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Food
and
Water:

Basic
Challenges
to
Interna5onal
Stability



Climate
Change
and
Future
Food
Insecurity







Paul
E.
Walsh

Founder
and
Managing
Principal



G2
Weather
Intelligence,
LLC


Paul.Walsh@G2Weather.com

Overview


   IntroducBon

• 
   Weather
Risk
Management
Overview

• 
   Climate
Change
Primer

• 
   The
Next
100
Years:

Climate
“DisrupBon”
and
Food

• 
   Security

•  The
Next
Few
Years:

The
Debate
Heats
Up

•  QuesBons

G2
Weather
Intelligence,
LLC





        Helping
businesses
make
more

        money
by
proacBvely
planning
for

        the
influence
of
weather
on

        consumers
and
business

©
2008
G2
Weather
Intelligence,
LLC.

All

Rights
Reserved

“Always check
 the weather
report before
 you pray for
    rain.”

‐

Mark
Twain

Managing
Weather‐Related
Uncertainty


Three
components:


  1.  Understanding
value
at
risk
($)


  2.  OperaBonal
management
(managing
the
knowable)

          Real‐Bme

      
          TacBcal

      
          Seasonal

      
          Very
long‐lead
(decades)
Scenario
Planning

      

  3.  Financial
management
(hedging
the
unknowable)

       Weather
derivaBve
hedging
soluBons

Trust,
but
Verify:

On
Seasonal
ForecasBng,

  Uncertainty,
and
Weather
Risk
Management

•  Seasonal
forecasts
useful
for

   understanding
climate
trends

   and
anomalies

•  Forecasts
based
on
large
scale

   interacBons
between
the

   ocean
and
atmosphere

•  Opera&onal/policy
decisions

   shaped
by
probabili&es
and

   odds
vice
absolutes

•  Financial
hedging
used
to

   offset
the
uncertainty
inherent

   in
seasonal
forecast

“Climate
change
poses
clear,
catastrophic
threats.
We
may

                                 not
agree
on
the
extent,
but
we
certainly
can't
afford
the

                                 risk
of
inac5on.”

Rupert
Murdoch,
CEO,
News
Corp






                       “…the
threat
of
catastrophic
global
warming
is
the
greatest

                       hoax
ever
perpetrated
on
the
American
people,”



U.S.
Sen.

                       James
M.
Inhofe
(R‐Okla)




Photo
courtesy
of
Smiling
Pug

Climate
Change
Primer
from
the
President’s

      Science
and
Technology
Advisor

The
Hockey
SBck





Source:

John
Holdren
The
Science
of
Climate
DisrupBon

The
Smoking
Gun





Source:

John
Holdren
The
Science
of
Climate
DisrupBon

Increased
Frequency
of

Heat
Waves







          2003
                        2040





Source:

John
Holdren
The
Science
of
Climate
DisrupBon

Warnings
of
Future
Food
Insecurity
With

         Unprecedented
Seasonal
Heat






“The
food
crisis
of
2006
‐
2008
demonstrates
the
fragile
nature
of
feeding
the

world’s
human
populaBon.
“

   
‐

David
BafsB,
University
of
Washington
and
Rosamond
Naylor,
Stanford


Higher
Growing
Season
Temperatures
Have

            DramaBc
Impacts
on
Agriculture
ProducBvity



       •  Avoiding
a
perpetual

          food
crisis
under

          condiBons
of
global

          warming
a
serious

          future
challenge


       •  Direct
yield
losses
in

          the
tropics
and
sub‐
          tropics
esBmated
at
2.5

          to
16%
for
every
1°C

          increase
in
seasonal

          temperature



Source:

David
BafsB,
University
of
Washington
and
Rosamond
Naylor,
Stanford


>90%
Probability
Growing
Season
Temperatures
in

       the
tropics
and
subtropics
by
the
end
of
the
21st

       century
will
exceed
the
most
extreme
seasonal

       temperatures
recorded
from
1900
to
2006






‐

David
BafsB,
University
of
Washington
and
Rosamond
Naylor,
Stanford


Regional
Examples:

France


       •  Summer
2003
heat

          wave
in
western
Europe

       •  >30K
killed

       •  20%
to
30%
decreases

          in
agriculture


          producBon


       •  Projec5ons
call
for
that


          level
of
heat
to
be
the

          norm
by
the
end
of
the

          century





‐

David
BafsB,
University
of
Washington
and
Rosamond
Naylor,
Stanford


Regional
DisrupBons
Have
Global
ImplicaBons




•  Countries
respond
to
producBon
and
price
volaBlity

   by
restricBng
trade
or
purchasing
large
quanBBes
on

   internaBonal
markets


•  Future
heat
stress
on
crops
and
livestock
will
occur

   in
an
environment
of
rising
demand
for
food
and

   animal
feed
making
markets
more
vulnerable
to

   price
swings



•  Most
damaging
to
poor
households
that
spend
the

   majority
of
their
incomes
on
staple
foods


World
Bank
Weather
Risk
Management
Efforts


                in
Malawi

World
Bank
Weather
Risk
Management
Efforts


                in
Malawi

World
Bank
Weather
Risk
Management
Efforts


                in
Malawi

World
Bank
Weather
Risk
Management
Efforts


                in
Malawi

HeaBng
up
the
Climate
Change
Debate


•  Possible
we
could
be

   entering
into
a
period
of

   cooling
across
the

   populated
regions
in
the

   Northern
Hemisphere


•  The
Pacific
Decadal

   Oscilla5on
(PDO)
is
a

   pabern
of
Pacific

   climate
variability
that

   shiks
phases
on
at
least

   inter‐decadal
Bme

   scales,
usually
about
20

   to
30
years



A
New
Regime
of
Colder
Weather?




                                                                                 ?
                                                                                 ?




“In
general,
the
climate
regime
no
longer
resembles
the
recent
warm
spell
of
the
last

25
years.

The
persistence
of
the
very
cold
Pacific
Ocean
of
the
the
last
couple
of
years

has
resulted
in
…
paKerns
more
similar
to
the
1950s‐1970s.


If
this
“old‐school”

paKern
persists
much
longer,
the
global
oceans
will
conQnue
to
cool
off,
and
we
will

likely
head
into
a
cooler
mulQ‐decadal
climate
regime.”





‐‐


Dr
Todd
Crawford,
WSI
Seasonal
Forecaster

Spring
2009
Weather
Driver:



       La
Nina
Redux


Typical
January
–
March
Weather
During

Moderate
to
Strong
El
Nino
and
La
Nina

Summary
Points




•  Science:

>90%
likely
(“virtually
certain”)
climate
change
will
result
in
significant

   global
food
disrupBons
this
century


•  Tropics
and
sub‐tropics
the
most
at
risk
for
significant
disrupBon;
impacBng
the

   most
vulnerable
populaBons


•  SoluBons
likely
to
come
in
the
form
of
adapBve
technologies
and
increasing

   use
of
financial
hedging
instruments


•  PoliBcal
debate
re:
climate
change
may
be
heaBng
up
over
the
next
few
years
if

   the
PDO
phase
shik
results
in
a
long‐term
return
to
cooler
temperatures


    •  ComplicaBng
the
transformaBonal
and
adapBve
changes
needed
to

       manage
the
coming
challenges


QuesBons?



                 Paul
Walsh,
G2
Weather
Intelligence
LLC


                   –  Paul.Walsh@G2Weather.com

                   –  Direct:



+1.917.463.4238

                   –  Mobile:

+1.610.246.0623

                   –  Blog/Website:

www.G2Weather.com

“Changing
the

way
business

thinks
about

the
weather”


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Climate Change and Future Food Insecurity