After Hurricane Melissa devastated Jamaica this week on its way across the Caribbean, expert analysis suggests the island nation is in line for hundreds of millions of dollars in payouts from innovative forms of insurance policies like catastrophe bonds to help it recover.
Jamaica’s finance minister Fayval Williams said in June that the country had disaster financing coverage worth 130.6 billion Jamaican dollars (US$820 million). The country has insurance with the Caribbean Catastrophe Risk Insurance Facility (CCRIF) and a $150-million catastrophe bond, which experts say is likely to pay out in full.
Finance and climate researchers praised the Jamaican government’s foresight in arranging cover, which is likely to bring much-needed and relatively fast funds to help the country cope and rebuild. Sara Ahmed, advisor to the Climate Vulnerable Forum, commended Jamaica for “its leadership in deploying a mix of risk financing tools as climate change intensifies tropical storms and hurricanes”.
The executive director of the UN’s Green Climate Fund (GCF) Mafalda Duarte told Climate Home News on Thursday that, while the GCF currently has limited involvement in insurance, it is exploring more such investments. “A lot more needs to be done in this area,” she said.
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But, while praising Jamaica’s government, other climate and finance analysts warned that the scale of the payouts is unlikely to come close to covering the losses from the hurricane and argued it is an injustice that small-island taxpayers who contributed little to the climate crisis are the ones who pay the insurance premiums – which are now likely to rise after this week’s disaster.
Catastrophe bonds
Catastrophe bonds originated in the US in the 1990s as a way to get investors – rather than insurance companies – to cover the risk of events like hurricanes and earthquakes deemed rare but severe. The World Bank has since promoted their roll-out to developing countries like Jamaica.
Earlier this year, finance minister Williams told Bloomberg: “We are situated in the hurricane belt and when the hurricane hits us, it can hit us very hard and damage roads, infrastructure – it takes us out for a while.”
She said Jamaica had issued catastrophe bonds because “the day the [meteorological] office tells us that a very severe hurricane is on the way towards us – it’s too late to do the planning; so you plan well ahead of the eventuality of that catastrophe.”
The scale of the economic damage from Hurricane Melissa is still unclear but is likely to run into tens of billions of dollars, according to preliminary estimates. Pepukaye Bardouille, special adviser on resilience to the government of Barbados, told a press briefing on Friday that a $150-million payout was a “drop in the ocean” but useful as part of a stack of solutions.
Connor Meenan, a disaster risk specialist from the UK-based Centre for Disaster Protection, told Climate Home News that “the real value” of insurance is that “on day one, they’ve got certainty about a significant amount of money that they can call on in the near term so they can focus on directing that where it needs to be spent”.
“It’s certainly put them in a better position than it would have been had they not made all these efforts to put their finances in place ahead of time,” he said.
Unsustainable and unfair?
Ritu Bharadwaj, IIED’s director of climate resilience and loss and damage, warned that as the Earth’s climate heats up and catastrophes become more frequent, investors become less willing to bet against them happening, demanding higher premiums to do so. “It will become uninvestable,” she said.
Critics also raised climate justice concerns. Jamaica is in line for payouts because its government has been paying insurance premiums, which have to be large enough to entice investors to take on the risk of a disastrous hurricane occurring. Many countries whose governments are paying catastrophe bond premiums do not suffer catastrophes and so lose their money.
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Bharadwaj said it was “unfair” that taxpayers in countries like Jamaica are having to pay to insure against climate disasters they only played a small part in creating. Jamaica’s per-person emissions are about half the world average.
Conditions on when bonds pay out can also be strict, based on triggers like agreed wind speeds and central air pressure, with exact criteria varying in different parts of a country depending on historic precedents.
Last year, Jamaica missed out on a payment because, despite Hurricane Beryl causing about $1 billion of damage to the island, these triggers were not met.
Fending for themselves
Bharadwaj added that financial support from wealthy countries – like that in the UN’s new Fund for Responding to Loss and Damage (FRLD) – is insufficient to meet countries’ needs. The FRLD has $407 million in its bank account, which she said is likely far less than the losses suffered by Jamaica, let alone all the other countries in need of funding after climate-driven disasters.
Because of this “failure” of developed countries, multilateral development banks and the private sector to offer adequate funding, developing countries have to “fend for themselves”, she said.
As well as catastrophe bonds, she said governments should issue bonds – as Fiji has done – to raise money to invest in resilience measures. This can include dedicated resilience projects like flood defences and sea walls or making infrastructure like coastal hotels in Jamaica better able to withstand extreme weather, she said.
This spending, she said, should be seen as “not just doing good, not just impact investing [but] an investment that will yield benefit in the future” by preventing loss and damage.
Avinash Persaud, climate adviser to the president of the Inter-American Development Bank, argued in a recent article for Climate Home News that developing countries should have some of their debt written off if they invest in resilience.
Persaud’s native Barbados launched the world’s first of these debt-for-resilience swaps last year and a “multi-guarantor debt for resilience facility” is expected to be launched by international development banks at COP30 this month to make such swaps available to more countries.
Persaud and Bardouille have also argued for more lenders to introduce clauses saying that debt repayments will be paused when a disaster like a hurricane strikes.
The post Jamaica set for post-Melissa payout but experts warn of limits to hurricane insurance appeared first on Climate Home News.
Jamaica set for post-Melissa payout but experts warn of limits to hurricane insurance
The UN body that regulates mining in international waters has defended its authority over ocean governance after two subsidiaries of deep-sea mining firm The Metals Company (TMC) launched legal action to halt an investigation into their conduct.
Speaking at the International Seabed Authority’s (ISA) annual meeting in Kingston on Monday, secretary-general Leticia Carvalho said the regulator’s role “matters more than ever” as governments grapple with growing pressure to exploit the deep seabed for minerals needed for the energy transition.
“The deep seabed belongs to no single country and no corporation; it belongs to all of us,” Carvalho said, describing its resources as “the common heritage of humankind”.
“If we lose sight of this,” she added, “we risk repeating on the ocean floor the same injustices and destruction we still strive to remedy on land.”
The conflict stems from TMC’s attempt to bypass the UN process by applying for US-sponsored ocean mining permits offered last year by the Trump administration. The Canadian firm aims to become the first company to mine the seabed for minerals like nickel, rare earths and manganese used in the production of both clean energy technologies and military equipment.
Several governments, including China, condemned the move as a “violation of international law”. In response, ISA member states agreed to open an inquiry into its licence-holders – among them two of TMC’s subsidiaries – to make sure they have complied with international law. If they are ultimately found to have breached those obligations, their exploration contracts could be revoked.
In June, the two TMC subsidiaries – Tonga Offshore Mining Ltd (TOML) and Nauru Ocean Resources Inc (NORI) – filed claims against the ISA at the International Tribunal for the Law of the Sea (ITLOS), asking the court to suspend the inquiry while the case proceeds. The companies argue they are being targeted “without lawful procedural basis”, “in breach of due process”, and without “good faith”.
Environmental groups have accused The Metals Company of using legal tactics to block the investigation into its subsidiaries.
“We find ourselves in this Orwellian situation where these companies are trying to effectively get an injunction against the ISA from continuing its inquiry,” said Louisa Casson, who leads Greenpeace’s global campaign against deep-sea mining.
“The stakes are so high and that’s why we’re seeing this pretty extraordinary move to try to get an injunction against the ISA,” she added.
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Mining the deep ocean floor
The ISA has been negotiating a mining code for the deep ocean floor for over 12 years without success. Nearly 40 governments, including the UK, France and Germany, have called for a moratorium or precautionary pause on deep-sea mining until there is sufficient scientific evidence that it can proceed without causing serious harm to marine ecosystems.
Rather than wait for the UN process, industry frontrunner, The Metals Company, decided to apply for US permits offered by the Trump administration last year. In May, the US National Oceanic and Atmospheric Administration (NOAA) certified TMC’s application to explore 120,000 square kilometers of sea floor.
The firm wants to mine an area in the Pacific known as the Clarion-Clipperton Zone, which holds critical minerals inside potato-sized rocks found in the deep ocean floor known as polymetallic nodules. The minerals like manganese, nickel and rare earths are used in clean energy technologies like batteries and wind turbines.
But the area is also a little-understood ecosystem inhabited by thousands of unnamed species. The International Union for Conservation of Nature (IUCN), the world’s largest environmental network, says mining this area would threaten the existence of over half of all molluscs reliant on deep-sea vents.
Governments launch inquiry
Seeking to discourage companies from bypassing the UN process, the ISA’s member states unanimously agreed to open an inquiry into whether holders of its exploration licences complied with their contractual obligations under the UN Convention on the Law of the Sea (UNCLOS).
“The stage we’re at now is countries grappling with what they can do about this. What tools do they have to constrain this pathway that would go against international law,” Casson said.
Both NORI and TOML continue to hold ISA exploration contracts in the Clarion-Clipperton Zone. NORI’s license, however, expires later this month on July 21st and is up for review.
The inquiry is currently ongoing, but Casson said that if governments decide to cancel NORI’s license, other firms could apply for the ISA permit and compete for mining rights in the area.
“If that happens, it could really put into jeopardy TMC USA’s application (for US permits) because then suddenly that area could be open for a competing claim,” she explained. “At the moment, TMC is trying to kind of play both sides and shore up the area so that there will be no competition.”
Deep-sea mining firms push back
The cases before ITLOS are the first contentious disputes over deep-sea mining to reach the court designed for maritime disputes and the first brought directly by private contractors against the ISA. Among the companies’ legal advisers is former ISA secretary-general Michael Lodge.
Both NORI and TOML claimed that, unless the inquiry is suspended, there is a “real
and imminent risk of prejudice” that “may have significant legal and practical consequences” for
their activities.
The claim was backed by the Pacific island nation of Nauru, which has sponsored TMC’s push to mine the Clarion-Clipperton Zone and would benefit from the economic activity. The country raised “concerns on the adherence of due process with respect to the treatment of NORI”.
The mining companies allege that the ISA has singled them out among other applicants by requesting additional documentation, and that the UN auditors did not give them an opportunity to “meaningfully respond” to their concerns.
The ISA rejected those allegations as “wholly unsupported assertions”. It added that, given TMC’s application for US mining permits, it had done “what any reasonable regulator would do”: with the unanimous support of member states, it opened an inquiry simply to establish the facts.
Delay tactics
A decision from the maritime court is now expected by July 18, which has added to a “climate of significant regulatory uncertainty”, according to global law firm HSF Kramer.
As ISA countries meet in Kingston this week, the court’s president asked them “not to act in any way that could hinder any order” the court may make.
At the hearing representing the ISA, renowned human rights lawyer Philippe Sands said the deep-sea mining firms were engaging in “strategic litigation” meant to delay the inquiry and send the ISA into a years-long legal process.
“It’s a delaying tactic, and nothing would make them happier than for you to kick this into the long grass for two years while you sort out the merits. That is what they want this Tribunal, the Chamber, to do. You are being instrumentalized in this process,” Sands told the judges.
The post UN seabed regulator defends authority as mining firms seek to halt inquiry appeared first on Climate Home News.
UN seabed regulator defends authority as mining firms seek to halt inquiry
The UK’s incoming prime minister Andy Burnham has remained tight-lipped on his views on climate change during his leadership campaign.
When asked his views on reversing Labour’s manifesto pledge to stop new North Sea drilling in June – a move that the oil-and-gas industry and right-wing media have pushed for in recent months – he said he had “something of an open mind” on the issue.
But a trawl of Burnham’s past comments about climate change, net-zero and fossil fuels reveals a different picture.
Just a year ago in June 2025, Burnham, while mayor of Greater Manchester, gave his support to the fossil fuel treaty – a proposed international pact on phasing out coal, oil and gas – calling it a “lifeline” that “all governments” should join.
In a video message endorsing the treaty, he also said that “there should be no turning away from net-zero”.
During his last bid to be Labour leader in 2015, he used similar language, saying:
“Labour under my leadership will never turn our back on either our duty to tackle climate change or the prospects offered by the green economy.”
Burnham has spoken about the threat of climate change since at least 2008, noting in 2021 that accelerated action could “create thousands of good jobs”, but also warning that net-zero risked becoming the “next Brexit”.
Burnham is yet to appoint his cabinet, but there is much speculation that he will select current net-zero secretary Ed Miliband as his chancellor – with their ally Miatta Fahnbulleh having a “strong chance” of taking Miliband’s former position.
Below, Carbon Brief recounts 28 things that Burnham has said about climate change, net-zero, fossil fuels, energy and transport.
Climate change
“Tackling climate change isn’t just about protecting the planet – it’s a powerful opportunity to build a fairer, greener future for our communities and businesses.”
Calling for local councils to be given more power and money for climate action, 29 November 2025
“There is little doubt that Greater Manchester’s biodiversity has taken a hit over the years, with habitats being lost, destroyed and becoming less diverse due to the impact of development, climate change, pollution and invasive species…We are committed to delivering a city-region for all residents to enjoy – a fairer, greener and more prosperous place for everyone.”
Statement after Greater Manchester declared a “biodiversity emergency”, 25 March 2022
“Over the next decade, if we accelerate our response to the climate crisis, we can create thousands of good jobs, improve homes, overhaul our transport system and make [Manchester] an even better place to live.”
Greater Manchester Green Summit, 18 October 2021
“The environment has never been higher on the national and international agenda.”
Statement after visiting a peat bog restoration project in England, 9 January 2020
“I think climate change [action] will be driven more quickly from the bottom up, if I’m honest. It’s the will of evolution if you wait for the government to act…When governments aren’t listening you get out and get your voice heard…so I think [climate protesters] deserve our encouragement, not our criticism.”
Speaking to Manchester Evening News at a student climate protest in Manchester, 24 May 2019
“Labour under my leadership will never turn our back on either our duty to tackle climate change or the prospects offered by the green economy.”
Labour leadership candidate speech, 15 July 2015
“Climate change can seem a distant, impersonal threat – in fact the associated costs to health are a very real and present danger…We need well-designed climate change policies that drive health benefits.”
Speaking to the Guardian about a study on climate and health, 25 November 2009
“The Stern report on the economics of climate change has changed the debate, in this country and around the world. It made it clear that the people who could suffer most from a failure to tackle climate change, or from a lack of ambition in our approach to it, are those living in the developing countries. They are the most vulnerable…[and] Stern said that the cost of not acting would be large. That is why the government took various measures in the recent spending review to ensure that we are prepared to face the challenges posed by climate change.”
Speaking in the UK parliament on the economic impacts of climate change on his final day as chief secretary to the Treasury, 24 January 2008
Net-zero
“There should be no turning away from net-zero.”
Speaking after giving his support to the fossil fuel treaty – a proposed global pact to introduce laws to phase out coal, oil and gas – on behalf of Manchester, 6 June 2025
“An opportunity is opening up for Britain as other countries move away from net-zero. We should seize that…We can make Britain a green leader. This is not the time to tiptoe, it is the time to commit to this path.”
Speaking at Innovation Zero World Congress in London, 29 April 2025
“[We] need a government that fully buys into the 2038 vision because the UK will not get to 2050 unless places like Greater Manchester are freed up to go faster – and we’re ready to go faster.”
Speaking about Greater Manchester’s aim to reach net-zero by 2038, 19 October 2022
“In Greater Manchester we have plans to build 30,000 net-zero social rented homes because we recognise that a successful city region needs good quality, affordable accommodation for everyone.”
Speech on the future of cities, 24 June 2022
“By building a broad consensus behind the drive to net-zero, we can ensure that the transition is a fair one that delivers social justice as well as climate justice. This is an opportunity for all of us to show how cutting carbon emissions in our cities can make a real difference to our communities – away from the abstractions and rooted in the real world.”
Panel discussion in Glasgow during the COP26 climate summit, 12 November 2021
“To the extent that people have picked up anything from COP26, it’s a sense that the drive to net-zero will mean cost and inconvenience for ordinary people and offsetting for the wealthy and entitled. All of a sudden, you can feel how net-zero could become the new Brexit – a debate that gets very divided on class grounds…This has got to be a wake-up call. We cannot let this happen. We need to act now to build a broad social consensus behind the drive to net-zero. How to do that? It starts with taking control of the climate narrative from those steering it in the wrong direction and turning it around…We must show how, if done in the right way, the drive to net-zero is actually an opportunity to reduce the cost of living; to make people’s lives better and society fairer.”
Writing for the London Standard, 5 November 2021
“The drive to net-zero is a chance to re-industrialise the north of England, this time in a clean way. Create really good jobs, future-facing jobs for people, better public transport, improve people’s homes…If we go quickly towards net-zero, it’s the quickest way to level up the country.”
ITV interview at COP26, 1 November 2021
“If we really embrace the drive to net-zero, that is the route to level up the country…But it needs substantial investment, upfront, now, of the kind that Rachel Reeves, shadow chancellor [and chancellor under Keir Starmer’s government], has been talking about. We need long-term predictable funding.”
Interview with GB News at COP26, 1 November 2021
“I would have preferred to hear slightly less about carbonated wine and much more about a decarbonised economy.”
Referencing a UK budget, which included tax cuts for sparkling wine and other drinks, 28 October 2021
“Decarbonising is not just about lowering costs on to people. It’s the route to get better, cheaper public transport. It’s the route to getting homes that are cheap to run. It’s actually the way we can create thousands of good jobs for the people who live in Greater Manchester. This is the route to levelling up the country by going further and faster on decarbonisation.”
Speaking to Manchester Confidential, 20 October 2021
“[I am] asking people to stop seeing the environmental agenda as a cost and a burden agenda. I think this is a barrier that we’ve got to get over. Already in the media interviews I’ve done today, people are saying ‘can you afford it?’, ‘can it be achievable when times are tough?’.
“My answer to that is, at some point in the 21st century, all homes will be zero-carbon. At some point in this century, all buildings of any kind will be zero-carbon…All cars will be zero-carbon, all public transport will be zero-carbon…The question is: when? And surely the places that embrace those things first are putting themselves in a position of economic strength when it comes to facing up to the future. Rather than seeing the whole agenda as a burden, we’ve got to see it for the benefits that it can bring.
“There may be a greater upfront cost in a zero-carbon home, but let’s stop thinking, as we tend to do in Britain, of the short-term, the short-termist approach to life. Surely let’s start talking to the public about the lifetime cost.”
Greater Manchester Green Summit, 21 March 2018
Fossil fuels
“I’ve got something of an open mind, you know. I don’t have a sort of fixed position.”
Speaking on the issue of new North Sea oil and gas in a New Statesman interview, 3 June 2026
“We would fight this in GM [Greater Manchester]…Communities across the north would face all the danger and disruption while big oil and gas walk away with all the profits.”
In response to Reform’s call for fracking, on X, 25 August 2025
“I am proud to endorse the fossil-fuel treaty proposal today on behalf of Greater Manchester. It’s not just a plan – it’s a lifeline. It’s a call to end coal, oil and gas, hold polluters accountable…I urge all governments, nationals and subnationals to join this fight.”
Statement upon endorsing the fossil-fuel treaty, 5 June 2025
“Fracking is the past, it is not the future.”
Speech at London climate protest, 20 September 2019
“I have called for a moratorium on fracking. Far too many potential risks and unanswered questions.”
On X, 22 June 2015
Energy and transport
“What I would do, if successful, is lay out a plan for more public control over water, energy, transport, so that over the period we can get those bills down, fares down, and give people and give businesses breathing space.”
LBC interview, 2 July 2026
“I am all in favour of tough decisions at a national level. I don’t believe there should be a third runway at Heathrow, for instance. But I think those are decisions for national government.”
Guardian interview, 13 June 2019
“There is a debate to be had about aviation, isn’t there? There are changing public attitudes about aviation. Rather than just saying no to people flying, don’t we need to accelerate research into low and zero-carbon forms of aviation?”
Guardian interview, 13 June 2019
“Today, I stand alongside the mayors of some of the greatest cities in the world. I’m committed to a cleaner, greener and healthier future for Greater Manchester. Around a third of greenhouse gas emissions in our city-region come from transport.”
When signing the C40 Fossil-Fuel-Free Streets Declaration, which includes support for zero-emissions vehicles and walking and cycling, on behalf of Manchester, 14 September 2018
The post 28 quotes from next UK leader Andy Burnham on climate, net-zero and fossil fuels appeared first on Carbon Brief.
28 quotes from next UK leader Andy Burnham on climate, net-zero and fossil fuels
Suresanathan Murugesu is the country director of Action Against Hunger in the Philippines
The Philippines is caught in an extreme weather trap. Here, forecasts for a strong El Niño in the months ahead do not just indicate a period of drought – they also point to torrential rain and flooding.
It could hardly come at a worse time, threatening communities that are still struggling to recover from previous typhoons, such as last year’s Typhoon Tino, as well as two strong earthquakes – in Cebu in September 2025 and last month’s 7.8-magnitude quake in Mindanao.
Forecasts point to the arrival of one of the most intense El Niños in recent history this year and into 2027, with the United Nations warning that it could be the strongest in decades around the world.
The peak of the El Niño is expected towards the end of the year, but the weather phenomenon is already estimated to have caused agricultural losses of nearly €30 million (£25.9 million), potentially affecting the livelihoods of 4 million farmers.
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On the climate frontline
For many, El Niño is a figure in a report or a distant headline, but for those of us who live and work on the ground, it is a reality that is already hitting the most vulnerable families.
When I travel through the communities of the Bangsamoro Autonomous Region – in the south – or speak with families on the island of Siargao or in the Zamboanga region, I do not see data or graphs.
I see a father looking at his cracked rice field, wondering how he will pay off the debts from a harvest that is already lost before it has even begun. I see a mother walking under a relentless sun because her village’s well has dried up, carrying the water that sustains the health of her children and her entire community.
And what we are seeing today – 26 provinces experiencing drought and millions of dollars in agricultural losses – is only the beginning.
Loss and damage fund delays first project approvals as needs dwarf resources
Many Filipino families are still trying to rebuild and recover after last year’s typhoons and the two earthquakes. In Mindanao, where the recent magnitude 7.8 earthquake displaced more than 90,000 people and destroyed over 19,000 houses, uncertainty remains about when the people will be able to fully recover and return home.
Today, they are trying to protect the meagre possessions they have and, if they are lucky enough to have their home unscathed by typhoons and earthquakes, their homes from flooding; tomorrow, they will have to survive the hardship and impact of drought.
The effects of El Niño threaten to exacerbate their troubles.
Struggle for basic needs
Many low-income Filipino families already face significant challenges to meet their basic needs.
In our daily visits, we see how life is becoming increasingly difficult for millions of people. Rising fuel and transport costs are driving up the price of basic foodstuffs, making them unaffordable for many families. At the same time, crop failures and income losses are leaving households without livelihoods, while disasters contribute to further suffering.
But we are not just talking about hunger. We are talking about health, safety and dignity. Water shortages are forcing many people to resort to unsafe sources, increasing the risk of disease. And, as is the case in so many crises, it is the most vulnerable who bear the heaviest burden: walking long distances every day to fetch water or food, enduring enormous physical strain and facing risks of violence and insecurity.
Building resilience
Faced with this reality, our response is based on a simple idea: to be there before the crisis reaches its most critical point. At Action Against Hunger, we work alongside communities to anticipate the situation, assessing the impact of the drought and activating early response mechanisms to protect their livelihoods and access to water.
We translate climate forecasts into concrete action plans: from support for farmers to programmes ensuring safe water. All of this is done in coordination with local authorities and international partners, because we know that what we do today will make the difference tomorrow.
The hardest months are yet to come. But the question is not just what will happen, but what we are doing now to prevent it. How many tables will remain empty and how many children will see their health compromised will depend on our ability to act in time.
We cannot stop El Niño. But we can prevent it from becoming a crisis of human dignity. We cannot afford to look the other way whilst the earth cracks and opportunities disappear. Because behind every statistic, there is a family struggling to get by. And that is a reality we cannot ignore.
The post A strong El Niño spells more climate pain for the Philippines appeared first on Climate Home News.
A strong El Niño spells more climate pain for the Philippines
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