The Insurance Council of New Zealand (ICNZ) is backing calls to speed up adaptation to climate change.
The NZ Climate Change Commission’s first monitoring report on adaptation efforts found that the work was not proceeding at the scale or pace required, says the ICNZ in a statement.
“We support the Commission’s findings that urgent action is needed to address the impacts of climate change. The report shows climate change risks are significant and rising. The modelling estimates around 750,000 people and 461,000 buildings are at risk of flooding, involving many billions of dollars in assets,” ICNZ chief executive Mr Kris Faafoi said.
“New Zealand is vulnerable to natural disasters and adapting now to reduce the risk of climate change will help protect our local communities, jobs, businesses, and economy. The Auckland Anniversary Weekend and Cyclone Gabrielle events are estimated at NZ$4bn ($2.5bn) in insurance claims to help people get back on track. Overall, the Treasury estimates the damage to infrastructure is up to NZ$14.5bn.”
He added, “We also back the Commission’s call that there are things we can do together as a country to provide long-term clarity and certainty around our response to climate change. A coordinated effort by the government, councils, iwi (Maori tribes), the private sector and local communities to invest in mitigation and adaptation to reduce risk can help keep insurance affordable and accessible.
Climate change adaptation framework
Mr Faafoi said, “Looking at some of the Commission’s recommendations, the development of an adaptation framework that sets out a clear mandate for local planning and action can help individual communities manage risk and respond appropriately to the impacts of climate change, from adaptation measures to managed retreat as well as collecting information about community risk.
“We know too that investment in climate adaptation is likely to be sizeable. Further clarity about how the costs of local adaptation will be shared and the involvement of new targeted funding and financing instruments will be crucial.
“We also support the government taking the lead on exploring ways to facilitate access, availability, and sharing of expertise and information to support local adaptation planning and action.
He added, “By addressing these risks now, New Zealand can avoid the higher costs associated with future climate-related disasters and support a growing economy that is resilient and sustainable,”