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The Economics of Climate Change Nicholas Stern National Press Club 28th March 2007
Key messages ,[object Object],[object Object],[object Object]
Projected impacts of climate change 1 °C 2 °C 5 °C 4 °C 3 °C Sea level rise threatens major cities Falling crop yields in many areas, particularly developing regions  Food Water Ecosystems Risk of Abrupt and Major Irreversible Changes Global temperature change (relative to pre-industrial) 0 °C Falling yields in many developed regions Rising number of species face extinction Increasing risk of dangerous feedbacks and abrupt, large-scale shifts in the climate system Significant decreases in water availability in many areas, including Mediterranean and Southern Africa Small mountain glaciers disappear  – water supplies threatened in several areas Extensive Damage to Coral Reefs Extreme Weather Events Rising intensity of storms, forest fires, droughts, flooding and heat waves Possible rising yields in some high latitude regions
Stabilisation and commitment to warming 1 °C 2 °C 5 °C 4 °C 3 °C 400 ppm CO 2 e 450 ppm CO 2 e 550 ppm CO 2 e 650ppm CO 2 e 750ppm CO 2 e 5% 95% Eventual temperature change (relative to pre-industrial) 0 °C
Delaying mitigation is dangerous and costly ,[object Object],[object Object]
Given the costs of impacts, the cost of mitigation is a good deal ,[object Object],[object Object],[object Object],[object Object]
Key principles of policy ,[object Object],[object Object],[object Object],[object Object],[object Object]
Carbon pricing ,[object Object],[object Object],[object Object],[object Object]
Technology needs more than a carbon price   ,[object Object],[object Object],[object Object],[object Object],[object Object],IEA (2000)
International action ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Building international carbon markets ,[object Object],[object Object],[object Object]
Strategies for emission reduction ,[object Object],[object Object],[object Object],[object Object],[object Object]
Adaptation ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Role of Business   ,[object Object],[object Object],[object Object],[object Object]
Conclusion from the analysis ,[object Object],[object Object],[object Object],[object Object],[object Object]
Key messages ,[object Object],[object Object],[object Object]
Projected impacts of climate change 1 °C 2 °C 5 °C 4 °C 3 °C Sea level rise threatens major cities Falling crop yields in many areas, particularly developing regions  Food Water Ecosystems Risk of Abrupt and Major Irreversible Changes Global temperature change (relative to pre-industrial) 0 °C Falling yields in many developed regions Rising number of species face extinction Increasing risk of dangerous feedbacks and abrupt, large-scale shifts in the climate system Significant decreases in water availability in many areas, including Mediterranean and Southern Africa Small mountain glaciers disappear  – water supplies threatened in several areas Extensive Damage to Coral Reefs Extreme Weather Events Rising intensity of storms, forest fires, droughts, flooding and heat waves Possible rising yields in some high latitude regions
Stabilisation and commitment to warming 1 °C 2 °C 5 °C 4 °C 3 °C 400 ppm CO 2 e 450 ppm CO 2 e 550 ppm CO 2 e 650ppm CO 2 e 750ppm CO 2 e 5% 95% Eventual temperature change (relative to pre-industrial) 0 °C
Delaying mitigation is dangerous and costly ,[object Object],[object Object]
Given the costs of impacts, the cost of mitigation is a good deal ,[object Object],[object Object],[object Object],[object Object]
Key principles of policy ,[object Object],[object Object],[object Object],[object Object],[object Object]
Carbon pricing ,[object Object],[object Object],[object Object],[object Object]
Technology needs more than a carbon price   ,[object Object],[object Object],[object Object],[object Object],[object Object],IEA (2000)
International action ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Building international carbon markets ,[object Object],[object Object],[object Object]
Strategies for emission reduction ,[object Object],[object Object],[object Object],[object Object],[object Object]
Adaptation ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Role of Business   ,[object Object],[object Object],[object Object],[object Object]
Conclusion from the analysis ,[object Object],[object Object],[object Object],[object Object],[object Object]
Key messages ,[object Object],[object Object],[object Object]
Projected impacts of climate change 1 °C 2 °C 5 °C 4 °C 3 °C Sea level rise threatens major cities Falling crop yields in many areas, particularly developing regions  Food Water Ecosystems Risk of Abrupt and Major Irreversible Changes Global temperature change (relative to pre-industrial) 0 °C Falling yields in many developed regions Rising number of species face extinction Increasing risk of dangerous feedbacks and abrupt, large-scale shifts in the climate system Significant decreases in water availability in many areas, including Mediterranean and Southern Africa Small mountain glaciers disappear  – water supplies threatened in several areas Extensive Damage to Coral Reefs Extreme Weather Events Rising intensity of storms, forest fires, droughts, flooding and heat waves Possible rising yields in some high latitude regions
Stabilisation and commitment to warming 1 °C 2 °C 5 °C 4 °C 3 °C 400 ppm CO 2 e 450 ppm CO 2 e 550 ppm CO 2 e 650ppm CO 2 e 750ppm CO 2 e 5% 95% Eventual temperature change (relative to pre-industrial) 0 °C
Key messages ,[object Object],[object Object],[object Object]
Projected impacts of climate change 1 °C 2 °C 5 °C 4 °C 3 °C Sea level rise threatens major cities Falling crop yields in many areas, particularly developing regions  Food Water Ecosystems Risk of Abrupt and Major Irreversible Changes Global temperature change (relative to pre-industrial) 0 °C Falling yields in many developed regions Rising number of species face extinction Increasing risk of dangerous feedbacks and abrupt, large-scale shifts in the climate system Significant decreases in water availability in many areas, including Mediterranean and Southern Africa Small mountain glaciers disappear  – water supplies threatened in several areas Extensive Damage to Coral Reefs Extreme Weather Events Rising intensity of storms, forest fires, droughts, flooding and heat waves Possible rising yields in some high latitude regions
Stabilisation and commitment to warming 1 °C 2 °C 5 °C 4 °C 3 °C 400 ppm CO 2 e 450 ppm CO 2 e 550 ppm CO 2 e 650ppm CO 2 e 750ppm CO 2 e 5% 95% Eventual temperature change (relative to pre-industrial) 0 °C
Delaying mitigation is dangerous and costly ,[object Object],[object Object]
Given the costs of impacts, the cost of mitigation is a good deal ,[object Object],[object Object],[object Object],[object Object]
Key principles of policy ,[object Object],[object Object],[object Object],[object Object],[object Object]
Carbon pricing ,[object Object],[object Object],[object Object],[object Object]
Technology needs more than a carbon price   ,[object Object],[object Object],[object Object],[object Object],[object Object],IEA (2000)
International action ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Building international carbon markets ,[object Object],[object Object],[object Object]
Strategies for emission reduction ,[object Object],[object Object],[object Object],[object Object],[object Object]
Adaptation ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Role of Business   ,[object Object],[object Object],[object Object],[object Object]
Conclusion from the analysis ,[object Object],[object Object],[object Object],[object Object],[object Object]
www.sternreview.org.uk

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Nicholas stern at canberra press club

  • 1. The Economics of Climate Change Nicholas Stern National Press Club 28th March 2007
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  • 3. Projected impacts of climate change 1 °C 2 °C 5 °C 4 °C 3 °C Sea level rise threatens major cities Falling crop yields in many areas, particularly developing regions Food Water Ecosystems Risk of Abrupt and Major Irreversible Changes Global temperature change (relative to pre-industrial) 0 °C Falling yields in many developed regions Rising number of species face extinction Increasing risk of dangerous feedbacks and abrupt, large-scale shifts in the climate system Significant decreases in water availability in many areas, including Mediterranean and Southern Africa Small mountain glaciers disappear – water supplies threatened in several areas Extensive Damage to Coral Reefs Extreme Weather Events Rising intensity of storms, forest fires, droughts, flooding and heat waves Possible rising yields in some high latitude regions
  • 4. Stabilisation and commitment to warming 1 °C 2 °C 5 °C 4 °C 3 °C 400 ppm CO 2 e 450 ppm CO 2 e 550 ppm CO 2 e 650ppm CO 2 e 750ppm CO 2 e 5% 95% Eventual temperature change (relative to pre-industrial) 0 °C
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  • 17. Projected impacts of climate change 1 °C 2 °C 5 °C 4 °C 3 °C Sea level rise threatens major cities Falling crop yields in many areas, particularly developing regions Food Water Ecosystems Risk of Abrupt and Major Irreversible Changes Global temperature change (relative to pre-industrial) 0 °C Falling yields in many developed regions Rising number of species face extinction Increasing risk of dangerous feedbacks and abrupt, large-scale shifts in the climate system Significant decreases in water availability in many areas, including Mediterranean and Southern Africa Small mountain glaciers disappear – water supplies threatened in several areas Extensive Damage to Coral Reefs Extreme Weather Events Rising intensity of storms, forest fires, droughts, flooding and heat waves Possible rising yields in some high latitude regions
  • 18. Stabilisation and commitment to warming 1 °C 2 °C 5 °C 4 °C 3 °C 400 ppm CO 2 e 450 ppm CO 2 e 550 ppm CO 2 e 650ppm CO 2 e 750ppm CO 2 e 5% 95% Eventual temperature change (relative to pre-industrial) 0 °C
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  • 31. Projected impacts of climate change 1 °C 2 °C 5 °C 4 °C 3 °C Sea level rise threatens major cities Falling crop yields in many areas, particularly developing regions Food Water Ecosystems Risk of Abrupt and Major Irreversible Changes Global temperature change (relative to pre-industrial) 0 °C Falling yields in many developed regions Rising number of species face extinction Increasing risk of dangerous feedbacks and abrupt, large-scale shifts in the climate system Significant decreases in water availability in many areas, including Mediterranean and Southern Africa Small mountain glaciers disappear – water supplies threatened in several areas Extensive Damage to Coral Reefs Extreme Weather Events Rising intensity of storms, forest fires, droughts, flooding and heat waves Possible rising yields in some high latitude regions
  • 32. Stabilisation and commitment to warming 1 °C 2 °C 5 °C 4 °C 3 °C 400 ppm CO 2 e 450 ppm CO 2 e 550 ppm CO 2 e 650ppm CO 2 e 750ppm CO 2 e 5% 95% Eventual temperature change (relative to pre-industrial) 0 °C
  • 33.
  • 34. Projected impacts of climate change 1 °C 2 °C 5 °C 4 °C 3 °C Sea level rise threatens major cities Falling crop yields in many areas, particularly developing regions Food Water Ecosystems Risk of Abrupt and Major Irreversible Changes Global temperature change (relative to pre-industrial) 0 °C Falling yields in many developed regions Rising number of species face extinction Increasing risk of dangerous feedbacks and abrupt, large-scale shifts in the climate system Significant decreases in water availability in many areas, including Mediterranean and Southern Africa Small mountain glaciers disappear – water supplies threatened in several areas Extensive Damage to Coral Reefs Extreme Weather Events Rising intensity of storms, forest fires, droughts, flooding and heat waves Possible rising yields in some high latitude regions
  • 35. Stabilisation and commitment to warming 1 °C 2 °C 5 °C 4 °C 3 °C 400 ppm CO 2 e 450 ppm CO 2 e 550 ppm CO 2 e 650ppm CO 2 e 750ppm CO 2 e 5% 95% Eventual temperature change (relative to pre-industrial) 0 °C
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