Figure 8.4 — National Issues Report

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Annual insured losses related to natural hazards in Canada, in millions of 2018 $.

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Data source: CatIQ, n.d.; Insurance Bureau of Canada, 2020.

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Map of Adaptation Actions

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Map of Adaptation Actions

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Foreword

Overview

Chapter 1

Chapter 2

Chapter 3

Chapter 4

Chapter 5

Chapter 6

Chapter 7

Chapter 8

Chapter 9

Foreword

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Foreword

Overview

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Introduction
Key findings of the National Issues Report
Moving forward

Introduction

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1.1Introduction
1.2Canada’s National Knowledge Assessment process
1.3Scope and structure of the National Issues Report
1.4References

Cities and Towns

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Key messages
2.1Introduction
- 2.1.1Cities and towns
- 2.1.2Climate change impacts in cities and towns
2.2Climate change is threatening Canada’s ageing infrastructure
- 2.2.1Introduction
- 2.2.2Approaches and mechanisms to reduce risks
- 2.2.3Decision-support tools
- 2.2.4Funding
- 2.2.5Interdependencies
2.3Enhancing green spaces helps cities and towns adapt to climate change
- 2.3.1Introduction
- 2.3.2Low impact development
- 2.3.3Urban biodiversity
- 2.3.4Urban forests
- 2.3.5Water supply
- 2.3.6Multifunctional landscape planning
2.4Climate change will hit those already struggling in cities and towns the hardest
- 2.4.1Impacts on individuals and communities
- 2.4.2Social determinants
- 2.4.3Strong social systems
- 2.4.4Increasing equity
- 2.4.5Place-based adaptation
2.5Working together yields the most successful outcomes
- 2.5.1Introduction
- 2.5.2Co-production
- 2.5.3Municipal governments
- 2.5.4Private and public sectors
- 2.5.5Citizens
- 2.5.6Boundary organizations
2.6Indigenous peoples in cities and towns are often affected in unique ways by climate change
2.7Cities and towns are moving from adaptation planning to implementation
- 2.7.1Introduction
- 2.7.2Barriers to adaptation
- 2.7.3Advancing adaptation implementation
2.8Monitoring and evaluation of adaptation is an important and often overlooked step
- 2.8.1Introduction
- 2.8.2Progress and approaches
2.9Moving forward
- 2.9.1Knowledge gaps and research needs
- 2.9.2Emerging issues
2.10Conclusion
2.11References

Rural and Remote Communities

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Key messages
3.1Introduction
- 3.1.1Rural and remote Canada
- 3.1.2Approach to chapter development
3.2Climate change is affecting rural and remote communities
- 3.2.1Introduction
- 3.2.2Knowledge-sharing and collaboration
3.3Local and Indigenous Knowledge are key to adaptation and understanding climate impacts
3.4Climate change is challenging livelihoods and economies
3.5Critical infrastructure and services are at risk
3.6Individual and community health and well-being are being negatively affected
3.7Climate change is resulting in intangible losses and damages
3.8Local participation in adaptation decision-making improves outcomes
3.9Moving forward
- 3.9.1Knowledge gaps and research needs
- 3.9.2Emerging issues
3.10Conclusion
3.11References

Water Resources

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Key Messages
4.1Introduction
4.2Climate change creates risks for water resources
- 4.2.1Observed changes
- 4.2.2Climate trends and projections
4.3Effective coordination across complex water systems enhances adaptation
- 4.3.1Introduction
- 4.3.2Transboundary and watershed organizations
- 4.3.3Adaptive capacity and the changing nature of water governance
- 4.3.4Conclusion
4.4Adaptation is advancing through innovation and adaptive management
- 4.4.1Introduction
- 4.4.2Institutional barriers to innovation
- 4.4.3Leadership and water champions
- 4.4.4Stakeholder participation and social learning
- 4.4.5Adaptive management and water experiments
4.5It is vital to engage the public and build awareness about adaptation opportunities
- 4.5.1Introduction
- 4.5.2Perceptions of water and climate
- 4.5.3Building public support for adaptation
- 4.5.4Diversifying policy tools
- 4.5.5Conclusion
4.6Water system vulnerability can be reduced through quality data and resilient design
- 4.6.1Introduction
- 4.6.2Water information systems
- 4.6.3Water-related infrastructure
4.7Moving forward
- 4.7.1Knowledge gaps and research needs
4.8Conclusion
4.9References

Ecosystem Services

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Key messages
5.1Introduction
5.2Climate change is threatening Canada’s ecosystems and the services they provide
- 5.2.1Introduction
- 5.2.2Phenology
- 5.2.3Changing distributions
- 5.2.4Protected and conserved areas
5.3Impacts will vary across Canada’s ecosystems and regions
- 5.3.1Introduction
- 5.3.2Northern regions
- 5.3.3Mountain regions
- 5.3.4Forested regions
- 5.3.5Coastal regions
- 5.3.6Enhancing adaptive capacity
5.4Indigenous Knowledge is vital to maintaining ecosystems
5.5Nature-based approaches to adaptation maximize benefits
- 5.5.1Introduction
- 5.5.2Nature-based approaches to adaptation
  - 5.5.2.1Marshland restoration in response to sea-level rise
  - 5.5.2.2Low impact shoreline development
  - 5.5.2.3Urban forests
  - 5.5.2.4Greenways and greenbelts around urban areas
  - 5.5.2.5Nature-based vs. engineered approaches
5.6Moving forward
- 5.6.1Knowledge gaps
  - 5.6.1.1Climate change impacts to ecosystems and their services
  - 5.6.1.2Data and information
- 5.6.2 Emerging issues
  - 5.6.2.1Valuation of nature-based approaches
  - 5.6.2.2Improved integration of Indigenous Knowledge
  - 5.6.2.3Growing role for citizen science
  - 5.6.2.4Broadening collaboration
  - 5.6.2.5Innovative investments and partnerships
  - 5.6.2.6Growing private interest in nature-based approaches to adaptation
5.7Conclusion
5.8References
5.9Appendix 1

Costs and Benefits of Climate Change Impacts and Adaptation

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Key messages
6.1Introduction
- 6.1.1Introduction
- 6.1.2Context
6.2Economic analysis helps to inform adaptation planning
6.3Climate change leads to a wide range of economic and social costs
- 6.3.1Direct and indirect costs
- 6.3.2Macroeconomic costs
- 6.3.3Welfare losses
- 6.3.4Co-benefits and other co-impacts
- 6.3.5Private and social costs
6.4Costs related to extreme weather events are increasing
- 6.4.1Introduction
- 6.4.2Global trends in damages
- 6.4.3Damage trends in Canada
- 6.4.4What is influencing growing losses?
6.5Future climate change costs for Canada will be high
- 6.5.1Introduction
- 6.5.2Multi-sector national cost assessments
- 6.5.3Sector and regional cost assessments
  - 6.5.3.1Forestry
  - 6.5.3.2Coastal regions
  - 6.5.3.3Water levels
  - 6.5.3.4Human health
  - 6.5.3.5Ski resorts
  - 6.5.3.6Agriculture
- 6.5.4Municipal cost assessments
6.6 Economic decision support tools help with assessing adaptation options
- 6.6.1Introduction
- 6.6.2Decision criteria
- 6.6.3Conventional economic decision support tools
- 6.6.4Key methodological challenges
  - 6.6.4.1Handling deep uncertainty
  - 6.6.4.2Discounting choices
  - 6.6.4.3Distributional considerations
6.7The benefits of adaptation actions in Canada outweigh the costs
- 6.7.1Economic analysis of adaptation options in Canada
  - 6.7.1.1Economic appraisals of adaptation
  - 6.7.1.2Cost of adaptation
- 6.7.2The economic case for adaptation
- 6.7.3Residual damages
6.8There are economic barriers and limits to adaptation
- 6.8.1Introduction
- 6.8.2Barriers and limits to adaptation from an economic perspective
  - 6.8.2.1Market failures
  - 6.8.2.2Behavioural failures
  - 6.8.2.3Policy failures
- 6.8.3Role for governments
6.9Moving forward
- 6.9.1Costs of inaction
- 6.9.2Costs and benefits of adaptation
- 6.9.3Emerging issues
6.10Conclusion
6.11References
Appendices

Sector Impacts and Adaptation

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7.0 Key Messages
7.1Introduction
7.2Sustainable forest management is challenged by wildfires and pest outbreaks
- 7.2.1Introduction
- 7.2.2Impacts of wildfire
- 7.2.3Adaptation
- 7.2.4Moving forward
7.3Changes to ocean health are affecting fisheries and associated livelihoods
- 7.3.1Introduction
- 7.3.2Water temperature
- 7.3.3Dissolved oxygen
- 7.3.4Acidification
- 7.3.5Moving forward
7.4Climate change brings benefits and threats to the agriculture sector
- 7.4.1Introduction
- 7.4.2Climate risks and regional adaptation planning
- 7.4.3Inter-connectivity
- 7.4.4Moving forward
7.5Climate change brings new environmental challenges for mining
- 7.5.1Introduction
- 7.5.2Tailings containment structures
- 7.5.3Reclamation of mining sites
- 7.5.4Adaptation
- 7.5.5Moving forward
7.6Each link of the energy value chain can be vulnerable to climate change
- 7.6.1Introduction
- 7.6.2Risks to energy production and transmission
- 7.6.3Adaptation
- 7.6.4Moving forward
7.7Extreme weather events impact transportation, disrupting supply chains
- 7.7.1Introduction
- 7.7.2Climate impacts on transportation systems
- 7.7.3Understanding interdependencies
- 7.7.4Adaptation
- 7.7.5Moving forward
7.8Climate change is leading to transformational changes in tourism
- 7.8.1Introduction
- 7.8.2Winter sports tourism
- 7.8.3Arctic cruise tourism
- 7.8.4“Last chance” tourism
- 7.8.5Moving forward
7.9Increased private sector involvement will accelerate adaptation across sectors
- 7.9.1Introduction
- 7.9.2Corporate adaptation in Canada
- 7.9.3Adaptation actions
- 7.9.4Knowledge gaps
- 7.9.5Moving forward
7.10Moving forward
- 7.10.1Knowledge gaps and emerging issues
7.11Conclusion
7.12References

Climate Disclosure, Litigation and Finance

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Key messages
8.1Introduction
- 8.1.1International initiatives
- 8.1.2Canadian initiatives
8.2Climate change risks and opportunities are business issues
- 8.2.1Growing awareness of climate change risks and opportunities
8.3Climate-related disclosure drives climate action
- 8.3.1Importance of climate-related disclosure
- 8.3.2Mandatory disclosure in Canada
- 8.3.3Voluntary disclosure
- 8.3.4Emerging practices
- 8.3.5Opportunity for improvement: Data and methodology gaps
8.4Transitioning to a climate-resilient and low-carbon economy requires significant investments
8.5Investments in climate risk reduction build resilience
- 8.5.1Investments in climate resilience are cost-effective
- 8.5.2Managing risks of climate-related extremes and related activities in Canada
  - 8.5.2.1Risk information
  - 8.5.2.2Risk reduction and prevention measures
  - 8.5.2.3Reconstruction
  - 8.5.2.4Early warning and emergency preparedness
  - 8.5.2.5Risk financing and risk transfer (insurance and alternative risk transfer)
8.6Climate litigation is increasing against governments in Canada
8.7Climate litigation against the private sector is a potential risk
8.8Moving forward
- 8.8.1Knowledge gaps
8.9Conclusion
8.10References

International Dimensions

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Key messages
9.1Introduction
- 9.1.1Overview of findings from past assessments
9.2Climate change affects Arctic shipping and threatens sovereignty
9.3Transboundary marine and freshwater agreements generally do not consider climate change
- 9.3.1Introduction
- 9.3.2Marine agreements
- 9.3.3Freshwater agreements
9.4Climate change presents risks and opportunities for international trade
- 9.4.1Introduction
- 9.4.2Trade and climate change risk
- 9.4.3Adaptation
9.5Climate-related human migration and displacement will increase demands for immigration to Canada
- 9.5.1Introduction
- 9.5.2The climate-migration nexus
- 9.5.3Current and estimated climate-related migration
- 9.5.4Future outlook for Canada
9.6Increased demand for international assistance is expected
- 9.6.1Introduction
- 9.6.2The climate-security connection
- 9.6.3Demands on international assistance
- 9.6.4Canada’s response and outlook
9.7Moving forward
- 9.7.1Knowledge gaps and research needs
  - 9.7.1.1Governance and mainstreaming
  - 9.7.1.2Global food systems
  - 9.7.1.3Assessment tools that accommodate uncertainty and complexity
  - 9.7.1.4Strengthened economic modelling
9.8Conclusion
9.9References

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