Industry Overview & Background
The earth's climate is changing and will continue to change for decades regardless of any greenhouse gas emissions controls adopted in the future. As evidenced by countless global summits, research projects and consistently accurate forecasts of climate change. The world leaders all agree that climate change is real. The questions are :-
- How should Human Structures Respond?
- How do we prepare for the future?
Across the world, response is typically divided into two interlinked components:
Mitigation describes the need to reduce greenhouse gas emissions and minimise the changes ahead. It will influence all organisations and individuals through the consequences of international agreements, carbon taxes, carbon trading and changes in the regulatory framework.
Adaptation, on the other hand, is used to describe the fact that further climate change is inevitable and mankind would do well to prepare now for the climate of the future.
In practice most organisations will be influenced by both the direct consequences of a changing climate (threats to water supply, supply chains and environmental deterioration as examples) and by the indirect consequences of mitigation agreements, regulations and social changes.
A most visible issue surrounds carbon emissions standards and accordingly, GCAP, using its vast network, will develop strategic alliances with the world's leading carbon experts.
The challenge for organisations in both the public and private sectors is to make investment decisions that are robust to both kinds of future changes.
The primary focus of GCAP is Adaptation.
The recognised climate adaptation challenges support skyrocketing budgets of organizations worldwide. From the $1 billion currently available, a consensus forecast is $10 billion per year by 2015, and some experts believe the market will grow to $20 billion annually by 2020. The finances to support most climate adaptation projects at present are negotiated, controlled largely by politics.
GCAP is well connected politically with all the major controlling organizations, including the Adaptation Fund Board, United Nations Convention on Climate Change Secretariat, African Development Bank, Asian Development Bank and many of the national governments who are building early adaptation programmes. As such, GCAP is entering the marketplace at the very "tip of the iceberg" and is well positioned to capitalise on its unique expertise and relationships.