WWF : Water Risk Filter 2020 Report | UPSC
WWF identifies 100 cities, including 30 in India, facing ‘severe water risk’ by 2050
WHY IN NEWS:
These cities would have to build ‘resilience’ if they were to manage such scarcity
SYLLABUS COVERED: GS 3: Reports
For PRELIMS it is important to understand the new tool and the scenarios in this report .
For MAINS go through the key recommendations , try to device your own water policy after reading this content . Let us dive in !
WWF WATER RISK FILTER 2020 REPORT
- Water Risk Scenarios – TCFD-Aligned Scenarios To Help Companies And Investors Turn Risk Into Resilience
- World Wide Fund for Nature
- More than half of the identified cities are from China and India.
- Cities needed to invest more in nature-based solutions .
- They should enhance the health of river basins, watersheds and wetlands to build resilience to water risks.
- Cities also needed to support greater global efforts to mitigate greenhouse gas emissions to avoid reaching these scenarios.
- The future of India was in its cities.The need for sustainable growth would only increase with the increase in urbanisation.
- To re-evolve and re-imagine their future, Indian cities needed to break away from the current set of issues by looking into developing more of nature-based solutions.
- A lot of planning becomes impossible owing to the lack of data.
- The data available currently was at least a decade old and the reality of water availability and usage now was much different than that presented in the data.
- Water is the lifeblood of our societies and economies; it is essential to all people and businesses.
- However, 17 per cent of the global population and 10 per cent of the world’s GDP currently come from regions of high-water risk .
- By 2050 this could increase to 51 per cent and 46 per cent respectively.
SOURCES : WWF.PANDA.ORG
- Climate-related risks and opportunities are undeniably intertwined with those associated with water.
- Other socio-economic drivers impact the supply and demand of water, such as regulatory, market and demographic changes.
- This will strengthen the disclosure and assessment of companies’ resilience to future scenarios.
WHAT IS TCFD?
- Recognizing the potential implications of climate change for the global financial system, the Task Force on Climate-related Financial Disclosures (TCFD).
- It was established in 2015 by the Financial Stability Board.
- The TCFD developed and released in 2017 a set of recommendations for corporate reporting on climate related financial risk and opportunities.
- One of its key recommendations is for corporates and financial institutions to conduct scenario analyses.
EFFECTIVE TCFD MEANS
- It will help inform internal corporate decision-making on how to assess and manage climate-related risks and opportunities.
- Alternatively , this will be useful for investors’ decision-making needs and processes.
OVERVIEW : WWF WATER RISK FILTER SCENARIOS
- It is critical to understand the key assumptions and uncertainties under different scenarios to be able to interpret the outputs.
- Recognizing the importance of assessing and preparing for potential future water risks in a changing climate is very important .
- Understanding current water risks using the water risk filter tool is a critical first step.
- With climate change exacerbating water risks, the new water risk filter scenarios will enable companies to better understand future climate-water risks.
- Thus companies will be able to develop water stewardship strategies that are future-fit.
- The report considers three distinct scenario’s .
- The optimistic scenarios represent a world with sustainable socio-economic development .
- This represents the consequences and effects of climate and socio-economic changes on water resources.
CURRENT TREND SCENARIOS
- The current trend scenarios represent a world similar to current socio-economic development trends.
- This will be leading to an increase of global mean surface temperature of approximately 2°C by the end of the 21st century.
- The pessimistic scenarios represent a world with unequal and unstable socio-economic development.
- This will be leading to an increase of global mean surface temperature of approximately 3.5°C by the end of the 21st century.
Physical, regulatory and reputational risks covered by the WWF Water Risk Filter .
SOURCES : WWF.PANDA.ORG
- Understand the assumptions behind scenarios
- Identify the challenges for adaptation
- Hope for the best, prepare for the worst
- Context matters drivers of risk change
- Scenario analysis is not a stand-alone excercise
- Build resilience with Nature-based Solutions and collective action.
- 30 Indian cities that will face a ‘grave water risk’ by 2050 according to WWF
- Water is the sector where most climate impacts are felt and where climate resilience must be developed.
- Water offers a strong starting place for companies to develop a climate resilience plan.
- Climate change is a water risk multiplier, amplifying existing risks and opportunities.
- Scenario analysis is a very useful approach for understanding future water risks and opportunities, so that businesses can evaluate their resilience to a range of possible future states.
SOURCES: DownToEarth | WWF : Water Risk Filter 2020 Report | UPSC