MONTHLY BAROMETER
The latest Intergovernmental Panel on Climate Change (IPCC) report on the current state of climate makes for grim reading. Its overarching conclusion is that every fraction of a degree of warming matters; and that if we want to limit global warming to 1.5˚ C (2.7˚ F) in the hope of averting catastrophe, we have as little as 12 years to act, which requires slashing global emissions by 45 percent.
For investors, this means the following: (1) a tax carbon combined with heavy regulation is inevitable; (2) progress in the use of nonfossil fuel technologies will continue to advance exponentially rather than linearly, with sustainability embedded in all decisions.
WELLNESS EDITION
Global warming is anxiety provoking and, therefore, bound to have a negative effect on our wellbeing. Numerous academic papers are being published on the psychological toll that climate change exercises on our mental health; and last year, the American Psychological Association validated for the first time “eco-anxiety” as a clinically legitimate diagnosis.
This suggests that demand for mental wellness services will increase (roughly) in some proportion with the extreme weather manifestations, such as heat waves, hurricanes, fires and droughts, all of which are progressively becoming the norm.
Slash Emissions by 45% 12 years… Who are we kidding. Virtually none of the targets agreed to by the various nations in the Paris agreement have been met their objectives so I don’t think we can expect some great turnaround any time soon…
Unfortunately the operating word (s) must now be Global Warming [which is really what e are talking about] ADAPTATION… We must move immediately to put in place those mechanisms that well help offset the devastating impacts of a substantially hotter planet including Dubai level temperatures in New York City by say 2040. Imagine, 62 people died of heat this summer In Montréal…. What will future temperatures be like in the southern US states or North Africa in 12 years? We must start planting millions of shade trees to reduce street temperatures and provide the evapotranspiration that at least will help support life. Similarly we must implement solutions to prevent the loss of life and land because of rising sea levels and those destructive storm surges. Yikes I’m getting anxious… just writing about it…