is sorely needed, said ClimateWorks CEO Helen Mountford.
- ClimateWorks, itself a philanthropic foundation, publishes the annual report.
- "The current funding is not commensurate with the urgency of the crisis and the scale of the efforts needed to limit global warming to 1.5°C," Mountford told reporters.
- Total giving added up to about $811 billion in 2022, ClimateWorks found, of which between $7.8 to $12.8 billion was focused on climate change mitigation.
Between the lines: The flat trend in spending from 2021 to 2022 can be traced to large boosts in funding the previous year, as well as challenging economic conditions.
- Clean electricity was still the biggest category for foundation funding, but 2022 saw a spike in money for reducing emissions of super pollutants like methane and to decarbonize transportation.
- In 2022, foundations began investing in minerals crucial to renewables, with $35 million going to this emerging area.
The intrigue: One notable trend in the report is a significant shift in funding to Africa, where population growth is particularly high.