New Zealand’s economy could be $64 billion better off by 2050 if decisive climate action is taken, a new report by consulting firm Deloitte claims.
But failing to act could shrink the economy by $4.4 billion.
Deloitte’s Turning Point compares what could happen if the planet warms by 3C by the end of the century, against limiting global warming to as close to 1.5C above pre-industrial levels as possible by 2050.
The country has the opportunity to be a “leader in growth and prosperity through rapid decarbonisation”, the report said.
That means up-front costs that at first lower economic activity, but around 2036, there would be tipping point, and growth would start to outweigh the costs.
If the pace of decarbonisation can be escalated then New Zealand would be one of the first countries to reap the benefits.”
Doing nothing, the report predicts increasing temperatures will take a toll, including the loss of productive land, and investments diverted to patch up existing assets.
The report was also forecasting nearly 3000 fewer jobs by 2050 due to climate change if urgent action was not taken.
Worryingly, the report said its predictions were conservative.
Though achieving the 1.5C target is a global one, Deloitte said New Zealand – despite its low overall contributions to the world’s total emissions – cannot afford to do nothing.
