African governments have spent more money on fossil fuel projects over the last 6 years than on clean air initiatives, says the Clean Air Fund.
In their latest State of Global Air Quality Funding 2022 report, philanthropic initiative Clean Air Fund (CAF) point out that between 2015 and 2021 governments gave less than 1% of their aid budget to projects that tackle outdoor air pollution around the world. At the same time, they pumped four times as much money into projects that prolong fossil fuel use.
Fossil fuel combustion, the main driver of climate change, accounts for two-thirds of human exposure to outdoor air pollution, which kills around 4.5 million people annually. The 2022 IPCC report on climate mitigation shows that the financial value of health benefits from improving air quality would far exceed the costs of meeting Paris Agreement goals.
The Report provides a global snapshot of donor governments and philanthropic organisations’ projects tackling air pollution. It also highlights the opportunities to realise multiple health, social and economic benefits through more joined up approaches is being missed – partly because of siloed thinking by funders.
The oversight and underfunding is particularly stark across Africa, which received 0.3% of development assistance for air pollution in the six years covered by the report. This is despite air pollution being the continent’s second largest killer after HIV/AIDS.
State of Global Air Quality report
Between 2015 and 2021, official development funders committed $11 billion to air quality projects globally, compared to $46.6bn to projects that prolonged the use of fossil fuels. The report also highlights that amongst donor governments:
- Funding for coal-reliant projects dropped by 95% from 2019 to 2020, suggesting external pressure to shift from coal may be making an impact;
- Grant funding, needed to avoid saddling low-income countries with more loan debt, represented only 6% of total air quality commitments;
- Air quality funding was concentrated in a handful of Asian countries, but lagged in Africa and Latin America; and
- In 2020, just 0.4% of international public climate finance – the share of international development funding contributing to the goals of the Paris Agreement – went to projects explicitly tackling air pollution, despite these problems sharing the same root causes.
The report also looks at funding from philanthropic foundations and found:
- In 2021, total philanthropic air quality funding rose by 36% to an all-time high of $63.8m but remains less than 0.1% of total philanthropic spending;
- The increase appears driven by increased funding from a handful of major foundations, suggesting a shift towards greater interest in the issue;
- The US, China and India continued to receive the bulk of philanthropic funding for air quality, while Africa, Latin America and the rest of Asia lag behind; and
- The majority of foundation-funded air quality projects are simultaneously aiming to tackle climate change, however, just 2% of total foundation climate mitigation funding is realising the health and economic benefits associated with improved air quality.
But why is it this way?
Speaking to ESI Africa, CAF country lead to Ghana Desmond Appiah pointed out one big reason for the imbalance is that governments concerned with growing access to energy and establishing energy security see investment into fossil fuel infrastructure as an obvious solution to meeting the need of their developing economies and rising population.
“But, that model has seen China and India suffer huge health and social costs from air pollution derived from yoking their growth to fossil fuels. Both are now trying to switch to renewables.
“African governments should avoid investing billions in projects prolonging fossil fuel usage, when we need to transition towards renewable energies if we’re going to prevent catastrophic levels of global warming and tackle air pollution,” he explained.
Ultimately, Appiah says, it is political leaders who decide where the money goes. “The global and national economies are locked into using fossil fuels to drive their economies and changing this system involves bold leadership to confront vested interests and choose cleaner development paths.
“Donors need to support the low- and middle-income countries that have the will to do that.”
The bulk of the finance that addresses air pollution is slanted towards US, China and India because they exhibit some of world’s highest industrial growth and polluting patterns. “Air pollution regulation and investment in managing air pollution is higher in most higher income countries – although not sufficient. But, in emerging economies and low- and middle-income countries pollution is likely to increase they grow.
“Cutting air pollution doesn’t have to mean reducing growth. Governments need to invest in clean growth and development paths.”
What can be done to change imbalance and increase money spend on clean air?
Appiah explained that donors need to increase the value, impact and effectiveness of each dollar they spend. “But, political leaders and the public are not sufficiently aware that with comparatively moderate levels of investment in tackling air pollution they can simultaneously slow down climate change, save millions of lives, improve crop yields, contribute to sustainable development and improve energy security.
“If donors monitored and reported on the multiple benefits reaped from factoring tackling air pollution into climate, energy, health and social policies, politicians and decision-makers would be incentivised to do more, quicker,” said Appiah.
He said the incentive for change lies in the realisation that it doesn’t make economic sense to invest in energy solutions that burden countries with long term costs to health in climate. And, the reverse is also true.
Tackling air pollution with urgency saves lives immediately, helps economies grow faster and can deliver political dividends quickly, said Appiah.
“For example, we highlight how China is turning the tide on air pollution with the support of the Asian Development Bank, demonstrating what is possible and how clean air can unlock many socially-beneficial solutions.
“The African Union’s own Agenda 2063 is clear about the need for the continent to realign on a path to sustainable development, a path towards economic development, social empower and a clean environment for all,” explained Appiah.
You can find The State of Global Air Quality Funding 2022 report online.
