CATEGORY:BUDGET CONSUNTATION
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THE REALITY OF global climate change in upon us. It is evident in the increases in temperatures that we are experiencing, with data from Point Salines International Airport showing that 2005 was the hottest year on record and that the five hottest years on record occurred since 1998; in the increased intensity of the hurricanes that we are experiencing – with a doubling of Category 4 and Category 5 hurricanes worldwide since 1970 and a 50% increase in wind speed and duration of all hurricanes; in the bleaching of 30% of the region’s coral reefs that occurred in 2005; and farther afield, in the rapid increase in the rate of melting of the Greenland ice sheet which is predicted to increase global sea levels by 0.9 metres (3 feet) over the remainder of this century and which, if totally melted, can cause the sea levels to rise by 7 metres (21 feet).

But these are just the beginning. The international scientific community has advised that average global temperatures are expected to increase by between 1.5 and 5.8 degrees C (10 F) within the next 50 years. This means that significant temperature increases will be experienced within the lifetimes of the majority of people living in Grenada today. These will be accompanied in the Caribbean region by:

1. Rising sea levels caused by the melting of the artic ice and the thermal expansion of the sea water – the Caribbean Sea has already been rising by 1mm per year.

2. Longer dry seasons and wetter wet seasons, accompanied by reductions in total rainfall with a 4% reduction in total rainfall has been predicted for the Caribbean region.

3. More intense rainfall when it occurs.



These changes will affect all our main social and economic sectors and many other aspects of our daily lives:

1. Our entire country will be exposed to more extreme events including more intense hurricanes and more torrential rainfall, thereby increasing the possibility of flooding and landslides. The implications of these have been clearly demonstrated by hurricanes Ivan in 2004 and Emily in 2005.

2. Our beaches will be eroded by the rising sea levels, with analysis by the CPACC project in 2001 concluding that between 55% and 75% of the Grand Anse beach would disappear if the sea levels rose by 0.5 metres (1.5 feet), while the beaches between Conference and Marquis would lose 65% of their current widths and 83% of the beaches in Carriacou will disappear. These will include the beaches at Hillsborough, Paradise, Lillette and Windward.

3. Key coastal infrastructure will be inundated by a 1M (3 feet) sea level rise, including an estimated 18ha of land on the Carenage, St. George’s, which is currently less than 0.20m (0.6 feet) above average mean sea-level, containing important buildings including the Financial Complex, the Carenage Sports Complex, the Carenage Road, the Cable & Wireless telephone exchange and the St. George’s sewerage system pump station.

4. Our mangroves, coral reefs and sea grasses which protect our shoreline and provide the habitat for many of our fish and marine species will be damaged, thereby making coastal areas more vulnerable to the rising seas; reducing an important source of food for our population; and negatively affecting the livelihood for our fishing communities.

5. Our total water supplies will be reduced with increased potential for water shortages, especially during the longer dry seasons. In addition, the rising sea levels increase the risk of salt water intrusion within the aquifers and wells (Carriacou) that are located close to the coast.

6. Our agriculture will have to cope with reduced rainfall and more intense heat which will affect the growing patterns and yields of our food crops and export crops. Initial analysis has shown a strong correlation between the yields of our nutmeg trees and the level of rainfall.

7. Our health system will have to cope with increasing incidence of current and new vectors, as the hot, humid conditions move northwards. In addition, the increased heat will place our elderly population and our young children as risk from heat-related diseases, like heat stress.

8. Our tourism product will be affected by the loss of our natural tourist attractions like our coral reefs and our beaches and by increased competition from destinations in North America that will now have a more tropical climate.

It is clear that climate change will have a significant impact on us here in Grenada – impacts that we will not be able to avoid – and which we will therefore have to adapt to. However, there are significant constraints in our ability to respond, one of them being the lack of local expertise to assess the impacts and plan appropriate response measures.

As we consider our options for adapting to climate change, we must be mindful that this is a problem that we have also contributed to by emitting greenhouse gases, primarily through our consumption of fossil fuel for generating electricity and powering our vehicles. However, our emissions are very small, with data for 1994 (most recent year analyzed) showing that Grenada emitted a net of 135,000 tonnes of carbon dioxide, 92,000 of which were absorbed by our forests. By comparison, the total greenhouse gas emissions from developed countries at the end of 2003 were 7.9 billion tonnes of carbon dioxide equivalent. 70,000 tones of methane were also produced from our solid waste disposal landfill.

A Climate Change Policy Process is currently underway and will provide recommendations on a comprehensive response to climate change by the end of the year. However, the National Budget presentation can be used to signal the Government’s intention of treating with climate change in a serious way.

In this respect, the Budget presentation can be used to commit to implementation of the Policy and Action Plan and to signal this commitment by announcing an initial set of actions for implementation in the 2007 Budget.

Some measures that could be considered for initial implementation are:

1. Reduction of Greenhouse Gas Emissions
2. Promote Energy Efficiency - Encourage increased energy efficiency by lowering the duties and taxes on energy efficient light bulbs and appliances.

3. Renewable Energy - Encourage investment in renewable technology – e.g. solar and wind – by reducing duties and taxes on items that are imported for these purposes.

In both cases cited above, applicable duties and taxes for some components are as high as 55% of the CIF value. It is recommended that these be reduced to at least the same rate as that which is applicable to computers, using the same rationale – encouraging needed technological development and diffusion.