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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 4.15 ■ Summary of Present Valueof <strong>Climate</strong> Change Costs<strong>in</strong> HCMC (USD)Regular Flood<strong>in</strong>g Extreme Flood<strong>in</strong>g TotalL<strong>and</strong> (l<strong>in</strong>ear) 22,658,038,001 6,850,465,427 29,508,503,427L<strong>and</strong>6,156,082,749 423,561,165 6,579,643,914(quadratic)GDP 49,492,036,285 489,388,337 49,981,424,623Source: ADB (2010). Some differences due to exchange rate variations.1 USD=16302.25to market prices for l<strong>and</strong>) undervalue l<strong>and</strong> <strong>in</strong> thecity. On this basis alone, had market prices for l<strong>and</strong>values been used <strong>in</strong>stead of adm<strong>in</strong>istratively determ<strong>in</strong>edl<strong>and</strong> prices (which were effectively used), theestimated cost of climate change us<strong>in</strong>g l<strong>and</strong> valueswould have been higher than presented earlier.Second, GDP per capita figures at the district levelwere unavailable. This may overestimate the GDPloss across the city as rural districts <strong>in</strong> the southsuch as Can Gio <strong>and</strong> Nha Be are responsible forvery little GDP production, <strong>and</strong> yet which may bemore vulnerable to climate change. Further detailed<strong>in</strong>vestigations <strong>and</strong> data collection would be requiredto ref<strong>in</strong>e these figures.Box 4.4 ■ Rough Estimate ofViability of Proposed Flood ControlMeasuresHCMC has already proposed to build a system of flood defensesthat will significantly alter the pattern of flood<strong>in</strong>g <strong>and</strong> the hydrologyof the city. This project has an estimated capital cost of $750million <strong>and</strong> is expected to be completed by 2025. The effects of theproposed flood control measures on regular flood<strong>in</strong>g would seemto be significant <strong>in</strong> reduc<strong>in</strong>g the population exposed to flood<strong>in</strong>g <strong>in</strong>2050 from an estimated 10.2 million to 6.7 million, a reduction of 35percent. Based on the GDP method of estimation, the project wouldproportionately decrease damage costs by 35 percent, mak<strong>in</strong>g thisan economically viable project. However, further economic analysesof this project needs to be carefully undertaken.Source: ADB (2010).Analysis of Adaptation <strong>in</strong>HCMCUnlike the Bangkok <strong>and</strong> Manila studies, the HCMCstudy did not undertake a detailed cost benefitanalysis to prioritize <strong>adaptation</strong> options. Whileit did provide an estimate of the viability of thegovernment’s flood protection project (Box 4.4), thema<strong>in</strong> focus was to identify <strong>in</strong>stitutional m<strong>and</strong>ateswith respect to urban plann<strong>in</strong>g, flood protection,<strong>and</strong> <strong>adaptation</strong> <strong>and</strong> propose a range of <strong>adaptation</strong>options that need to be undertaken <strong>in</strong> coord<strong>in</strong>ationwith different sectors.Broadly, <strong>adaptation</strong> measures <strong>in</strong> the context ofmanag<strong>in</strong>g floods can be categorized as those that<strong>in</strong>volve (a) protection aga<strong>in</strong>st predicted climatechange, (b) accommodation to improve resilience,(c) retreat to reduce exposure, <strong>and</strong> (d) improvedmanagement (see Annex C). 58 For <strong>in</strong>stance, <strong>in</strong>frastructuralmeasures such as construction of floodembankments, polders, sea walls, <strong>and</strong> pumpeddra<strong>in</strong>age are common eng<strong>in</strong>eer<strong>in</strong>g solutions <strong>and</strong>are be<strong>in</strong>g implemented <strong>in</strong> all three cities discussed<strong>in</strong> this report. “Accommodation” measures thatseek to m<strong>in</strong>imize vulnerability <strong>in</strong>clude measuressuch as rais<strong>in</strong>g houses on stilts, adjust<strong>in</strong>g cropp<strong>in</strong>gpatterns, <strong>and</strong> revis<strong>in</strong>g build<strong>in</strong>g codes for hous<strong>in</strong>g<strong>and</strong> <strong>in</strong>dustry. In some cases, where the <strong>risks</strong> of lossof life or assets is severe, “retreat” as a plann<strong>in</strong>g optioncan reduce exposure to extreme events. Used<strong>in</strong> conjunction with restor<strong>in</strong>g natural ecosystemsthat provide flood protection benefits, it can be auseful plann<strong>in</strong>g tool. F<strong>in</strong>ally, flood<strong>in</strong>g needs to beconsidered <strong>in</strong> the context of overall water bas<strong>in</strong>management <strong>and</strong> the <strong>in</strong>stitutional capacity to managethe resource.Develop<strong>in</strong>g sector specific <strong>adaptation</strong>options with focus on the poorIn the HCMC study, a comb<strong>in</strong>ation of these measuresis proposed. Specifically, the study argues fordevelopment of sector specific <strong>adaptation</strong> optionswith a focus on the poor. For <strong>in</strong>stance, <strong>in</strong> terms58Drawn from IPCC, AR4, chapter 6, Coastal systems <strong>and</strong>low-ly<strong>in</strong>g areas, Figure 6.11 Evolution of planned <strong>coastal</strong><strong>adaptation</strong> measures, pg. 342, 2007.72 | <strong>Climate</strong> Risks <strong>and</strong> Adaptation <strong>in</strong> <strong>Asian</strong> Coastal Megacities: A Synthesis Report

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