perils of ignoring climate risks
by Dr. K. Srinivasa Rao Global warming is causing fury across the globe, devastating lives and livelihood. It leads to natural calamities and even triggers pandemics. Climate risk is mounting up into catastrophe that can be a threat to the human species if risk management is not made inclusive to protect the green planet. The sea surface temperature going beyond 28 degrees Celsius is triggering a series of intense cyclones, hailstorms, and tornados, causing extensive damage much beyond coastal regions. One cyclone following another one has become the ‘new normal’ sending shock waves, more to the poor, at the bottom of the pyramid. Though the Paris climate agreements – December 2015, mandates to limit global warming to well below 2, preferably to 1.5 degree Celsius, compared to pre-industrial levels, not much is seen to have happened to manage climate risk. Continued use of fossil fuels, deforestation and frequent forest fires due to carbon sink are inimical to climate with its perils inundating the society.
hazards of climate risks Greenhouse gases, increased carbon emissions amid continued thrust on industrialization and rapid urbanization, are collectively increasing mean global sea levels. Ocean heat waves, irreversible damage to biodiversity, and extreme weather conditions threaten food security due to floods and droughts that can hit millions of poor. The far-reaching consequences of an inability to focus adequately on managing climate risks that are responsible for unfettered carbon emissions. Even the coronavirus that is ravaging the planet is nature’s revenge for the way human habitation is living closer to wild animals interchanging space, making it easy for diseases to jump from animals to humans. Developing countries are growing fast, living amid skyscrapers and perpetuating wildlife wet markets full of exotic animals/bats, a perfect cauldron for animal-to-human viral transfer. Mania for risky developments that humans can hardly put up with unless managed well restoring ecological equilibrium.
enterprise risk management (ERM) Management of climate risk is part of ERM. But the tradeoff between near-term business aspirations of corporate entities and long-term climate control needs are not balanced well, causing imminent ecological imbalance.
Intelligent Risk - July 2021
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