The Stern Review estimates that confronting climate change will cost about 1 percent of gross world product. Financing mitigation and adaptation will require additional investment, as well as a redirection of existing capital flows. This should included increased assistance to developing nations to promote clean energy technologies and greater energy efficiency.
7.1 Net North-South Flows: The net public and private resource flows from all developed countries to developing countries (including loans) amounted to about US$ 280 billion in 2005, increasing from about $150 billion in 2004 (see Figure 3 below). The increase came mainly because of an increase in private flows, which besides being fickle are concentrated in just a few countries. Development Assistance (ODA) amounted to just 0.25% of gross national income in 2005 (see Figure 4 below).
Figure 3: Total net flows by type of flow
7.2 Energy-Related North-South Flows: Most of the resources for energy development (~60%) are raised locally within developing countries. Energy-related flows (see Table 2 below) have averaged about $7 billion a year between 1997 and 2005. This amount contrasts with a need of ~$300 billion a year in developing and transition economies, as estimated by the IEA. According to the World Bank, this sum of $300 billion would need to be augmented by $34 billion a year to support “green” energy development. The Stern Review similarly estimates the incremental amount at ~$20-30 billion per year. Some of these funds could also finance the transfer of technology.
Table 3 makes an attempt to summarize the order of magnitude numbers for the activities that require both a re-direction of existing flows and additional flows. The sum is a manageable amount, as the Stern Review suggested, but by no means insignificant.
Questions for GLCA:
-What are the prospects for a new global fund for mitigation and adaptation to climate change, such as the International Finance Facility (IFF)?
-How should incentives be designed for increasing private sector investments?
Table 3: Categories of expenditures required for an effective global response to
Wildlife thriving around Chernobyl nuclear plant despite radiation
Guardian: Wildlife is abundant around the site of the Chernobyl nuclear plant, despite the presence of radiation released by the world?s most catastrophic nuclear explosion nearly three decades ago, researchers have found.
The number of elk, deer and wild boar within the Belarusian half of the Chernobyl exclusion zone today are around the same as those in four nearby uncontaminated nature reserves.
Wolves, which are commonly hunted in the region because of their impact on livestock, were seven times...
Confusing government policy biggest threat to UK clean energy, says top academic
Guardian: The biggest threat to renewable energy in the UK, and the country?s energy systems, comes from a lack of clarity on the part of government, a leading academic has said.
Rob Gross, director of the centre for energy policy at Imperial College London, said on Monday: ?[There is a] lack of clarity over what they want people to do. This lack of clarity is erasing investment in everything. With more clarity, you would get more investment.?
Under the ?political machinations? of the previous coalition...
Germany offers India ?2 billion in solar, clean energy funds
Climate Home: Germany will deliver EUR2 billion (US$2.2 bn) to India in a deal aimed to boost solar energy and green developments across the country, the countries revealed on Monday.
According to a joint statement, EUR1 billion has been offered over five years to help India meet a goal of deploying 100 gigawatts of solar by 2022.
A further billion will go towards "green energy corridors" linking major cities, and boosting electricity access in rural areas.
India prime minister Narendra Modi said he had...
Is Climate Change Risk a Consideration in Your Portfolio?
Nasdaq: What should we fear most? 'Events dear boy, events,' was British Prime Minister Harold Macmillan's answer. This rings true when surveying the VW debacle . The company's cheating on emissions tests has instantly crashed its reputation and, to some extent, that of an industry and entire country. Investors have been reminded that risk and opportunity are, by definition, uncertain. Climate change risks stretch beyond the familiar areas of utilities and fossil fuel producers. Cutting corners to avoid...
Jeb Bush?s energy plan
Washington Post: JEB BUSH laid out an energy plan last week that hardly addresses climate change. Given what passes for climate debate in the Republican Party, maybe we should be grateful that Mr. Bush didn?t use the rollout to indulge in climate know-nothingism. By any reasonable measure, however, it?s breathtakingly irresponsible: Mr. Bush?s plan is silent on one of the country?s greatest challenges.
Mr. Bush?s plan starts sensibly. Pushing back against the excesses of environmental activists, he proposes lifting...
South Carolina Braces for More Flooding as Rain Persists
New York Times: South Carolina emergency officials warned that flooding would continue Monday in ?more than half? of the state, as rescue crews continued to extricate residents from inundated neighborhoods. Many other residents navigated a state in disarray, with broken waterlines, impassable roads and thousands of power failures. An unrelenting storm system partly fed by moisture from Hurricane Joaquin has been pounding the state since Thursday. Gov. Nikki R. Haley on Sunday called the resultant flooding ?an incident...
UN publishes draft slimmed-down Paris climate change deal
Guardian: A new draft of the potential global agreement on climate change, to be negotiated this December in Paris, has been published by the United Nations.
The text is a crucial step forward for the talks, as previous versions of the draft were judged to be too long and unwieldy for negotiators to grapple with in time for the December deadline.
Governments are meeting in Paris to forge a new global agreement on the climate, including cuts to greenhouse gas emissions, that will take effect from 2020,...
Emissions targets out of reach without massive technological shift in Europe's basic industries
ScienceDaily: The targets for lower emissions of carbon dioxide from Europe's basic industries are out of reach, without urgent introduction of innovative carbon dioxide mitigation technologies. Researchers at Chalmers University of Technology draw this conclusion after several years of research into carbon-intensive industry in Europe. "There is an urgent need to demonstrate and implement carbon capture and storage, CCS, and other carbon dioxide mitigation technologies," says Johan Rootzén, who recently presented...