US$75-US$100 BILLION A YEAR TO ADAPT TO CLIMATE CHANGE

By D. Arul Rajoo

BANGKOK, Sept 30 (Bernama) -- It will cost developing countries between
US$75 billion and US$100 billion a year to adapt to climate change for the next
40 years, a new World Bank study reveals.

The Economics of Adaptation to Climate Change (EACC) study showed that under
the relatively dryer scenario, the adaptation cost is estimated at US$75 billion
per year, while under the scenario that assumes a future wetter climate, the
cost is US$100 billion.

In the draft consultation document, released at the ongoing new climate
change treaty talk here, is a key part of the overall analysis involved in
estimating the adaptation costs for major economic sectors under two alternative
climate scenarios.

"Roughly the costs of adapting to a two-degree Celsius warmer world are of
the same order of magnitude as current overseas development assistance," said
Katherine Sierra, World Bank Vice President for Sustainable Development.

Faced with the prospect of huge additional infrastructure costs, as well as
drought, disease and dramatic reductions in agricultural productivity,
developing countries needed to be prepared for the potential consequences of
unchecked climate change, World Bank said.

"In this respect, access to necessary financing will be critical," the study
showed.


Funded by the governments of Holland, Switzerland and Britain, the study is
the most in-depth analysis of the economics of adaptation to climate change to
date and uses a new methodology for assessing these costs.

The new approach involves comparing a future world without climate change
with a future world with climate change, as well as actions and costs needed to
adapt to these new world conditions.

According to the report, the highest cost would be borne by the East Asia
and Pacific region, followed closely by Latin America and the Caribbean, and
sub-Saharan Africa.

The drier scenario requires lower adaptation costs in total in all regions,
except in South Asia.

Warren Evans, Director of the World Bank's Environment Department, said
economic growth was the most powerful form of adaptation.

"However, it cannot be business as usual. Adaptation minimises the impacts
of climate change, but it does not address its causes. There is no substitute
for mitigation to reduce catastrophic risks," he said.

-- BERNAMA