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Climate risks and adaptation in Asian coastal megacities: A synthesis

Climate risks and adaptation in Asian coastal megacities: A synthesis

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Table 2.3 ■ Direct <strong>and</strong> Indirect Costs from Flood<strong>in</strong>gTangibleDirect Costs Repair, replacement, <strong>and</strong> clean<strong>in</strong>g costs associated with physical damage to assetsPublic <strong>in</strong>frastructureCommercial <strong>and</strong> residential build<strong>in</strong>gsInventoryVehiclesLoss of productive l<strong>and</strong> <strong>and</strong> livestockCrop loss 1IndirectCostsLoss of <strong>in</strong>dustrial production or revenuesIncreased operational costs for commercial entitiesLost earn<strong>in</strong>gs or wagesTime costs from traffic disruptionsPost-flood flood proof<strong>in</strong>g <strong>in</strong>vestments by the private sectorEmergency flood management costs to the public sectorIntangibleLoss of human lifeLoss of ecological goodsLoss of archaeological resourcesLong-term health costs from pollution or flood<strong>in</strong>juriesPost-flood recovery <strong>in</strong>convenience <strong>and</strong>vulnerability1Income loss from crop destruction is conventionally treated as a direct cost. If l<strong>and</strong> is sal<strong>in</strong>ized or there is permanent <strong>in</strong>undation, then the loss <strong>in</strong> the asset value of l<strong>and</strong> is the cost to<strong>in</strong>clude. Care needs to be taken to dist<strong>in</strong>guish between one-time crop loss <strong>and</strong> l<strong>and</strong> value losses that are of longer duration.Source: Modified from Messner et al. (2007).methods used by the Manila <strong>and</strong> Bangkok study todevelop cost estimates are discussed below. Figure2.3 summarizes the ma<strong>in</strong> steps taken <strong>in</strong> estimat<strong>in</strong>gcosts <strong>and</strong> then estimat<strong>in</strong>g the net benefits from<strong>in</strong>vestments to reduce flood<strong>in</strong>g.Damages to build<strong>in</strong>gs, <strong>in</strong>dustry, commerce,<strong>and</strong> residents <strong>in</strong> Bangkok <strong>and</strong> ManilaA key impact of floods is on exist<strong>in</strong>g build<strong>in</strong>gs.Floods are assumed to cause damage but not destroyFigure 2.3 ■ Estimat<strong>in</strong>g Impacts—A Flow ChartCurrent <strong>and</strong> 2050Floods (all cities)1 Area flooded2 Duration of flood3 Depth of floodbased on different climatechanges, l<strong>and</strong> subsidence,<strong>and</strong> assumptionsabout flood control <strong>in</strong>frastructureImpacts <strong>in</strong> floodedareas on:1 Industry <strong>and</strong> Commerce2 L<strong>and</strong>, agriculture <strong>and</strong>ecosystems3 Transportation4 Energy, water <strong>and</strong>sanitation5 Income, population,<strong>and</strong> healthbased on flood duration<strong>and</strong> depthValuation of damages(Bangkok <strong>and</strong> Manila):1 Repairs of build<strong>in</strong>gs2 Losses <strong>in</strong> household assets <strong>and</strong>commercial <strong>in</strong>ventory <strong>and</strong> assets3 Transport delay <strong>and</strong> <strong>in</strong>frastructurecosts4 Revenue losses to the public sector(electricity utilities, hospitals,transportation authorities, water<strong>and</strong> sanitation utilities)5 Wage <strong>and</strong> <strong>in</strong>come lossesVulnerability assessment (HCMC)<strong>and</strong> valuation of:1 Infrastructure at risk2 People at risk3 L<strong>and</strong> at risk4 Likely GDP losses5 Ecosystems at risk (no valuation)AdaptationIdentification of <strong>adaptation</strong>strategies (all cities)Estimation of <strong>adaptation</strong><strong>in</strong>frastructure costs <strong>and</strong>annualized benefits(Bangkok <strong>and</strong> Manila)Estimation of discountednet benefits (Bangkok <strong>and</strong>Manila)Methodologies for Downscal<strong>in</strong>g, Hydrological Mapp<strong>in</strong>g, <strong>and</strong> Assess<strong>in</strong>g Damage Costs | 13

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