
The report, titled “Shaping Climate-Resilient Development”, offers a comprehensive and replicable methodology to determine the risks that climate change imposes on economies. It provides a set of tools for decision makers to adopt a tailored approach for estimating these costs based on local climate conditions, and for building more resilient economies. These tools do not include estimates or measures for emissions reduction, which would need to be examined separately.
By determining a location’s total climate risk – calculated by combining existing climate risks, climate change and the value of future economic development – and using a cost-benefit analysis to create a list of location specific measures to adapt to the identified risk, the Working Group was able to evaluate current and potential costs of climate change and how to prevent them. The methodology was tested in localities within eight different countries (China, United States, Guyana, Mali, United Kingdom, Samoa, India, and Tanzania), which together represent a wide range of climate hazards, economic impacts, and development stages.
…Overall findings from the eight case studies showed that easily identifiable and cost effective measures – such as improved drainage, sea barriers, and improved building regulations, among many others - could reduce potential economic losses from climate change for all regions. In fact, most could deliver economic benefits that far outweigh their costs – with adaptation measures that on average cost less than 50 percent of the economic loss avoided….
Hurricane Katrina damage in Gulfport, Mississippi, FEMA
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