Addressing water security risks: can we leapfrog carbon?

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Water Security, Risk & Society April 2012 Addressing water security risks: Can we leapfrog carbon?


Which Approach?


Which Approach?

Advice/ support

ü Tackles ignorance û Other barriers remain


Which Approach?

Regulation

ü It happens û  But cautious limits û  No incentive to maximise

Advice/ support

ü Tackles ignorance û Other barriers remain


Which Approach? ü Economically Optimised

Market mechanisms

Regulation

ü It happens û  But cautious limits û  No incentive to maximise

ü  Incentive to maximise û Don’t address all objectives

Advice/ support

ü Tackles ignorance û Other barriers remain


Water Security, Risk & Society April 2012 Addressing water security risks: Can we leapfrog carbon?


Renewable Electricity GWh

60,000

1950

2008


European Emissions Trading System EU ETS spot price 35

30

25

20

â‚Ź/tCO2 15

10

5

0

2005

2008

Source: adapted by AEA using data from BlueNext

2011


Lessons +

Data requirements high - start early

+

Private sector prioritises and responds to (long-term) certainty

+

Use Market Mechanisms, but must add controls

+

Recognise co-benefits/interactions early

+

Institutional framework important


Water Security, Risk & Society April 2012 Addressing water security risks: Can we leapfrog carbon?


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