A new report from the Canadian Climate Institute says that without further efforts to adapt to a changing climate, Canadians will have lower incomes and will have to choose between raising taxes or reducing government services. I am warning you.
But a report released Wednesday said the economic impact of climate change could be reduced by 75% if the government and private sector join forces and start investing to make Canada more resilient to extreme weather impacts. It is possible.
“The good news is that we have the ability to change this future,” said Ryan Ness, director of adaptation research at the Climate Institute.
In its analysis, called Damage Control, the Institute looks at projected economic growth and the impact of different scenarios based on how much greenhouse gas emissions are reduced and what we do to prepare for more frequent severe weather. was analyzed.
The worst news is that, in all scenarios, Canada’s climate is already changing and more severe weather is already hitting us with droughts, wildfires, floods and damaging storms.
In 2021, severe weather caused $2.1 billion in insured losses. This does not include costs related to public infrastructure or uninsured private losses.
Analyzes show that regardless of how much Canada and the rest of the world are committed to reducing emissions, Canada already expects annual disaster recovery costs of $5 billion by 2025 and $17 billion by 2050. It is estimated that there are
It says the income tax will need to rise by 0.35% in 2025 from today and by 1% by 2050 to prevent loss of government services, including health care and education.
“The negative economic impacts are not just a prospect for the future; they are already happening today,” Ness said.
Last week, the Canadian Atlantic was hit by the worst hurricane we’ve ever seen. Parts of Ontario and Canadians in western Quebec are recovering after derecho, which hit the region with multiple tornadoes and downbursts, bringing winds of 190 km/h. May.
In addition to rising rebuilding costs, Canada is also facing massive economic disruption, with factory closures and supply chain disruptions during storms and heat waves. Railroads and highways can fail earlier than expected under extreme weather stress.
The construction industry will boost the economy, but only because damaged structures and transportation routes need to be repaired and replaced, the report said.
If nothing more is done to anticipate and adapt to more severe weather, the economy will suffer a $25 billion hit in 2025, rising from $78 billion to $101 billion by 2050.
The impact will be felt across the board, including reduced income, lost jobs, reduced business investment, and reduced exports.
But if all efforts are made to curb greenhouse gas emissions and curb global warming, and Canada makes the necessary investments to add resilience to its public and private infrastructure, the report says, Things will get better.
The report finds that for every $1 invested in adaptation, governments and businesses can save $5-6 in direct damage costs, and an additional $6-6 in economic benefits such as avoiding work stoppages and lost productivity. Suggests $10 savings.
Adaptations include installing seawalls, heat-resistant asphalt, or upgrading or burying critical power lines to protect low-lying communities.
“It is economically far more efficient to spend money upfront to improve infrastructure and make it more resilient than to repair it when climate change destroys it,” said Ness. increase.
The Institute says governments should incorporate the costs of climate change into all economic decisions. This includes reporting on the estimated costs of not making planned investments.
We also need to encourage, and even mandate, the private sector to do the same.
And most importantly, the institute says, investment in adaptation needs to be scaled up to meet the risks we face.
Ness said the National Adaptation Strategy, which is expected from the federal government this fall, is a good place to start, but said the strategy will only work if it involves major new investments and actions. I was.
—Mia Labson, Canadian Press
climate change federal politics
Rapid adaptation to climate change could save Canada billions, new analysis says
Source link Rapid adaptation to climate change could save Canada billions, new analysis says