Climate Change Inflicts $150 Bn Economic Blow On US
The U.S. witnesses a surge in billion-dollar extreme weather events every three weeks, a stark contrast to the 1980s when such occurrences took place every four months after adjusting for inflation. This observation, drawn from the latest U.S. National Climate Assessment released on Tuesday, highlights a pressing issue.
For the first time, this assessment dedicates a chapter solely to the economic repercussions of climate action. The report reveals that these events annually cost nearly USD 150 billion, disproportionately impacting marginalised communities. It emphasises that without a shift towards clean energy and adaptations to rising temperatures and sea levels, the economic toll and challenges will intensify across various sectors.
Climate-related risks loom over multiple industries, from ski resorts in the Northwest to Midwest farmers and Northeast fisheries, destabilising local economies. Droughts, wildfires, hurricanes and floods, driven by escalating greenhouse gas emissions, disrupt food and water supplies, affecting lives nationwide.
Approximately 40 per cent of the U.S. populace resides in coastal areas vulnerable to rising sea levels. The report warns of potential displacement for millions of homeowners by the century's end if immediate measures aren't taken.
Addressing these concerns, the Energy Department is injecting USD 3.9 billion into upgrading the strained power grid, supplementing the investments driven by the 2021 infrastructure law. Additionally, the Environmental Protection Agency has earmarked USD 2 billion for community climate projects under the Inflation Reduction Act passed last year.
The urgency of such investments resonates through the report, emphasising the need for accelerated emissions reduction and carbon removal to combat climate change effectively.
While recent U.S. emissions have seen a slight decline, the report underscores that this isn't adequate to meet climate goals. Drastic measures—more than a 6 per cent annual decline—are necessary to limit global warming to 1.5 degrees Celsius by midcentury, aligning with national objectives and the Paris agreement.
This report's release aligns with the upcoming global climate summit and the Biden administration's endeavours to drive clean-energy projects, converting climate challenges into economic opportunities. It emphasises the imperative nature of climate-resilient infrastructure and sustainable economic development to withstand the evolving climate landscape.
