Final week, the Council of Financial Advisers, in coordination with the Workplace of Administration and Funds, the Workplace of Clear Vitality Innovation and Implementation, the Workplace of Science and Know-how Coverage, and the Council on Environmental High quality, hosted a roundtable dialogue on local weather modeling for threat administration functions. The assembly introduced collectively leaders of U.S. local weather modeling facilities with tutorial specialists on local weather threat, representatives from the insurance coverage, reinsurance, and disaster threat modeling industries, Federal and state monetary regulators, and consultant from Federal businesses tasked with managing local weather dangers.
The Biden-Harris Administration acknowledges the financial, monetary, and monetary dangers posed by local weather change. Shortly after taking workplace, President Biden signed an Govt Order on Climate-Related Financial Risk which directs businesses throughout the Federal authorities to take steps to quantify and handle climate-related dangers. This work – together with broader adaptation and resilience efforts throughout the U.S. – requires high-quality, actionable, decision-relevant info on bodily local weather dangers.
Discussions centered round suggestions detailed within the April 2023 report on Extreme Weather Risk in a Changing Climate from the President’s Council of Advisers on Science and Know-how. The report highlights the problem of managing excessive climate dangers in a setting the place historic expertise can’t be assumed to signify present dangers, and highlights alternatives to offer improved info to assist threat administration and threat discount choices.
Main subjects of dialogue included:
- The best way to additional larger scientific focus and extra clear, peer-reviewed analysis on local weather threat modeling and the vital function of Federal local weather science establishments inside this group;
- The significance of integrating local weather vulnerability and publicity knowledge with bodily hazard info and the right way to tackle the institutional challenges of doing so;
- The necessity for extremely granular info for local weather threat administration functions and the right way to tackle the scientific challenges of furthering knowledge granularity;
- Challenges and alternatives in evaluating scientific high quality and reliability of local weather threat knowledge within the non-public sector, and the right way to additional public-private communities of observe on round these issues;
- The connection between local weather threat modeling and actionable local weather providers to satisfy communities’ and decision-makers’ local weather threat knowledge and data wants.