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Climate bill/ Five sectors that require over $8.5 billion in investments

2026-06-19 15:20:00, Ekonomi CNA

Climate bill/ Five sectors that require over $8.5 billion in investments

Urban development, transport, energy, forestry and agriculture will absorb more than $8.5 billion in investments under the National Climate Change Adaptation Plan that has already entered into force, making up the vast majority of the total cost of $9.8 billion that the government has estimated for the next decade.

The document identifies these sectors as the most exposed to climate risks and at the same time as the areas where the greatest investments are required to increase the resilience of the country's economy and infrastructure.

According to the plan, urban development represents the largest financial item. “The total cost of priority measures for the urban development sector is estimated at 2.72 billion USD,” the document states. Forestry ranks next with 2.13 billion USD. “The total cost of priority measures for the forest sector is estimated at 2.13 billion USD,” the plan states. Transport requires investments of 2.04 billion USD.

“The total cost of priority measures for the transport sector is estimated at 2.04 billion USD,” according to the document. Meanwhile, the energy sector is expected to require 1.96 billion USD in financing. “The total cost of priority measures is estimated at 1.96 billion USD,” it says for energy. Agriculture, one of the sectors most sensitive to climate change, is estimated to need 678 million USD in investment. “The total cost of priority measures is estimated at 678 million USD,” the plan says.

The document argues that urban investments are linked to increased risk from floods, extreme temperatures and pressure on existing infrastructure. “Integrating climate considerations into urban and territorial planning is essential to reduce vulnerability,” the document says. For the transport sector, the plan identifies direct exposure of roads, bridges and other public assets to extreme weather phenomena. “Transport infrastructure is exposed to floods and other extreme climate events,” the plan says. In energy, the main concern is related to the system’s dependence on hydropower. “High dependence on hydropower production increases exposure to droughts and changes in the hydrological regime,” the document says.

The plan warns that climate change could pose a risk to the country’s energy security. “Climate change poses risks to energy security,” the plan says. In the rural sector, the document identifies agriculture as one of the most exposed economic activities. “Agriculture is among the sectors most sensitive to climate change,” the document says.

The plan also highlights that smallholder farmers face greater risks from droughts, high temperatures and fluctuations in rainfall. “Smallholder farmers are considered particularly vulnerable,” the plan says. For forests, the document highlights the increasing risk from ecosystem degradation and extreme climate events. “Forest ecosystems face increasing risks from climate change,” the document says.

The government argues that these investments aim to increase the resilience or sustainability of strategic sectors and limit climate-related economic losses. “Adaptation measures aim to reduce the vulnerability of critical sectors,” the plan states. /Monitor





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