Economic Impact Assessment of Climate Change
Economic Impact Assessment of Climate Change in Key Sectors in Nepal
Client: Government of Nepal
Origin of funding: CDKN
Dates: March 2012- August 2014
Lead office: PAC Nepal
Description of the Project
The Government of Nepal, supported by CDKN, have implemented a study “Economic Impact Assessment of Climate Change in Key Sectors in Nepal” with technical support from Integrated Development Society (IDS) Nepal, Practical Action Consulting (PAC) Nepal and the Global Climate Adaptation Partnership (GCAP), UK.
The study aims to better understand the economic impacts of present and future climate change in Nepal in two key sectors: water and agriculture.
The primary objectives of the study are:
- To provide headline and sectoral estimates of the impacts and economic costs of climate change for the agricultural and water sectors, as an input to the Government’s assessment of losses and benefits from climate change.
- To provide a ranking of climate compatible development options to address risks identified in these areas.
- To build the capacity of government officials and key stakeholders for economic assessment of climate change impacts and economic costs/losses and damages, and the use of this information for adaptation planning and practice.
Recognizing that climate change involves evolving risks over future time periods, the study will assess the effects of climate change from currently climate variability and emerging trends, through to longer term climatic changes.
The approach therefore assesses:
- The impacts and costs of short-term climate variability (now and the next 5 – 10 years) – focused on current and emerging trends - and the adaptation response of building adaptive capacity and “no and low regrets” actions.
- The impacts and costs of climate change on development plans and objectives in the medium term (for next 20 years) – including emerging climate signals – and the adaptation response of building climate resilience into growth and sector development plans.
- The impacts and costs of medium to long-term climate resilience (2030 to 2060) – looking at the impacts of major climate change – and the adaptation response of identifying areas for early action to address long-term changes.
Finally, by bringing this information, the team will assess the evolution of potential costs of climate change over time, and build up a climate compatible development pathway to address these
Work carried out by PAC team
• A systematic review of relevant data sources and information for the inception report
• Conducting stakeholder consultation meetings
• Sourcing and ensuring quality of relevant data for the assessment
• Project management
• Delivering training to government officials and other relevant stakeholders
• Modeling and Assessment
• Conducting case studies
• Monitoring and Reporting on project outputs