It is becoming increasingly clear that despite all the mitigation efforts, the concentration of greenhouse gases will remain high for a long period of time. In this context the development of a proper adaptive capacity is a fundamental task to ensure that future generations will be able to cope with the new climatic conditions. One of the most important determinants of this adaptive capacity is the existence of adequate institutions. Their role in the development and strengthening of adaptive capacity is paramount. Strong and well organized institutions can support adaptation activities and reduce undue hardship and intolerable risk. The paper focuses on the potential contribution of governance institutions to address the challenges of climate change. Using the cases of Chile and Canada the paper discusses how different architectures of governance in the area of water resources could contribute to foster the development of a strong adaptive capacity in arid areas in Canada and Chile