Incorporating Catastrophes into Integrated Assessment: Science, Impacts, and Adaptation

Incorporating potential catastrophic consequences into integrated assessment models of climate change has been a top priority of policymakers and modelers alike. We review the current state of scientific understanding regarding three frequently mentioned geophysical catastrophes, with a view toward their implications for integrated assessment modeling. This review finds inadequacies in widespread model assumptions regarding the nature of catastrophes themselves and climate change impacts more generally. The possibility of greatly postponed consequences from near- and medium-term actions suggests that standard discounting practices are inappropriate for the analysis of climate catastrophe. Careful consideration of paleoclimate and geophysical modeling evidence regarding the possibility of changes in ocean circulation suggests a reframing of the source of climate change damages in economic models, placing changes in climate predictability, rather than gradual changes in mean values, at the focus of economic damage assessments. The implications of decreases in predictability for the modeling of adaptation are further discussed.     

Water Resources Planning and Climate Change Assessment Methods

This paper, which provides background for other papers in the volume, first reviews the nature and development of water resources planning and evaluation criteria at the Federal level in the United States. These criteria constitute a highly developed, complex set of guidelines for project planning and evaluation. The level of development of these criteria and their long historical development from theoretical foundations must be taken into account in relating global climate change to possible changes in planning criteria. Second, the essentials of water project planning and evaluation, including benefit-cost principles and more complex concepts of social decision-making, are outlined. Third, the paper provides an overview of global climate change assessment methods, including impact assessment and integrated assessment. Impact assessment uses a relatively straightforward comparison of with and without situations; integrated assessment attempts to improve on impact assessment by developing more complex models that incorporate a range of feedbacks and interrelationships.     

Climate change and sustainable development: towards dialogue

The consequences of climate change and sustainable development remaining as separate discourses are explored, both in general and in the Canadian context. One of these consequences is the difference in emission and economic development scenarios generated by the two groups. A second is that strategies to reduce greenhouse gas emissions are designed and assessed in a narrow technical context, divorced from the economic and social forces that underlie them. We identify the need for climate change and sustainable development to be represented in a more explicit manner in each other's research agendas, and for integrated assessment of climate change to incorporate alternative methodologies that complement global scale integrated assessment models. These methodologies should include greater involvement of stakeholders as partners with researchers in a shared learning experience.     

Integrating tipping points into climate impact assessments

There is currently a huge gulf between natural scientists’ understanding of climate tipping points and economists’ representations of climate catastrophes in integrated assessment models (IAMs). In particular, there are multiple potential tipping points and they are not all low-probability events; at least one has a significant probability of being passed this century under mid-range (2–4 °C) global warming, and they cannot all be ruled out at low (<2 °C) warming. In contrast, the dominant framing of climate catastrophes in IAMs, and in critiques of them, is that they are associated with high (> 4 °C) or very high (> 8 °C) global warming. This discrepancy could qualitatively alter the predictions of IAMs, including estimates of the social cost of carbon. To address this discrepancy and assess the economic impact of crossing different climate tipping points, we highlight a list of scientific points that should be considered, at least in a stylised form, in simplified IAMs. For nine different tipping events, the range of expected physical climate impacts is summarised and some suggestions are made for how they may translate into socio-economic impacts on particular sectors or regions. We also consider how passing climate tipping points could affect economic growth.     

全球及中国区域气候变化预估研究主要进展简述

自IPCC评估报告发表以来,气候模式对未来气候变化的预估成为人们重视的问题。因此,本文回顾了IPCC前4次报告对全球未来气候变化预估的主要结论,并对全球及区域气候模式对中国地区的模拟和预估结果进行了分类总结,得出区域气候模式由于分辨率更高、对特殊地形的模拟能力更强,因此比全球气候模式的模拟和预估结果更准确;同时讨论了目前存在的问题及今后研究的方向。     

Climate change impacts: accounting for the human response

The assessment of potential impacts of climate change is progressing from taxonomies and enumeration of the magnitude of potential direct effects on individuals, societies, species, and ecosystems according to a limited number of metrics toward a more integrated approach that also encompasses the vast range of human response to experience and risk. Recent advances are both conceptual and methodological, and include analysis of some consequences of climate change that were heretofore intractable. In this article, I review a selection of these developments and represent them through a handful of illustrative cases. A key characteristic of the emerging areas of interest is a focus on understanding how human responses to direct impacts of climate change may cause important indirect and sometimes distant impacts. This realization underscores the need to develop integrated approaches for assessing and modeling impacts in an evolving socioeconomic and policy context.     

Insuring future climate catastrophes

The combined influences of a change in climate patterns and the increased concentration of property and economic activity in hazard-prone areas has the potential of restricting the availability and affordability of insurance. This paper evaluates the premiums that private insurers are likely to charge and their ability to cover residential losses against hurricane risk in Florida as a function of (a) recent projections on future hurricane activity in 2020 and 2040; (b) insurance market conditions (i.e., soft or hard market); (c) the availability of reinsurance; and (d) the adoption of adaptation measures (i.e., implementation of physical risk reduction measures to reduce wind damage to the structure and buildings). We find that uncertainties in climate projections translate into a divergent picture for insurance in Florida. Under dynamic climate models, the total price of insurance for Florida (assuming constant exposure) could increase significantly by 2040, from $12.9 billion (in 1990) to $14.2 billion, under hard market conditions. Under lower bound projections, premiums could decline to $9.4 billion by 2040. Taking a broader range of climate change scenarios, including several statistical ones, prices could be between $4.7 and $32.1 billion by 2040. The upper end of this range suggests that insurance could be unaffordable for many people in Florida. The adoption of most recent building codes for all residences in the state could reduce by nearly half the expected price of insurance so that even under high climate change scenarios, insurance premiums would be lower than under the 1990 baseline climate scenario. Under a full adaptation scenario, if insurers can obtain reinsurance, they will be able to cover 100 % of the loss if they allocated 10 % of their surplus to cover a 100-year return hurricane, and 63 % and 55 % of losses from a 250-year hurricane in 2020 and 2040. Property-level adaptation and the maintenance of strong and competitive reinsurance markets will thus be essential to maintain the affordability and availability of insurance in the new era of catastrophe risk.     

Framework for integrated assessments of global warming impacts

This paper provides a framework for integrated assessment of the impacts of climate change on natural resources and sets the stage for papers that follow in this volume. Integrated assessments are used to organize large quantities of technical information bearing on complex issues (environmental and others) in ways that facilitate application of the information in decision making and policy setting. Any integrated assessment must be based on the best available information. For that reason this paper includes a ‘primer’ on the current (and presumably best available) understanding of the science underlying climatic change. The remainder of the paper describes the component parts of one possible framework for integrated assessment.     

The economic impact of extreme sea-level rise: Ice sheet vulnerability and the social cost of carbon dioxide

The possibility of extreme sea-level rise is one of the commonly cited reasons for concern about climate change. Major increases in sea level would likely be driven by the melting or collapse of major ice sheets. This possibility has implications for the social cost of carbon dioxide, which is a key policy value as well as a useful summary measure of damage caused by greenhouse gas emissions.This paper extends earlier work on the importance of low-probability, high-impact events for the social cost of carbon dioxide to incorporate the possibility of extreme sea-level rise.To estimate its impact, an integrated assessment model is used, which allows a probabilistic assessment of climate change damages based on the linkages between the economic and climate systems. In the model, the generic discontinuity damage is replaced with the possibility of large-scale damage from factors that are taken to be correlated with temperature rise and, crucially for this paper, explicit consideration of extreme sea-level rise.Estimates of the amount of increase in the social cost of carbon dioxide that can be expected from incorporating extreme sea-level rise show that the increase is significant, though not especially large in percentage terms.The paper contributes to the literature of how to represent uncertain climate impacts in integrated assessment models and the associated estimation of the social cost of carbon dioxide.     

Why is risk aversion unaccounted for in environmental policy evaluations?

U.S. environmental regulations are increasingly influenced by cost-benefit analyses that are performed based on the guidance of the Office of Management and Budget (OMB). The OMB’s Circular A-4 directs Federal agencies to assume “risk neutrality” in conducting regulatory analysis, and in important instances, this guidance is not supported by economic theory. Risk neutrality is computationally convenient, and it can be justified when only the costs and benefits of regulations themselves are uncertain, because these risks are spread across a large population. However, the Circular A-4 does not distinguish between regulations that cause uncertainty and those that reduce pre-existing (i.e. baseline) uncertainty, such as the potential for catastrophic climate change. Basic economic theory shows that risk aversion should be incorporated into evaluations of policies that reduce pre-existing environmental uncertainty. Regulatory analyses generally ignore these risk-reduction benefits, leading to misinformed policymaking. Quantifying risk premiums is difficult and controversial, but no more so than discounting future costs and benefits to present value terms. Similar to how OMB has established discount rates for use in regulatory analyses, a method for when and how to incorporate risk aversion into policy evaluations should replace the blanket guidance for risk neutrality.     

对基于土地应对气候变化的新认知

2019年8月7日IPCC《气候变化与土地特别报告》决策者摘要获得通过,报告涉及对基于土地应对气候变化不同措施的评估,取得一些新的认知,包括定量评估基于土地的40种综合措施对提高气候变化减缓和适应能力、防治荒漠化和土地退化、增强粮食安全、保护生物多样性和水资源及促进可持续发展的效益,提出在防治荒漠化和土地退化及保障粮食安全过程中提高气候变化适应和减缓能力的措施,评估了实施不同措施的风险、限制、障碍和保障政策等。在措施的分类、气候变化适应的主体对象,以及风险和政策分析等方面还存在一些不足。评估报告结论将对我国建立基于土地的应对气候变化的对策,促进把应对气候变化与防治荒漠化和土地退化、保护生态环境与增强粮食安全工作结合,制定相关政策等方面都具有重要的启示意义。     

可计算一般均衡框架下的气候变化经济影响综合评估

气候变化是21世纪人类面临的重大挑战之一,并对自然系统和社会经济系统造成了各种负面影响。对气候变化的影响进行经济评估是气候变化研究中的重要问题。而可计算一般均衡框架下的综合评估模型（CGE_IAMs）是评估气候变化经济影响的有效手段之一,文中对气候变化影响经济评估的主要CGE_IAMs进行了文献调研,并对这些模型进行了比较分析。研究表明不同模型在温室气体排放、气候参数的处理方式以及气候影响的引入机制等方面有着较大区别,因而各模型对气候变化影响的经济评估结果也有一定的差异。此外,当前CGE_IAMs在评估气候变化经济影响时存在支撑数据未及时更新、方法不细致以及评估不全面等问题。未来该领域的相关研究应该更加关注于模型与支撑数据的精细化和开源化,此外还应加强CGE_IAMs中经济模块与复杂气候模式的耦合。     

Facilitating adaptation of biodiversity to climate change: a conceptual framework applied to the world’s largest Mediterranean-climate woodland

The importance of ecological management for reducing the vulnerability of biodiversity to climate change is increasingly recognized, yet frameworks to facilitate a structured approach to climate adaptation management are lacking. We developed a conceptual framework that can guide identification of climate change impacts and adaptive management options in a given region or biome. The framework focuses on potential points of early climate change impact, and organizes these along two main axes. First, it recognizes that climate change can act at a range of ecological scales. Secondly, it emphasizes that outcomes are dependent on two potentially interacting and countervailing forces: (1) changes to environmental parameters and ecological processes brought about by climate change, and (2) responses of component systems as determined by attributes of resistance and resilience. Through this structure, the framework draws together a broad range of ecological concepts, with a novel emphasis on attributes of resistance and resilience that can temper the response of species, ecosystems and landscapes to climate change. We applied the framework to the world’s largest remaining Mediterranean-climate woodland, the ‘Great Western Woodlands’ of south-western Australia. In this relatively intact region, maintaining inherent resistance and resilience by preventing anthropogenic degradation is of highest priority and lowest risk. Limited, higher risk options such as fire management, protection of refugia and translocation of adaptive genes may be justifiable under more extreme change, hence our capacity to predict the extent of change strongly impinges on such management decisions. These conclusions may contrast with similar analyses in degraded landscapes, where natural integrity is already compromised, and existing investment in restoration may facilitate experimentation with higher risk?options.     

IPCC AR6 WGI报告的背景、 架构和方法

IPCC第六次评估报告(AR6)第一工作组报告(简称报告)中提供了对气候系统和气候变化的最新物理解释,整合了来自古气候和仪器观测的多项证据、过程理解以及全球和区域的气候模拟,记录了气候科学的最新进展.报告旨在提供有关过去气候如何变化的事实,揭示人类活动在这些变化中所起的作用,并根据不同社会经济路径的排放情景对未来气候进...     

Perceptions and responses to climate policy risks among California farmers

This paper considers how farmers perceive and respond to climate change policy risks, and suggests that understanding these risk responses is as important as understanding responses to biophysical climate change impacts. Based on a survey of 162 farmers in California, we test three hypotheses regarding climate policy risk: (1) that perceived climate change risks will have a direct impact on farmer's responses to climate policy risks, (2) that previous climate change experiences will influence farmer's climate change perceptions and climate policy risk responses, and (3) that past experiences with environmental policies will more strongly affect a farmer's climate change beliefs, risks, and climate policy risk responses. Using a structural equation model we find support for all three hypotheses and furthermore show that farmers’ negative past policy experiences do not make them less likely to respond to climate policy risks through participation in a government incentive program. We discuss how future research and climate policies can be structured to garner greater agricultural participation. This work highlights that understanding climate policy risk responses and other social, economic and policy perspectives is a vital component of understanding climate change beliefs, risks and behaviors and should be more thoroughly considered in future work.     

Climate Impact Response Functions as Impact Tools in the Tolerable Windows Approach

A critical issue for policymakers in defining mitigationstrategies for climate change is the availability ofappropriate evaluation tools. The development of climate impactresponse functions (CIRFs) is our reaction to this challenge.CIRFs depict the response of selected climate-sensitive impactsectors across a wide range of plausible futures. They consist ofa limited number of climate-change-related dimensions andsensitivities of sector-specific impact models. The concept ofCIRFs is defined and the procedure to develop them is presented.The use of climate change scenarios derived from various GCMexperiments and the adopted impact assessment models areexplained.The CIRFs presented here consider climate change impacts onnatural vegetation, crop production, and water availability. Theyare part of the ICLIPS integrated assessment framework based onthe tolerable windows approach. CIRFs can be applied both in`forward' and in `inverse' mode. In the latter, they help totranslate thresholds for climate impacts perceived by stakeholders(so-called impact guardrails) into constraints for climatevariables (so-called climate windows). This enables the results ofdetailed impact models to be incorporated into intertemporallyoptimizing integrated assessment models, such as the ICLIPS model.     

CMIP6情景模式比较计划（ScenarioMIP）概况与评述

情景模式比较计划（ScenarioMIP）是第六次国际耦合模式比较计划（CMIP6）最重要的子计划之一。该子计划基于不同共享社会经济路径可能发生的能源结构所产生的人为排放及土地利用变化,设计了一系列新的情景预估试验,为未来气候变化机理研究以及气候变化减缓和适应研究提供关键的数据支持。文中将重点介绍ScenarioMIP的试验设计及模式参与情况,并对其应用前景加以讨论和展望。     

Climate change impacts on pricing long-term flood insurance: A comprehensive study for the Netherlands

Recently long-term flood insurance contracts with a duration of 5, 10 or 15 years have been proposed as a solution for covering flood risk and mitigating increasing flood losses. Establishing a long-term relation between the policyholder and the insurer can provide better incentives to reduce risk through undertaking damage mitigation measures. However, the uncertainty about the development of future flood risk in the face of climate and socio-economic change may complicate insurers’ rate-setting of long-term contracts. This issue has been examined in this study by estimating the effects of these changes on flood risk and pricing flood insurance premiums of short- and long-term flood insurance contracts in all (53) dike-ring areas in the Netherlands. A broad range of simulations with hydrological and flood damage models are used to estimate the future development of flood risk and premiums. In addition, the long-term development of insurance funds is estimated with a spatial “Climate Risk Insurance Model (CRIM)” for a private insurance arrangement and for a ‘three-layered’ public-private insurance program. The estimation of flood insurance premiums of long-term insurance contracts reveals fundamental problems. One is that there is an incentive for either the consumer or the insurer to prefer short-term rather than long-term contracts in the face of climate-related uncertainty. Therefore, it seems advisable to examine the introduction of one-year flood insurance contracts in the Netherlands, at least until the large uncertainties with climate and socio-economic change on flood risk have been resolved. The estimations performed with the Climate Risk Insurance Model indicate that a private insurance fund could have difficulties with building up enough financial reserves to pay for flood damage, while the layered public-private insurance scheme is more robust.     

Vulnerability of the oil and gas sector to climate change and extreme weather events

A changing climate and more frequent extreme weather events pose challenges to the oil and gas sector. Identifying how these changes will affect oil and gas extraction, transportation, processing, and delivery, and how these industries can adapt to or mitigate any adverse impacts will be vital to this sector’s supply security. This work presents an overview of the sector’s vulnerability to a changing climate. It addresses the potential for Natech hazards and proposes risk reduction measures, including mitigation and adaptation options. Assessment frameworks to ensure the safety of people, the environment, and investments in the oil and gas sector in the face of climate change are presented and their limitations discussed. It is argued that a comprehensive and systemic analysis framework for risk assessment is needed. The paper concludes that climate change and extreme weather events represent a real physical threat to the oil and gas sector, particularly in low-lying coastal areas and areas exposed to extreme weather events. The sector needs to take climate change seriously, assess its own vulnerability, and take appropriate measures to prevent or mitigate any potentially negative effects.