In support of the European Green Deal, the Adaptation Strategy and the EU Mission on Adaptation to Climate Change, project results are expected to pioneer ways to mobilise the private sector to finance adaptation solutions.

Project results are expected to contribute to all of the following expected outcomes:

• The private sector (in the broadest sense, including the business or financial sector, private investors, those that have available corporate social responsibility budget to invest, etc) is increasingly financing adaptation solutions. This can be for instance thanks to increased and improved range of investment concepts, financing mechanisms and/or business models.
• The private sector engagement with the Adaptation Mission is stepped up, from a few businesses having signed the Mission Charter as Mission’s friends to businesses and the financial sector taking an active role in accelerating climate adaptation, including feeding knowledge to the Mission Community of Practice on best approaches.

Rationale
Financing is the biggest challenge for regions/local authorities in climate adaptation. Public funds dominate, while private sector involvement remains limited, despite facing major risks and losses from climate impacts. A mindset shift is needed to involve businesses and financial actors in adaptation investment, supported by solid economic rationales and innovative incentives.

Scope & Activities

• Develop methodologies for calculating the economic rationale for adaptation investments:
  • risks/losses from climate change,
  • economic benefits (revenues, avoided costs, lower insurance, social/environmental co-benefits),
  • overall cost–benefit balance.
• Identify and test innovative, non-financial incentives and business models to overcome barriers to private financing.
• 8 case studies in 3 different EU/Associated Countries:
  • solutions in need of financing,
  • full cost–benefit calculation,
  • at least 3 on nature-based adaptation,
  • covering diverse hazards and systems (infrastructure, health, water, land/food, ecosystems).
• Consortia should include private sector and financial actors, committed to continuing investments beyond the project.

SSH & Dissemination

• Strong involvement of Social Sciences and Humanities (SSH) for societal impact and stakeholder engagement.
• Case studies must be presented in an accessible, practical format for private sector uptake.

Mission Integration

• Collaborate with the Mission Implementation Platform, Climate-ADAPT, and Community of Practice.
• Share knowledge, best practices, and contribute to Mission monitoring.
• Build on relevant Horizon Europe, LIFE, and TSI projects/programmes.

1. Admissibility Conditions: Proposal page limit and layout

described in Annex A and Annex E of the Horizon Europe Work Programme General Annexes.

Proposal page limits and layout: described in Part B of the Application Form available in the Submission System.

2. Eligible Countries

described in Annex B of the Work Programme General Annexes.

A number of non-EU/non-Associated Countries that are not automatically eligible for funding have made specific provisions for making funding available for their participants in Horizon Europe projects. See the information in the Horizon Europe Programme Guide.

3. Other Eligible Conditions

described in Annex B of the Work Programme General Annexes.

4. Financial and operational capacity and exclusion

described in Annex C of the Work Programme General Annexes.

5a. Evaluation and award: Award criteria, scoring and thresholds

are described in Annex D of the Work Programme General Annexes.

5b. Evaluation and award: Submission and evaluation processes

are described in Annex F of the Work Programme General Annexes and the Online Manual.

5c. Evaluation and award: Indicative timeline for evaluation and grant agreement

described in Annex F of the Work Programme General Annexes.

6. Legal and financial set-up of the grants

Eligible costs will take the form of a lump sum as defined in the Decision of 7 July 2021 authorising the use of lump sum contributions under the Horizon Europe Programme – the Framework Programme for Research and Innovation (2021-2027) – and in actions under the Research and Training Programme of the European Atomic Energy Community (2021-2025). [[This decision is available on the Funding and Tenders Portal, in the reference documents section for Horizon Europe, under ‘Simplified costs decisions’ or through this link: https://ec.europa.eu/info/funding-tenders/opportunities/docs/2021-2027/horizon/guidance/ls-decision_he_en.pdf]].

described in Annex G of the Work Programme General Annexes.

described in the specific topic of the Work Programme