Orçamento climático subnacional: estado do Rio Grande do Sul

Abstract

The year 2024 was challenging for the state of Rio Grande do Sul due to the floods caused by heavy rains in late April and early May, which affected 478 of the state’s 497 municipalities. The economic losses in Rio Grande do Sul had a significant impact on the productive sector and the labor market and, above all, on the public budget, with substantial emergency spending related to the event. In this context, the strategic role of the state public budget in building response, adaptation, and resilience capacities in the face of climate events is evident. Rio Grande do Sul’s settled climate-related expenditures in 2024 totaled R$ 5.5 billion, an amount equivalent to 0.78% of the state’s GDP. This figure represents 7.44% of the total settled budget for the fiscal year. It should be noted that this percentage was influenced by extraordinary expenditures associated with the floods and should not necessarily be interpreted as a structural pattern of state climate policy. In this regard, analyses covering a longer time frame are necessary for a more robust assessment. Given the trend toward increased frequency and intensity of extreme weather events, it is recommended to expand preventive climate adaptation expenditures in order to reduce the damage associated with these events and, consequently, the need for emergency response spending.