By Thanh Van, UCCRTF Country Resilience Officer for Viet Nam
Over the past decade, tourism has grown to become a vital economic sector for Viet Nam. In 2019, Viet Nam received 18 million international arrivals, up from just over 2 million in the year 2000. However, the COVID-19 pandemic has severely affected the industry. In March 2020, Viet Nam suspended the issuance of all tourist visas and implemented other measures to stop the spread of the disease, including closure of leisure facilities, enforcing social distancing and banning meeting in large groups. As of November 2020, the country remains closed to foreign tourists. The country recorded a 98 percent year-on-year drop in foreign visitors for April 2020. With no reopening for tourists in sight, the government has called for the promotion of domestic tourism.
COVID-19 and the measures that have been put in place to contain it have affected cities in which ADB’s Urban Climate Change Resilience Trust Fund (UCCRTF) works, including Hue, Da Nang, and Hoi An. The impact of COVID-19 on the tourism sector is particularly problematic as the tourism value chain is extensive, encompassing leisure, entertainment, shopping, hotels, and other related services. This has posed significant challenges for cities like Hoi An, which have sought to refocus their attention on attracting visitors from closer to home.
In 2019, Hoi An had a total production value from tourism and services estimated at more than VND 8.5 billion ($ 372 million). The city attracted over 4 million international visitors and was hailed as Asia’s top cultural city destination in the same year. Unfortunately, because of COVID-19, Hoi An’s share of visitors in the first six months of 2020 was down nearly 70 percent compared with the same period in 2019. The number of international visitors has also decreased by more than 70 percent. Hue city faced similar challenges losing about VND 2.25 billion ($ 97 million) in revenue from tourism in the first six months of 2020, with visitor numbers down by 55 percent. There are also likely to be repercussions throughout the wider population, as gender analysis of the labor divide within the tourism sector shows there to be a high proportion of female workers whose livelihoods may be at risk.
In response to this situation, Hue city decided to move away from its long-term policy position of promoting international tourism and instead is pivoting to encourage domestic tourism. In May 2020, Hue organized the Hue Tourism Forum with the theme “Connecting Tourism: Hue – a safe and friendly destination” to implement actions that would promote domestic tourism and support the local tourism industry. The city is now making greater effort to develop and organize festivals and events to attract more local tourists while costs of sightseeing tickets have been reduced. Hue, Da Nang, and Quang Nam cities have also implemented joint action programs to enhance their cooperation and joint promotion of the different tourism strengths each city has to offer.
“The pandemic gives us many lessons about building crisis funds, the development orientation of walking on both feet, developing international and domestic tourism markets,” said Associate Professor Dr Pham Hong Long – Head of Faculty of Tourism Studies, University of Social Sciences and Humanities, Hanoi National University. “In order to revive the tourism industry in the current context, we must focus on the domestic tourism market with attractive and unique products.”
The Tourism Association of Da Nang city has conducted communications campaigns to improve tourist demand. This includes the “Da Nang misses you – Da Nang is back” campaign to emphasize the message that Da Nang is ready to welcome visitors back from early November to late December. Da Nang will target local customers first, domestic customers, and finally, international customers at the end of this year. Dan Nang is now cooperating with other tourism-centered cities in the central coastal region of Viet Nam, including Hue and Quang Nam. Together, they have implemented a program to recover and develop tourism and enhance the cooperation and promotion of the tourism strengths of each city after the COVID 19 pandemic. This is a vital step in the national approach to tourism recovery as more than 80 percent of international visitors to Viet Nam visit at least one of these three cities.
COVID-19 demonstrates the impact of a large-scale, system-level shock on the tourism sector. There are many parallels to be drawn with the impacts that climate change can bring. Viet Nam’s proactive steps to diversify the sources of tourism will help to build the resilience of the industry. Beyond this, cities can plan for a sustainable tourism sector after the pandemic is under control, and simultaneously build resilience to climate change by making improvements to their urban environment. Investments in transport infrastructure that encourages walking and cycling, for instance, can help to improve air quality, reduce the negative health impact of extreme heat events, and make streets safer and more enjoyable for tourists and citizens alike.
The insurance sector has been at the forefront of managing the impact of climate-related risks for many decades. Insurers are well placed to seize the structural opportunities ahead and become stewards of an orderly, whole economy transition to a net zero and climate resilient future. But doing so will require a pro-active and creative approach – a 7-step framework for a strategic climate response. Fortune will favour the risk-adjusted.
In a relatively short time, climate change has moved from an underwriting focused concern of property re/insurers, or matters of corporate social responsibility, to a mainstream set of issues relating to prudential safety and soundness and financial stability across the financial system.
While increasing attention to ESG (environmental, social and governance) factors, reputation concerns and changing consumer sentiment have undoubtably played their part, the system-wide and structural integration of climate-related risks into financial regulation is now the primary driver and moving in only one direction.
The insurance sector has already played a key role in shaping the global regulatory landscape that has now emerged on climate, including leading a revolution in climate data and analytics, responding to Solvency II and supporting the development of a formative framework for climate-related financial risks.
There is a strategic opportunity for insurers to continue to lead. But doing so will require the industry to up its game even more and embed a strategic approach; one that not only integrates climate-related risks into day-to-day risk management but also seeks to steward a whole economy transition to a low carbon and resilient future.
Before diving into how insurers can embrace a stewardship role, let’s start with a reminder of three key inflexion points in the rising tide of climate-related financial regulation. And the leading role the insurance sector has already played in the fundamental reshaping of finance now underway.
The 1990s: An industry in crisis – and a revolution in climate data, analytics and regulation
As many may remember, a series of events in the late 1980s and early 1990s, culminating with Hurricane Andrew in 1992, presented an existential threat to the insurance industry. With losses of over $15bn, Andrew was responsible for the failure of at least 16 insurers between 1992 and 1993. But with crisis comes opportunity. Under pressure from their investors, the insurance industry responded with an analytical revolution in models, methods and metrics to better integrate what has become known as physical climate risks into the heart of pricing and decision making. The catastrophe risk models the industry has pioneered, marrying engineering metrics and actuarial science with human and physical geography, are providing a key analytical building block of the climate-related risk gear box now being employed across the financial system.
As discussed further in Matt Foote’s and Adhiraj Maitra’s article: Insurers can draw on their Solvency II experience to integrate climate risk and resilience, the insurance sector has also been at the centre of one of the first inflexion points in climate-related financial regulation. The introduction of requirements for modelling 1-in-200 year natural hazard scenarios via Solvency II and other regimes around the world, reinforced by insurance credit rating agency requirements, was an early front-runner to the climate stress tests that are now being introduced across the financial system.
It is therefore no surprise that a second pivotal inflexion point had its roots in a prudential climate review of the UK insurance sector, setting the foundation for a financial sector wide approach.
2015: Physical, transition and liability risks and enhanced climate disclosure
In response to a request under the UK Climate Change Act, the Prudential Regulation Authority’s (PRA) 2015 review of the impact of climate change on the UK insurance sector set out the formative framework for climate-related financial risk. The review identified three primary channels; physical, transition and liability as shown in the boxes below. Published alongside a seminal ‘Breaking the Tragedy of the Horizon’ speech by former Bank of England Governor, Mark Carney, at Lloyd’s of London in September 2015, the PRA’s review has helped to catalyse the mainstreaming of climate-related risks as a core financial and investment issue. With an ever more powerful chorus reinforcing the same message, including, for example, BlackRock’s Larry Fink in his annual letter to CEOs, it’s a transformation that is here to stay.
Physical, transition and liability risks from climate change
The introduction of transition risk has been particularly noteworthy, broadening the financial risks from climate change from primarily an insurance sector issue to a market-wide concern. The notion of transition risk has also played an important role in establishing the global, private sector Task Force on Climate-related Financial Disclosures (TCFD). By improving transparency in financial markets, enhanced climate disclosure is helping to address financial stability concerns of a future ‘climate Minsky moment’ – a sudden and abrupt re-pricing of assets from a disorderly transition.
TCFD is also transforming the private sector’s response to the financial risks and opportunities that climate change presents. We explore this further in a related article: TCFD: coming, ready or not, including emerging insights of a recent survey of TCFD readiness among UK premium listed companies as the UK moves towards mandatory climate disclosure. As the article discusses, there is now clearly a co-ordinated, cross-sector approach to embedding climate-related risks across the UK financial system and globally; one that will only accelerate ahead of the next major climate change conference, COP26, towards the end of next year.
A new horizon: Climate stress tests to 2050, supervisory expectations and ‘Dear CEO’ letter
The last two years have witnessed a further acceleration in the climate-related financial regulation landscape. This includes the mainstream recognition that climate change not only presents financial risks, but that these risks have distinctive elements (see below), present unique challenges and require a strategic approach.
It is with these challenges in mind that financial regulators are once again raising the bar. For example, developing climate stress tests to determine the viability of banks and insurer’s business models out to 2050 and beyond and requiring firms to assign individual senior manager accountability for managing the financial risks from climate change.
The PRA’s ‘Dear CEO’ Letter published in July this year could well be remembered as a defining moment; one that requires all UK banks and insurers to ‘fully embed their approaches to managing climate-related financial risks by the end of 2021’.
And while the UK is clearly at the vanguard, it is certainly not alone. The mainstream integration of climate-related risk has become a global endeavour for insurers and across the entire financial sector. For example, since the beginning of September this year:
The European Insurance and Occupational Pensions Authority (EIOPA) has published a consultation on the use of long-term climate scenarios within firm’s Own Risk and Solvency Assessment (ORSA) as part of Solvency II;
The International Association of Insurance Supervisors (IAIS) has published its draft Application Paper to support supervisors around the world in their efforts to integrate climate-related risks into supervisory frameworks, including those relating to supervisory review and reporting, corporate governance, risk management, investments and disclosures;
In a similar vein to the PRA’s letter, the New York Department of Financial Services has written to insurers requesting firms to integrate climate-related risks into governance frameworks, risk management processes and business strategies.
And, more broadly, the Central Bank and Supervisors Network for Greening the Financial System (NGFS) continues to go from strength to strength, expanding from eight founding institutions in late 2017 to now over 80 participants across five continents.
When considered together, these latest developments define a third inflexion point – the mainstream implementation of strategic, Board level responses to the financial risks from climate change. Importantly, this third phase will require firms to not only demonstrate they are pro-actively managing near-term climate-related risks but are also taking action to pre-emptively reduce future financial risks, including those that may not fully crystallise until the second half of the century.
This third phase represents an important shift; responding to climate-related risks can no longer be considered as a spectator sport. It requires a much more participative, strategic and creative approach, one that seeks to steward a whole economy transition to a low carbon and resilient future.
Stewarding a whole economy transition
While there’s clearly overlap between embedding the near-term physical and transition risks into every day financial risk management with those required to manage future financial risks today, there’s also some important nuances. For example, insurers can manage their near-term risks by reducing their individual exposures, such as divesting carbon intensive assets to reduce transition risks. Pre-emptively reducing future financial risks requires a wider lens and a more strategic approach. As highlighted in a speech by Sarah Breeden, Executive sponsor of the Bank’s climate work, published alongside the PRA’s Dear CEO letter: ‘given the scale of change required, we will simply not be able to divest our way to net zero’.
While recognising climate as a financial issue and embedding, and disclosing, near-term climate-related risks and opportunities (steps 1, 2, 6 and 7 shown by dotted blue line) is clearly important, a strategic approach requires a deeper shift (steps 1 through to 7 shown in purple).
This includes assessing the impact of long-term climate scenarios, out to 2050 and beyond, and considering the unique system-wide challenges that climate change presents (step 3). Adjusting time horizons to the long-term provides an opportunity for Directors to reflect on the Board’s responsibilities to manage future financial risks today and to set a strategic ‘climate intent’, such as agreeing to align a firm’s strategy with the goals of the Paris Agreement, or committing to a Net Zero target (step 4). This, in turn, can inform a more strategic, pro-active and creative approach; one that embraces the need for stewardship of a whole economy transition to a low carbon and resilient future (step 5).
While the PRA’s letter, and our own recent TCFD readiness survey, clearly flag multiple areas where additional progress and capabilities are required, many financial firms are already starting to embrace a more strategic, pro-active approach. The PRA/FCA convened Climate Financial Risk Forum also evidences the strong appetite for cross-sector collaboration to advance thinking and practice. With this in mind, we are delighted to be supporting the Forum’s scenario analysis working group and helping to facilitate cross-sector dialogue more broadly. For example, through recent events bringing together financial regulators with senior industry leaders and our international work chairing the Coalition on Climate Resilient Investment.
Clearly solving a collective action problem requires a collective and collaborative approach. While the insurance sector alone will not drive the transition to a low carbon and climate resilient future, with trillions of dollars under management and billions of dollars in transaction volumes, it can certainly influence the outcome, and it is in its own enlightened self-interest to do so.
Fortune favours the risk adjusted
The good news is that a more comprehensive, strategic response has many benefits. It can provide assurance to all stakeholders, including investors, that climate-related risks, and opportunities, are fully understood and are being managed appropriately. It can also help attract and retain talent, particularly among younger colleagues who are increasingly seeking purposeful careers aligned with their values. Indeed, the integration of climate-related factors into talent and reward strategies is increasingly being viewed as an important source of differentiation and advantage.
Perhaps most importantly a strategic approach can also support insurers in orientating towards the transformative and structural opportunities presented by the low carbon, climate resilient transition. Having helped shape the landscape that is now emerging, there is no industry better placed to seize the opportunities that lie ahead.
There is still much to do to manage climate-related risks, and many questions that still need to be answered as methods, models and metrics continue to evolve. Developing a pro-active, strategic and creative approach now will be sure to pay dividends; fortune will favour the brave, well-prepared and risk adjusted.
The desert locust outbreak requires several levels of response from national and regional governance structures.
We know that environmental disasters are a function of our disregard for the environment we have been entrusted to steward. The current desert locust plague is a timely reminder that the consequences of climate change enables environmental disasters beyond just extreme weather. The warming of the Indian Ocean, caused by anthropogenic heat, has helped increase the frequency and intensity of tropical cyclones, creating favourable conditions for desert locust breeding and mutation.
In 2019, the North Indian Ocean experienced its most active cyclone season ever recorded. This created ideal locust breeding and survival grounds across the Arabian Peninsula. Desert locusts (Schistocerca gregaria) occur in swarms due to a particular combination of weather, soil and vegetation conditions that complement their reproduction and mutation from an otherwise solitary creature into one that matures and develops into speedy swarms (gregarisation) of up to 150 million locusts. This mutation makes the desert locust one of the most destructive insect groups when met with cropland.
The very nature of a desert locust disaster calls for a policy approach that must intersect with many levels of governance. Disaster risk management (DRM) for desert locusts requires early reaction, efficient control and monitoring and, fundamentally, a prevention approach. What makes desert locusts such a devastating pest is their ability to rapidly develop into swarms, migrate across regions and states, quickly destroying cropland. A swarm the size of Paris can eat as much as half the population of France in one day. East Africa is currently experiencing the worst desert locust outbreak in decades. The Food and Agriculture Organisation (FAO) estimates that over 42 million people are facing acute food insecurity in the ten affected countries.
Despite early warning by The Desert Locust Watch agency during the 2019 cyclone season, the invasion could not be stopped in time. Knowledge on the ecology of desert locusts has developed considerably over time, but without international policy and implementation cooperation, understanding the species is not enough. National governments must domesticate the procedures and strategies agreed upon at the regional level. In 1962, the Desert Locust Control Organisation for Eastern Africa (DLCO-EA) was established to unify cooperation between the governments of Ethiopia, Somalia, Tanzania, Kenya and Uganda. The DLCO-EA hoped to ensure cooperation in the control of desert locust plagues across the region. Despite having the necessary scientific understanding of how to deal with the locusts, the organisation has struggled to deal with the magnitude of the current outbreak.
The desert locust disaster is an example of the disconnect between the actions of regional organisations and the preparedness of national locust control units. Ria Sen, Disaster Risk Reduction expert with the World Food Programme, asserts that although quantitative risk modelling is an important aspect of preparedness, grasping the context-specific scenario within affected states will ultimately determine the success or failure of a disaster risk management plan.
In the case of Ethiopia, policies do exist to ensure preparedness and risk management planning for disasters affecting the country. The federal agency responsible for their implementation has lagged and only half of the districts across the country have obtained the DRM plans and profiling since 2009. Coupled with the current political disputes between the Tigray Region and the federal government, the ability of the Plant Protection Division and Crop Protection Departments to support the implementation of local-level systems is highly constrained. Ethiopia continues to battle the recent upsurge of swarms in the north. If tensions continue to escalate between Tigray and the national government, the impact of the locust invasion will worsen.
Like most other environmental disasters, the desert locust outbreak requires several levels of response from governance structures both regional and national. Transnational governance response to environmental issues cannot act as a substitute for strong state-based governance. Strong national environmental policies create incentives for state and non-state actors to cooperate. The DLCO-EA should be complemented by member state investment into national and local level locust control policies so that they can work in synergy.
Countries and regional bodies must invest in further research and technology to improve the ability to predict and potentially prevent desert locust disasters.
Improve the early warning communication pathway between regional bodies like the FAO’s Desert Locust Watch and the affected countries.
Strengthen cooperation and engagement between the member states of the DLCO-EA, the Central Desert Locust Commission and the regional environmental centres.
Enhance coordination and prioritisation at a local and national level of prevention and control actions.
Increase resource allocation for disaster risk management bodies in advanced to avoid costly emergency response actions.
The implementation of these recommendations will help align existing regional and national governance structures to avoid prolonging the current outbreak and help prevent future related environmental disasters.
As a Small Island Developing State (SIDS), Belize is particularly vulnerable to the effects of climate change. Research indicates that climate change impacts could cost the twenty-four island nations of the Caribbean a total $11 billion by 2025, but these figures are likely to be an underestimate. The costs of inaction cannot be ignored. Exposure to rising sea levels and the increasing frequency and intensity of tropical storms and hurricanes put the entire population and the future of the island at ever increasing risk. Their agriculture and tourism sectors are also highly sensitive to climate-related impacts, heightening vulnerability to rising temperatures and associated consequences on the country’s valuable natural resources. Any measures taken to address climatic impacts must make sure that they truly protect the vulnerable, and tailor resilience building to suit the needs of each community.
The world’s largest fund dedicated
to taking action on climate change is the Green Climate Fund (known as the GCF).
Currently capitalised at USD 9.7 billion, the GCF offers a life-line for these
countries who have massive exposure to climate change impacts and little
resource to adapt to them. But identifying the right actions for communities
requires ensuring the sustained involvement from a range of stakeholders
Belize is receiving GCF-funding to
support a variety of activities. As well as having projects like the International Fund for Agriculture and Development’s (IFAD) project on climate-smart
agricultural production, other projects exist to build the decision-making
processes that Belize has, enabling them to continue to make participation
accessible and sustainable for a whole range of stakeholders. Other projects,
for example, seek to boost the country’s capacity for accessing
international finance for investments in climate change projects, as part of
the Fund’s Readiness programme, and is coordinated by the country’s National
Designated Authority (NDA), the Ministry of Economic Development and Petroleum
(MEDP), in collaboration with the Caribbean Community Climate Change Centre
(CCCCC). A Country Programme has also been developed to guide Belize’s
engagement with the GCF, including an initial pipeline of project ideas that
could be submitted to the Fund.
The second phase of Readiness activities sees new projects being implemented to strengthen Belize’s capacities to effectively and efficiently access, manage, disburse and monitor climate financing. One of these is a year-long project being delivered with Acclimatise, where a range of activities are being hosted, including virtual training events and structured dialogues, to help develop the country programme and develop sustainable ways for engaging with a range of stakeholders.
These Structured Dialogues start with presenting the Country Programme to range of stakeholders – from civil society, to private organisations, and other ministerial departments. Stakeholders are then encouraged to submit ideas for projects that could be funded by the GCF programme. Stakeholders, including the Belize National Climate Change Committee (BNCCC) then meet to gain a greater understanding of how the GCF works, and to discuss, refine, and prioritise the project ideas. The prioritised pipeline will be included in the Country Programme and validated in early 2021 through a second Structured Dialogue. By project completion, Belize will have developed a robust pipeline of projects and programmes for submission to the GCF as part of the fund’s first replenishment period of 2020-2023. Acclimatise is also helping Belize in their capacity for hosting these Structured Dialogues to help them facilitate their own stakeholder engagement in the future. The very first of these structured dialogues took place 20th-22nd October, 2020, and happened virtually due to the ongoing restrictions as a result of COVID-19.
Other on-going Readiness activities in Belize include support for the accreditation of the Development Finance Corporation and Social Investment Fund of Belize, readiness Support to the Protected Areas Conservation Trust (PACT)- Capacity Building, and readiness Support for Strengthening Belize Private Sector Access to Climate Finance.
By Sonja Ayeb-Karlsson, Celia McMichael, Ilan Kelman, Shouro Dasgupta
An article in 2011 shocked many by suggesting that up to 187 million people could be forced to leave their homes as a result of two metres of sea level rise by 2100. Almost a decade on, some of the latest estimates suggest that as many as 630 million people may live on land below projected annual flood levels by the end of the century.
The idea that rising seas will force millions to move, unleashing a refugee crisis like no other, has now become commonplace. It’s a narrative that the media are fond of, but that does not mean it is based on evidence.
The potential scale of sea level rise is becoming clearer, but this does not necessarily translate into population movements. Everything we have learned so far suggests that decisions to migrate are far more complex than a simple flight response.
In our new review article, we looked at 33 different studies that have estimated how sea level rise will affect migration patterns. Reliable estimates are important to help support vulnerable populations, but there is deep uncertainty around the amount of people who will be exposed to rising seas, and how they will respond.
We looked carefully at the methods and data sets of these studies to try and tease out uncertainties. One issue plaguing their estimates is assumptions about the number of people who will be living in vulnerable low-lying areas in the future.
Most of the studies we reviewed did note that the connections between migration and sea level rise are incredibly complex. Every person directly affected isn’t guaranteed to move away as a result. People may be just as likely to try and protect their homes against the water, by building sea walls or elevating their houses.
It’s impossible to predict how each person will respond, and there are countless reasons why someone might choose to stay in the place they call home rather than move or seek shelter elsewhere. Those who may be forced to migrate and resettle due to climate change receive far more attention than those left behind. These so-called “trapped” populations can be just as vulnerable as those on the move, if not more so.
Research suggests that the decision to stay or leave will have as much to do with emotional and social pressures as financial or practical reasons. People may feel afraid or find it unbearable to leave, while others lack the necessary support. Many may feel obliged to stay due to binding social ties and reponsibilities.
How the health and wellbeing of those staying behind will be affected by rising seas is poorly investigated. More research is needed to understand the realities of staying put, for those who choose to stay and those who are unable to leave.
Where do we go from here?
Research on sea level rise and migration has often tried to obtain global estimates of those likely to be affected. These are useful for drawing attention to the potential scale of future impacts, but they lack local insights that could help make the picture clearer for different areas.
Rising sea levels are just one of the many ways climate change is remaking our world. Understanding how sea level rise interacts with other environmental changes, such as increased temperatures and changing rainfall patterns will be important, but this stretches the ability to predict exact migration numbers.
Despite all the unknowns, we do know that coastal changes wrought by climate change will be significant, and they require action now. That means devising measures to prevent or reduce inundation, figuring out how to live with the water, and planning for successful ways to migrate and resettle. Evaluating options, developing scenarios, and making decisions around this must happen now, rather than waiting for the issue to become more urgent.
It is just as important to avoid repeating myths around climate change triggering vast flows of people from the so-called “Global South” seeking refuge in the so-called “Global North”. We do know that people will not inevitably flee across borders in a warming world. Where migration does happen, movements within countries are often neglected on the likely flawed assumption that most migrants are crossing borders.
The narratives create unnecessary concern while shifting focus away from what really matters – helping vulnerable people. Not only do these myths reproduce xenophobic and outdated colonial power relations based on unfounded arguments, but they also create unnecessary fear and hostile environments for migrant populations around the world.
This article was originally posted on The Conversation.
Marawi City, capital of the Philippine province of Lanao del Sur, is still recovering from the five-month long armed conflict in 2017 three years onward.
The Battle of Marawi, fought between Philippine Government forces and groups affiliated with Islamic State terrorists, left the city’s critical infrastructure systems in crisis. The city has therefore struggled to deal with the COVID-19 pandemic, which struck as its resilience was low. As part of ongoing reconstruction efforts in Marawi, ADB’s Urban Climate Change Resilience Trust Fund (UCCRTF) has delivered patient monitoring and transport vehicles to Marawi City Health Office and Lanao del Sur Integrated Provincial Health Office on 27 February 2020 and 3 April 2020. The timely arrival of the vehicles is expected to strengthen the already weakened local health system to respond to the ongoing pandemic.
Part of ADB’s “Emergency Assistance for Reconstruction and Recover of Marawi (EARRM)”, the initiative saw the ceremonial hand over of the vehicles’ keys at the Center for Health Development Northern Mindanao, Cagayan de Oro City. According to Undersecretary Abdullah B. Dumama Jr., the vehicles will be used to create a more efficient community health service in the province. He added that the Department of Health (DOH) is also due to provide ambulances and mobile health clinics to improve patient access to health care, and strengthen disaster preparedness and response capacity.
The Center for Health Development Northern Mindanao, along with the DOH Project Management Team, is committed to regularly monitoring the usage of these vehicles, making sure they are fulfilling the need that they have been provided for.
The delivery of the medical vehicles – From left to right: Dir. Mar Wynn Bello, Dir. Leonita Gorgolon, Undesecretary Abdullah Dumama Jr., Dr. Ali Dalidig, Dr. Alinader Minalang, Dir. Adriano Suba-an, Dir. David Mendoza
The EARRM Project will also fund the construction of two local health units, with essential medical equipment and supplies, ensuring access to essential health services for the community. “The DOH have been with us since the start of the Marawi Siege,” said Dr. Alinader Minalang, IPHO Lanao del Sur Provincial Health Officer. He added: “They have been providing support to our health care operations, including through managing the fund assistance available from various development partners such as the Asian Development Bank”.
The Global Environment Facility (GEF) has approved a $2 million grant for a new venture in partnership with the MAVA Foundation, the International Institute for Sustainable Development (IISD), and the United Nations Industrial Development Organization (UNIDO), which aims to increase investment in nature-based infrastructure that can help cities and countries adapt to the impacts of climate change.
The new global initiative, supported by the GEF-managed Special Climate Change Fund, will use financial modelling and climate change projections to establish the business case for investing in nature and make it easier for investors and government officials to assign a value to and consider nature-based solutions when making infrastructure spending decisions.
The project will equip decision-makers with comprehensive, system-wide valuations of natural assets, reflecting capital and operating costs as well as co-benefits from carbon sequestration, air purification, protection against water scarcity, and climate change adaptation, plus cost comparisons with grey infrastructure alternatives.
This is important as many decision-makers currently lack the tools to directly compare green or hybrid infrastructure solutions with alternatives, for instance when making decisions about flood control, food security, coastal protection, water conservation and wastewater treatment. Such infrastructure planning and spending decisions will be critically important in the coming years as countries plan their recovery from the COVID-19 pandemic and work toward more ambitious climate change, biodiversity, and other goals and frameworks.
“We are proud to support this venture, which will address the critical evidence gap that investors and project developers currently face as they evaluate whether to invest in nature and nature-based infrastructure,” said GEF CEO and Chairperson Naoko Ishii. “Making this information more readily available will be a game changer for those making long-term decisions about infrastructure investments for economic recovery and development.”
The MAVA Foundation, a philanthropic organization working to conserve biodiversity for the benefit of people and nature, is partnering with the GEF and has pledged to provide $2 million in co-financing to scale up the impact of the project, which will be implemented by UNIDO and executed by IISD. The project, which will use data from the EU’s Copernicus Climate Change Service, will also include a public online database making information on the valuation and performance of nature-based infrastructure available to a wide variety of project partners and stakeholders.
“Nature is part of the fundamental infrastructure on which thriving societies and economies depend. Despite its regenerative capacity, natural infrastructure – like built infrastructure – needs maintenance and therefore investment. This project will demonstrate that investing in maintaining and restoring our natural capital provides solutions to societal problems – above all to the adaptation to climate change. Most importantly, the training and capacity development offered will scale the project impact far beyond the concrete case examples,” said MAVA Foundation Director General Lynda Mansson.
“Our aim for this project is to consider social, economic, and environmental factors to demonstrate the system-wide case for investing in large-scale nature-based solutions,” said IISD President and CEO Richard Florizone. “Natural ecosystems like forests, mangroves, wetlands, and grasslands provide a range of ‘services’ that can complement and even substitute for built infrastructure. The strong evidence base we build through this unique partnership will help all market participants confidently invest in nature.”
“In line with UNIDO’s mandate to promote inclusive and sustainable industrial development, we actively cooperate with private sector entities to further environmental stewardship approaches. This project will allow us to quantify the positive impact of stewardship activities on ecosystems as well as to demonstrate the cost efficiency of nature-based infrastructure. It will also allow us to highlight the economic value of the positive externalities provided by nature-based infrastructure to our partners in governments and international finance institutions. Thus, the project will have a catalytic impact on UNIDO’s efforts to up-scale public-private partnerships on environmental stewardship as required for a transformational change in climate change adaptation,” said UNIDO Managing Director Stephan Sicars.
The new project is an example of the GEF’s ongoing commitment to help countries and partners make wise investment decisions related to nature-based solutions and climate resilience, and reflects the Special Climate Change Fund’s focus on supporting innovative and impactful adaptation solutions. It will also support the Global Commission on Adaptation’s call to scale up action on nature-based solutions for adaptation.
For more information, please contact:
Laura MacInnis, GEF Senior Communications Officer, firstname.lastname@example.org
Zahra Sethna, IISD Director of Communications, email@example.com
Holger Schmid, MAVA Foundation Program Director, firstname.lastname@example.org
Charles Arthur, UNIDO Communications Officer, C.ARTHUR@unido.org
New Clark City (NCC), an upcoming mixed-use township managed by the Bases Conversion and Development Authority (BCDA), is being developed with the vision of becoming a leading example of an environmentally sustainable, smart, and disaster-resilient city.
To realize this ambition, efficient and sustainable use of water resources is key. To this end, a Water Resources Study was prepared with the main objective of assessing groundwater and surface water availability within and near NCC.
The study, conducted by the Geoscience Foundation Inc. for BCDA, will feed into resource planning that will ensure there is sufficient water to serve NCC, which has an area of approximately 9,450 hectares and is located about 120 kilometers (km) north of Manila.
Sustainability is at the heart of the study. It proposes that NCC makes use of groundwater, surface water, and other water sources like reservoirs, wastewater recycling, and rainwater harvesting, to avoid resource depletion. The use of surface water, in particular, will ensure that deep aquifers are not exhausted, and resources can be sustainably maintained.
The study, supported by the Urban Climate Change Resilience Trust Fund (UCCRTF), is linked to the ADB Transaction Advisory Services of the Office of Public-Private Partnership for NCC, which looks at the structuring and tendering of infrastructure packages. In 2017 to 2018, UCCRTF financed – through the request of BCDA – the review of the NCC master plan, conduct of the River Study and recommendations, and the development of the Resilience Framework.
Climate change is also a major consideration in the study, as climate projections indicate a 10% increase in precipitation levels during rainy season and a 10% decrease during the dry season by 2036. Enough water should be stored in water tanks and reservoirs during the rainy season so that this can be used in the summer or dry season.
The two major rivers of NCC
The two major rivers in the NCC are the Cutcut and Bangot Rivers. The Bangot River is situated at the northern edge of NCC and is a tributary of the O’Donnell River. The confluence with the O’Donnell River is located about 1 km north from the Philippine Army Camp. To ensure the sustainable use of the Bangot and Cutcut Rivers, a water resources monitoring program will be established through the installation of depth gauge meters that will track changes in the river flows.
Based on the study, the water quality for the two rivers were found to be satisfactory and well within the prescribed limits even for Class AA water quality guidelines for drinking water supply. However, primary treatment, including disinfection, is required for the water to be distributed for drinking. Once this is developed, these rivers can produce about 32 million liters per day, which is sufficient for a medium-sized city.
Water rights for the two rivers were also applied with the National Water Resources Board on behalf of BCDA and are awaiting deliberations. The results of the study were incorporated into the “NCC 50-year Water Resources Masterplan”, the roadmap for NCC’s resilient water supply system. The plan is seen to be financially viable and is expected to yield economic benefits through increased water usage efficiency and greater equity in access to water, without comprising environmental sustainability and ensuring water availability for future usage.
Presenting the study to stakeholders
On water reuse, the study indicated that this will only be suitable for non-potable uses such as for agriculture, aquifer recharge, aquaculture, firefighting, flushing of toilets, industrial cooling, parks and golf course watering, formation of wetlands for wildlife habitats, and recreational impoundments. As an alternative water source, the O’Donnell River is also being considered in case the use of Bangot River is not feasible. This will form part of the water development plan for NCC’s main water source in future phases.
As for wastewater management, the study recognizes that constructed wetlands and ponds through a series of bio-retention and bio-remediation systems will help reduce and control the amount of pollutants – such as fertilizers, pesticides, and sediment – that enter the waterways from open space run-off. A centralized sewerage treatment plant is being planned for NCC, and it will service the main development areas covering the National Government Administrative Center and the area handled by real estate firm Filinvest Land. However, given that the construction of the plant may take up to three years, the use of modular treatment plants, which can be immediately installed and can easily be expanded, will be considered as an interim solution.
Further review, vetting, and discussions with BCDA need to be made to align the recommendations with the NCC master plan given that there are ongoing developments in the area. Specifically, BCDA, locators, and water concessionaire need to discuss and establish projections that will shape the longer-term water policies and water infrastructure projects in the NCC.
The COVID-19 outbreak has dramatically changed the shape of daily life in cities around the world. The cities in which the Urban Climate Change Resilience Trust Fund (UCCRTF) operates are no exception.
Economic activity has slowed considerably during lockdown and the planning and construction of infrastructure projects face delays as municipal governments tackle the immediate health crisis. So, what has life been like inside cities supported by UCCRTF? What lessons might the response to the COVID-19 crisis hold for building resilience to other shocks and stresses such as climate change?
The city resilience officers of UCCRTF, who have been working on climate change resilience projects in many secondary cities across South and Southeast Asia, share how the pandemic has impacted their cities
Summer season has arrived in Viet Nam and temperatures are rising. Reflecting on recent months, Hanoi citizens are very proud of what has been done to combat COVID-19. By the end of April, the Vietnamese Government recorded only 270 confirmed cases, of which 223 have recovered and returned home. Since that time there have been no further deaths, as of June 17th 2020.
The relatively low number compared to neighboring countries is largely due to the swift and effective prevention and control measures that the government put in place since the first case of COVID-19 was confirmed in Ho Chi Minh City (HCMC) in January and cases in Hanoi in early March.
Viet Nam suspended entry of all foreigners from 22 March and mandatory health declarations became required at all international borders for Vietnamese nationals arriving from abroad. Authorities also suspended schools and canceled festivals nationwide. The most challenging time for many was the 22 days of lockdown from April 1 to 22. Everyone was asked to stay at home and stop all unessential activities.
People remain worried about the possibility of the virus spreading through the poorer areas of the cities, where living conditions are crowded. In Hue and Hoi An City, most people rely on tourism and other related business activities. They work in restaurants, hotels, tourism services, or small businesses such as street vendors or lottery ticket sellers. During the lockdown, the ban on gatherings meant many businesses had to close, many people lost their income and jobs.
To support these vulnerable groups, the government provided a support package of about VND 62 trillion ($2.7 billion) for around 20 million severely affected people for three months between April and June. In addition, free rice distribution centers were set up in Hanoi, HCMC, Danang, Hue, and other provinces to help poor people and those affected by the coronavirus.
While the country works toward a socioeconomic recovery, the immediate response to the crisis will focus on food production and manufacturing to support labor markets. As early as 4 May, tens of millions of students from preschool to high school in 63 provinces and cities returned to school, taking another step towards returning to some semblance of normal life.
The whole country has been declared as an ‘Infection Risk Area’ under Section 11 of the Bangladesh Infectious Disease (Prevention, Control and Elimination) Act, 2018. As of 17th June, 98,489 cases of COVID-19 have been identified and the number of deaths has risen to 1,305. The highest number of COVID-19 cases is recorded in the older parts of Dhaka City.
All offices remain closed to prevent the spread of the disease. The army is currently carrying out street campaigns to enforce social distancing. People in infected areas must stay at home unless absolutely necessary. A daily curfew is enforced from 6:00 p.m. to 6:00 a.m.
The office of the Prime Minister issued an order assigning officials to each of the 64 districts in the country to supervise and coordinate a large-scale relief distribution program for vulnerable citizens.
The Asian Development Bank (ADB) approved an emergency grant of $300,000 to the Bangladesh Government to help respond to the crisis. In collaboration with Directorate General of Health Services, this grant will be used to procure personal protective equipment such as face masks, safety googles, aprons, thermometers, and biohazard bags.
All the UCCRTF-funded cities remain under partial or complete lockdown, which is delaying progress on urban development, planning, and infrastructure programs. More importantly, cities are facing an additional challenge as the country approaches cyclone season. The combined COVID-19 and large-scale climate impacts will be difficult to manage as the responses to COVID (such as to stay inside and to maintain social distancing) are in contrast to the recommended response to cyclones, which may require people to leave their homes or congregate together in protective shelters.
Recently, on 20 May, Bangladesh faced Super Cyclone Amphan, which made landfall in the southwestern part of the country causing serious damage to property. The UCCRTF-supported city of Patuakhali was badly affected. The government evacuated an estimated 2.4 million people from coastal districts, although observing social distancing was challenging. As an immediate measure, schools were used for more space in addition to regular cyclone shelters.
A 3- to 4-meter tidal surge that accompanied the cyclone, however, destroyed crops and sources of drinking water.
Relief efforts are currently underway in coordination with local administrations. According to the Bagerhat district administration, Amphan caused $50 million in direct damages with around 349 houses partially damaged and 374 houses completely destroyed. The total number of people affected by the cyclone in Bangladesh is estimated at 5,331.
At present, only emergency services are available in all public and private hospitals, which have recently re-opened after being closed to prevent the spread of COVID-19. Schools are still closed and only some offer classes online. There are also severe travel restrictions. The lockdown has affected every part of life in Pakistan’s cities.
The huge reduction in traffic has led to big improvements in air quality in major cities. While there is no data covering small cities backed by UCCRTF, the Pakistan Environmental Protection Agency has reported that the air quality index in Lahore has fallen from 496 parts per million (ppm) in January to 37 ppm in April. Similarly, for Islamabad, average concentrations of nitrogen dioxide and sulphur dioxide are below the permissible limits of National Environmental Quality Standards, and concentrations of fine particulates (PM2.5) are also within permissible limits.
Currently, the UCCTRF-supported cities in Pakistan are not coping with other shocks and stresses from natural or human-induced hazards. However, since the cities are vulnerable to urban flooding and earthquakes, they are still at risk. The monsoon season is also drawing near (expected to start in July), which could compound the challenges faced by the cities. They will have to cope with flood management alongside COVID-19. While government officials, including national, provincial, and district disaster management authorities, are focused on COVID-19 response, this may well mean that there is less capacity to prepare for the upcoming flooding season.
Key nations have announced US$ 4.8 million in funding for the delivery of early warning systems and services to reduce loss of life from severe weather events in the Pacific region. The announcement was made 10 June 2020 during the 11th Steering Committee Meeting of the Climate Risk & Early Warning Systems (CREWS) initiative by its Member States, the governments of Australia, Canada, France, Germany, Luxembourg, Netherlands, Switzerland and the United Kingdom.
The CREWS initiative was established in 2015 at the United Nations Climate Change Conference (COP21) as a financial mechanism to save lives and livelihoods through the expansion of early warning systems and services in Least Developed Countries and Small Island Developing States. Its three Implementing Partners are the World Meteorological Organization, the World Bank Group / Global Facility for Disaster Reduction and Recovery and the United Nations Office for Disaster Risk Reduction.
Filipe Lucio of WMO indicated at the meeting that the funds would allow the island countries in the region to detect, monitor and forecast severe high-impact weather events. Additional services to be developed include access to longer-term seasonal predictions and operational early warning and response plans that ensure the most vulnerable people in the communities receive warnings.
CREWS Member States also approved the allocation of funds to support countries to monitor the effectiveness of their national early warning systems. Additionally, the preparations of another US$ 4 million project, covering the South West Indian Ocean that includes the countries of Comoros, Madagascar, Mauritius, Mozambique and Seychelles was initiated for funding in the near future.
To date, the CREWS Trust Fund has delivered over US$ 43 million in project funding and mobilized an additional US$ 270 million from public funds of other development partners – realizing accelerated life-saving action and maximized finance effectiveness.
In 2019, CREWS support was scaled up to 44 least developed countries and small island developing states. Through this work, more than 10 million people in some of the world’s most vulnerable communities now have access to better early warning services.
In Afghanistan, 3D printers are being used to build automatic weather stations, bringing early warning services to rural communities.
In Burkina Faso, more than 1,100 rural farmers received 130 weather forecasts in 2019, broadcast via local radio stations.
In Fiji, nearly one million people now have advance flash flood warnings, creating increased security and saving lives.
In Niger, more than 600 women were trained in early warning services and have now created women-led WhatsApp groups to amplify advance warnings throughout their communities.
Across the Caribbean, national emergency management offices, national hydromet offices, national gender bureaux, sectorial ministries, and non-governmental groups including women organizations are now working together to bridge the gender divide in access to early warning systems.