El Niño could have a significant impact on renewable energy production, says new WTW Natural Catastrophe Review
WTW (NASDAQ: WTW) has launched its Natural Catastrophe Review for Jan-June 2023, highlighting the potential impact of El Niño on renewable energy production and global weather patterns. Key findings include:
1. El Niño could cause wind drought in North America, affecting renewable energy production.
2. 2023 has seen five category five storms in the first five months.
3. Canadian wildfires have burned over 11 million hectares.
4. Human activities often exacerbate natural disasters, as seen in floods in New Zealand and Italy, and wildfires in Chile.
5. Potential socio-economic tipping points due to gradual climate change.
6. El Niño events lead to increased global surface temperatures.
The report emphasizes the importance of incorporating scientific analysis in natural catastrophe risk modeling to help businesses understand and mitigate risks.
WTW (NASDAQ: WTW) ha lanciato la sua Natural Catastrophe Review per gennaio-giugno 2023, evidenziando il potenziale impatto di El Niño sulla produzione di energia rinnovabile e sui modelli meteorologici globali. I principali risultati includono:
1. El Niño potrebbe causare una mancanza di vento in Nord America, influenzando la produzione di energia rinnovabile.
2. Nel 2023 si sono verificati cinque uragani di categoria cinque nei primi cinque mesi.
3. Gli incendi in Canada hanno bruciato oltre 11 milioni di ettari.
4. Le attività umane spesso esacerbano i disastri naturali, come dimostrato dalle alluvioni in Nuova Zelanda e Italia e dagli incendi in Ciliegia.
5. Potenziali punti di svolta socio-economici dovuti al cambiamento climatico graduale.
6. Gli eventi di El Niño portano a un aumento delle temperature superficiali globali.
Il rapporto sottolinea l'importanza di incorporare un'analisi scientifica nella modellizzazione del rischio di catastrofi naturali per aiutare le imprese a comprendere e mitigare i rischi.
WTW (NASDAQ: WTW) ha lanzado su Natural Catastrophe Review para enero-junio de 2023, destacando el impacto potencial de El Niño en la producción de energía renovable y en los patrones climáticos globales. Los hallazgos clave incluyen:
1. El Niño podría causar sequías de viento en América del Norte, afectando la producción de energía renovable.
2. En 2023 se han producido cinco tormentas de categoría cinco en los primeros cinco meses.
3. Los incendios en Canadá han quemado más de 11 millones de hectáreas.
4. Las actividades humanas a menudo exacerban los desastres naturales, como se observa en las inundaciones en Nueva Zelanda e Italia y en los incendios en Chile.
5. Posibles puntos de inflexión socioeconómicos debido al cambio climático gradual.
6. Los eventos de El Niño conducen a un aumento de las temperaturas superficiales globales.
El informe enfatiza la importancia de incorporar análisis científicos en la modelación del riesgo de catástrofes naturales para ayudar a las empresas a comprender y mitigar los riesgos.
WTW (NASDAQ: WTW)는 2023년 1월부터 6월까지의 자연 재해 리뷰를 발표하며 엘니뇨가 재생 가능한 에너지 생산과 전 세계 기후 패턴에 미치는 잠재적 영향을 강조했습니다. 주요 발견 사항은 다음과 같습니다:
1. 엘니뇨는 북미에서 바람이 부족해지는 현상을 초래할 수 있으며, 이는 재생 가능한 에너지 생산에 영향을 미칩니다.
2. 2023년에는 처음 5개월 동안 5개의 카테고리 5 폭풍우가 발생했습니다.
3. 캐나다의 산불로 1100만 헥타르 이상이 소실되었습니다.
4. 인간 활동은 종종 자연 재해를 악화시키며, 이는 뉴질랜드와 이탈리아의 홍수, 칠레의 산불에서 볼 수 있습니다.
5. 점진적인 기후 변화로 인한 잠재적인 사회경제적 전환점.
6. 엘니뇨 사건은 전 세계 표면 온도의 증가로 이어집니다.
보고서는 자연 재해 위험 모델링에 과학적 분석을 통합하는 것의 중요성을 강조하여 기업이 위험을 이해하고 완화할 수 있도록 돕습니다.
WTW (NASDAQ: WTW) a lancé sa Natural Catastrophe Review pour janvier-juin 2023, soulignant l'impact potentiel du phénomène El Niño sur la production d'énergie renouvelable et les schémas météorologiques mondiaux. Les résultats clés comprennent:
1. El Niño pourrait provoquer une sécheresse de vent en Amérique du Nord, affectant la production d'énergie renouvelable.
2. En 2023, cinq tempêtes de catégorie cinq se sont produites au cours des cinq premiers mois.
3. Les incendies de forêt au Canada ont brûlé plus de 11 millions d'hectares.
4. Les activités humaines exacerbent souvent les catastrophes naturelles, comme en témoignent les inondations en Nouvelle-Zélande et en Italie, ainsi que les incendies au Chili.
5. Points de basculement socio-économiques potentiels dus au changement climatique progressif.
6. Les événements El Niño entraînent une augmentation des températures de surface mondiales.
Le rapport souligne l'importance d'intégrer l'analyse scientifique dans la modélisation des risques de catastrophes naturelles pour aider les entreprises à comprendre et atténuer les risques.
WTW (NASDAQ: WTW) hat seine Natural Catastrophe Review für Januar bis Juni 2023 veröffentlicht, in der die potenziellen Auswirkungen von El Niño auf die Erzeugung erneuerbarer Energien und globale Wetterbedingungen hervorgehoben werden. Wesentliche Erkenntnisse sind:
1. El Niño könnte in Nordamerika eine Windflaute verursachen, die die Erzeugung erneuerbarer Energien beeinträchtigt.
2. Im Jahr 2023 gab es in den ersten fünf Monaten fünf Stürme der Kategorie fünf.
3. In Kanada haben Waldbrände über 11 Millionen Hektar zerstört.
4. Menschliche Aktivitäten verschärfen oft Naturkatastrophen, wie bei den Überschwemmungen in Neuseeland und Italien sowie den Waldbränden in Chile.
5. Potenzielle sozioökonomische Kipppunkte aufgrund des schrittweisen Klimawandels.
6. El Niño-Ereignisse führen zu einem Anstieg der globalen Oberflächentemperaturen.
Der Bericht betont die Bedeutung der Integration wissenschaftlicher Analysen in die Risikoanalyse bei Naturkatastrophen, um Unternehmen dabei zu helfen, Risiken zu verstehen und zu mindern.
- Launch of WTW's Natural Catastrophe Review providing in-depth analysis of catastrophe risks
- Collaboration with research institutions to provide deeper insights into natural catastrophes
- Incorporation of scientific analysis in natural catastrophe risk modeling
- Potential wind drought in North America affecting renewable energy production
- Increased frequency of severe storms (five category five storms in first five months of 2023)
- Unprecedented Canadian wildfires burning over 11 million hectares
- Potential for record-high temperatures, unusual weather, and slower economic growth due to El Niño
Insights
As a climate scientist, I find the WTW Natural Catastrophe Review's findings on El Niño's potential impact on renewable energy production particularly noteworthy. The report's highlight of a possible "wind drought" in North America is a important consideration for the renewable energy sector. This phenomenon could significantly reduce wind power generation, potentially disrupting the energy mix and stability of power grids heavily reliant on wind energy.
The review's emphasis on the unprecedented occurrence of five category five storms in the first five months of 2023 is alarming. This extreme weather pattern, coupled with the emerging El Niño and exceptional Atlantic warmth, suggests we may be entering a new era of climate volatility. The potential for record-high temperatures and unusual weather patterns during an El Niño event could have far-reaching consequences for various industries, from agriculture to insurance.
Of particular interest is the report's mention of socio-economic tipping points. This concept, where gradual climate change leads to sudden socio-economic shifts, is an often-overlooked aspect of climate risk. The example of potential collapse in property prices due to climate change is a stark reminder of the interconnectedness of environmental and economic systems. This highlights the need for comprehensive climate risk assessments that go beyond immediate physical impacts to consider long-term socio-economic consequences.
The review's holistic approach, incorporating insights on exposure and vulnerabilities of affected regions, is commendable. This multi-faceted analysis is important for developing effective risk mitigation strategies in an increasingly complex climate landscape.
The WTW Natural Catastrophe Review's findings on El Niño's potential impact on renewable energy production are significant for investors in the clean energy sector. The possibility of a "wind drought" in North America could have substantial implications for wind energy companies operating in the region. Investors should be aware that this could lead to reduced power generation and potentially lower revenues for wind farm operators.
However, it's important to note that this situation might create opportunities for other renewable energy sources. Solar energy, for instance, might see increased demand in regions affected by wind droughts. This could potentially benefit companies focused on solar power generation and storage solutions.
The report's emphasis on the need to understand the potential consequences of natural disasters is important for risk assessment in the renewable energy sector. Extreme weather events, such as the unprecedented wildfires and floods mentioned, can damage renewable energy infrastructure and disrupt operations. This underscores the importance of geographical diversification and robust insurance coverage for renewable energy projects.
The mention of socio-economic tipping points is particularly relevant for long-term investors in the renewable energy sector. The potential for sudden shifts in property values due to climate change could affect the viability of certain locations for renewable energy projects. This highlights the need for thorough due diligence and long-term climate risk assessment when considering investments in fixed assets like wind farms or solar installations.
Overall, while the report presents some challenges for the renewable energy sector, it also underscores the growing importance of clean energy in mitigating climate change impacts. Companies that can adapt to these changing conditions and diversify their energy sources may be better positioned in the long term.
Natural Catastrophe Review (Jan – June 2023) launched by WTW provides in-depth analysis of catastrophe risk by leveraging collaborations with research institutions.
LONDON, July 29, 2024 (GLOBE NEWSWIRE) -- The emerging El Niño could cause wind drought in North America, which would have a significant effect on renewable energy production in the region, says a new report launched today by WTW (NASDAQ: WTW), a leading global advisory, broking, and solutions company.
The review also highlights how different 2023 has been to date with five category five storms in the first five months. This year’s combination of El Niño and exceptional Atlantic warmth is expected to have significant impact on weather patterns and temperatures across the globe.
The review outlines key perils which need to be monitored as well as exploring the reasons why those natural catastrophes turned into a natural disaster, going beyond the severity of the event, and incorporating insights into exposure and vulnerabilities of the regions affected. The report also delves into the science behind those events and provides insights on what to watch for in the second half of the year.
Key findings include:
- As the world warms, we continue to see natural disasters, such as the unprecedented Canadian wildfires that began in May and have burned over 11 million hectares to date.
- Human activities, such as land use, often exacerbate the impacts of natural disasters as we saw this year with the floods in New Zealand and Italy, and wildfires in Chile.
- Awareness needs to be raised about potential socio-economic tipping points, where gradual climate change leads to sudden socio-economic shifts such as the collapse of property prices.
- During an El Niño event, the atmosphere absorbs more heat while the ocean takes up less, and so two to three months after the event begins, global surface temperatures increase.
- For three years in a row, Earth’s largest ocean has been stuck in its La Niña configuration. Should the Pacific flip to El Niño, businesses should prepare for record-high temperatures, unusual weather, and slower economic growth.
Helene Galy, Managing Director of the WTW Research Network, said “Our direct links and close collaboration with the scientific community through the WTW Research Network enables us to provide deeper insights into key natural catastrophes as well as lessons learned. When quantifying natural catastrophe risk, it is crucial to incorporate in-depth scientific analysis in our modelling. As we are seeing with the current wildfires and extreme weather across Europe, China and North America, the business impact of these disasters means it is crucial that risk managers understand their potential consequences, as well as learning lessons from previous events and the value and limits of seasonal forecasting. We are delighted to be introducing this latest bi-annual scientific review to help our clients understand and mitigate natural catastrophe risks.”
About WTW
At WTW (NASDAQ: WTW), we provide data-driven, insight-led solutions in the areas of people, risk and capital. Leveraging the global view and local expertise of our colleagues serving 140 countries and markets, we help organizations sharpen their strategy, enhance organizational resilience, motivate their workforce and maximize performance.
Working shoulder to shoulder with our clients, we uncover opportunities for sustainable success—and provide perspective that moves you.
Learn more at wtwco.com.
Media contact
Sarah Booker: +44 7917 722040 / Sarah.booker@wtwco.com
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