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Small islands are often portrait as being among the most vulnerable tourism destinations to climate change, particularly to impacts from sea level rise. This raises the question of how, if at all, locally bound tourism stakeholders, such as accommodation suppliers, consider climate change risks and if they already invest in adaptation measures. The nature of the concepts of adaptation and adaptation finance, with a lack of universally accepted metrics for its monitoring, allow a theoretical inquiry if mobilized finance can be labeled being climate finance. Against this background, this study investigates to what extent accommodation owner-managers do recognize climate change in their strategic investment decisions. A survey with 112 respondents and in-depth interviews with 16 interviewees were conducted on Koh Tao, Thailand. The findings reveal that most businesses (private sector) already invest in adaptation, whereas it appears to be a rather reactive (unconscious) form of adaptation. This shows that the private sector has an interest in addressing business risks, including climate change. The accommodation suppliers themself, however, likely do not bother how actions that reduce their business risks in regard to natural hazards are being labeled. The findings also show that adaptation behavior of accommodation suppliers appears to be influenced by power dynamics on Koh Tao. There is a concentration of power among a few families. This can hinder a sustainable and climate risk-informed development pathway and investment decisions of individual accommodation businesses.

Private sector climate change adaptation of accommodation suppliers in the small island of Koh Tao, Thailand