Partner Under PREPARE to Invest in Climate Adaptation
President’s Emergency Plan for Adaptation and Resilience (PREPARE)
PREPARE is actively facilitating investment from the private sector to advance adaptation and resilience in climate-vulnerable partner countries. Opportunities for companies, asset managers, and other private sector actors to participate include:
- Financing through the PREPARE Adaptation Finance Window
- Corporate Action through the PREPARE Call to Action to the Private Sector
- Climate Adaptation and Resilience Industry Roundtables & Expos
- U.S. Government Support for Feasibility Studies
- Showcases for U.S.-based Adaptation Technology for International Buyers
Pursue Financing through the PREPARE Adaptation Finance Window
Lead Agencies:
- USAID
- Office of the Special Presidential Envoy for Climate
- U.S. Development Finance Corporation
PREPARE is supporting opportunities to de-risk investments by providing a single access point for companies and funds with adaptation solutions operating in developing countries to be considered for catalytic grants, guarantees, debt and equity. As part of this work, PREPARE is increasing the pipeline of adaptation and climate-resilient projects by improving deal flow consistency, and commercial engagement, and mobilizing philanthropic giving for catalytic grants.
As the flagship finance initiative under PREPARE, USAID and the State Department, in collaboration with the U.S. Development Finance Corporation (DFC), have opened an Adaptation Finance Window under the Climate Finance for Development Accelerator (CFDA). Given the significant barriers to private sector investment in adaptation, the Adaptation Finance Window aims to de-risk the development and scaling of companies and investment vehicles that mobilize private finance for climate adaptation. Grants and guarantees awarded through the Adaptation Finance Window will support innovative products, projects, and funds that address climate adaptation priorities in the emerging and frontier markets where USAID works. Furthermore, the DFC will review the applications received and consider them for investment against its standards for support.
To receive updates and partnership opportunities regarding the Adaptation Finance Window, please join the Climate Finance Investment Network (CFIN) or reach out to CFDA at info@CFDAccelerator.com. Companies and funds interested to learn more about DFC financing for adaptation can contact climate@dfc.gov for more information.
Showcase Corporate Actions on Adaptation through the PREPARE Call to Action to the Private Sector
Lead Agencies:
- USAID
- Department of State
PREPARE is promoting the innovation and deployment of adaptation technologies, services, and finance instruments at scale, including to support resilient infrastructure, water, health, and food security.
Secretary Kerry and Administrator Power launched the PREPARE Call to Action to the Private Sector at COP27 with 10 founding companies. The PREPARE Call to Action invites businesses to make new, significant commitments to building climate resilience around the world. In one year, those voluntary corporate actions in support of the objectives of PREPARE are estimated to have mobilized more than $610 million and supported more than 9.3 million people in Africa, the Middle East, and Latin America to better manage the impacts of climate change. Commitments responding to this Call to Action include expansions of climate information and early warning systems, introduction of new financial products and services, innovations for climate-smart food systems, and paradigm-shifting insurance solutions.
Since then, 31 companies and partners have responded to this Call to Action on adaptation since its launch. The 26 new commitments come from Aon, Arup, Boston Consulting Group, Blue Marble, Danone, Howden Group, IBM, Jupiter Intelligence, Milliman, Miyamoto International, Synoptic Data, Tomorrow.io, Visa, Xylem, as well as McCormick and Pula that joined during Vice President Harris’ visit to Africa in 2023. Partners joining this effort include ClimateWorks Foundation, Global Adaptation and Resilience Investment (GARI) Working Group, Lightsmith Group, MSCI Sustainability Institute, and Bezos Earth Fund. The founding companies of the PREPARE Call to Action from COP27 are Google, Gro Intelligence, Mastercard, Marsh McLennan, Meta, Microsoft, Pegasus Capital Advisors, PepsiCo., SAP, and WTW (formerly Willis Towers Watson).
Learn more about the PREPARE Call to Action here.
Deploy Adaptation Technology, Goods, and Services Competitively through Climate Adaptation and Resilience Industry Roundtables & Expos
Lead Agencies:
- Department of Commerce
PREPARE is supporting U.S. exporters in deploying adaptation-related technologies and services to meet the needs of markets in partner countries.
In November 2023, the Department of Commerce’s International Trade Administration held a Climate Adaptation and Resilience Industry Roundtable to solicit feedback from U.S. industry on how ITA and the U.S. government can strengthen U.S. export competitiveness of goods and services that address climate adaptation and resilience. The roundtable built upon industry feedback received through the climate adaptation Request for Information (RFI) that ITA and USTDA published in the Federal Register from May 2 – July 28, 2023. Nineteen industry representatives participated in the roundtable, representing a wide range of industry sectors including weather monitoring and forecasting, disaster resilience, financial services, resilient infrastructure, standards, energy resilience, consulting services, and water and wastewater treatment.
In follow-up to the roundtable and RFI, ITA is supporting the U.S. climate adaptation and resilience industry through organizing trade promotion activities, promoting U.S. standards with international partners, and providing market intelligence and analytical resources to identify promising market opportunities for U.S. companies. U.S. companies can find more information on ITA’s services for U.S. exporters here.
Apply for U.S. Government Support for Feasibility Studies
Lead Agencies:
- U.S. Trade and Development Agency
- U.S. Export-Import Bank
PREPARE is enhancing the commercial bankability of adaptation and climate-resilient projects in infrastructure (including urban and natural), water, health, and food security by scaling investment in project preparation including feasibility studies and market assessments.
U.S. Trade and Development Agency (USTDA)
USTDA is the U.S. government’s overseas project preparation agency. The Agency provides grant-based funding for feasibility studies, technical assistance and pilot projects that support the development of public and private sector-led sustainable infrastructure in lower- and middle-income countries. USTDA’s project preparation assistance can be designed to address the lending requirements of any financial institution. The Agency works alongside U.S. industry to deploy innovative technology and high-quality solutions to the projects it supports, resulting in sustainable infrastructure overseas and exports that support U.S. jobs. Recent adaptation and climate-resilient infrastructure projects include:
- Jamaica: A USTDA project preparation grant to Jamaica’s Ministry of Science, Energy and Technology is advancing the development of a unified national emergency communications system. The assistance will help strengthen emergency response for climate-related disasters such as severe storms and hurricanes; upgrade IT infrastructure and telecommunications networks; and establish a single 9-1-1 emergency number and unified emergency response system for the entire country. U.S. companies are well-placed to provide many of the associated technologies and services.
- El Salvador: A USTDA project preparation grant to El Salvador’s National Administration of Aqueducts and Sewers (ANDA) will provide recommendations for energy efficiency and renewable energy solutions to enhance the resilience and efficiency of El Salvador’s water infrastructure. This will help El Salvador manage the increased variability in water supply resulting from climate change and improve system reliability in the case of extreme weather conditions. U.S. companies are well positioned to implement the energy efficiency projects that are expected to result from this assistance.
USTDA accepts sole-source proposals from qualifying U.S. businesses that have partnered with eligible overseas projects sponsors. For more information on working with USTDA, please visit: https://www.ustda.gov/work/.
U.S. Export-Import Bank (EXIM)
EXIM’s Engineering Multiplier Program (EMP) finances feasibility studies and pre-construction design, engineering, architectural, and environmental services that are undertaken before commencement of the construction phase of a project. The EMP is designed to turn pre-construction services exports from the United States into subsequent export orders for U.S. equipment and construction services. Should the foreign buyer ultimately procure U.S. equipment or construction services financed by EXIM for project implementation, the buyer can elect to refinance the EMP loan in EXIM’s subsequent financing of the project. For adaptation projects, EXIM can lend or guarantee financing with repayment terms of up to 22 years and sculpt repayment profile to better meet the buyer’s needs (e.g., by offering a three-year, interest-only grace period at the start of the repayment term, by permitting seasonally weighted repayments).
Additionally, EXIM can support costs of goods and services supplied from the buyer’s country (i.e., local costs) that are needed to fulfill the export contract. In lower income countries, EXIM can support local costs of up to 50% of the net export contract value. For additional information regarding EXIM’s EMP program and the new flexibilities for climate projects, contact Benjamin Todd at benjamin.todd@exim.gov.
Showcase U.S.-based Adaptation Technology for International Buyers
Lead Agencies:
- U.S. Trade and Development Agency
- Department of Commerce
In October and November 2023, USTDA sponsored U.S.-Africa Climate Innovation Week, which was announced during Vice President Harris’ trip to Africa earlier that year. The event brought delegates from 13 African countries to the United States to learn about state-of-the-art U.S. climate adaptation solutions. Half the delegation visited Southern California to learn about solutions for water management, and the other half visited Louisiana to learn about U.S. technologies and best practices in early warning and disaster response systems.
In March 2024, Department of Commerce’s ITA will recruit international buyer delegations to Disaster Expo Miami to connect with U.S. companies providing disaster emergency response solutions. ITA also facilitates a Made in America Virtual Showcase series that connects international buyers to U.S. climate solutions to strengthen capacity of individuals, communities, assets, and systems to withstand current and expected climate shocks or stressors, such as earthquakes, wildfires, and floods. ITA will host the next webinar of this series, titled “Innovative U.S. Emergency and Flood Technology showcase” for the Canadian market in February 2024. To learn more, please contact Tony Sargis (anthony.sargis@trade.gov).
For More Information
Climate Adaptation
Climate Change
