Global Warming and Different Industries in the UK - Research Paper Example

Global Warming and its Impact on Businesses in UK With rapid industrialization, global warming is increasingly becoming a matter of concern for all the nations of the world. Various international bodies and communities have deliberated on the issue at various fora, like the Kyoto Protocol, the UN Summits and the latest being the UN Climate Change Conference at Copenhagen in December 2009. In 2006, in a 700 page report titled Stern Review, Sir Nicholas Stern (former Chief Economist at World Bank) suggested that the global economy could shrink by 20% because of global warming, if not checked immediately. This report has found appreciation and support from the government and individual business houses. In the same vein, Chancellor Gordon Brown made a promise that Britain would be a leader in tackling the issue on an international level. Emission of CO2 from various industries and motor vehicles is choking the environment and leading to the greenhouse effect or trapping of large amounts of heat that leads to an increase in the earth’s temperature. During the last century, it is believed that the surface of the earth has warmed up by 0.75 degrees C. Other than CO2 , gases like methane, nitrous oxide and water vapour also contribute to this hazard. The following chart shows the sector wise distribution of global emissions: Source: http://news.bbc.co.uk/2/hi/6096084.stm Global warming can be defined as the observed and projected increases in the average temperature of Earths atmosphere and oceans. [timeforchange.org] Fig. 2: Definition for global warming: Temp. increase in the last 150 years (graph from http://www.globalwarmingart.com/wiki/Image:Instrumental_Temperature_Record_png) The UNFCCC defines climate change as “ a change of climate that is attributed to directly or indirectly to human activity that alters the composition of global atmosphere and which is in addition to natural climate variability observed over comaprable time periods.”[Gleneagles G8 Summit] Some analysts however feel that the noise created around global warming might be the handiwork of some individuals for gaining their own interests. The situation is not really as bad as it is projected and in case reports about global warming are believed, we might be going back to pre-industrialization era.. Richard Courtney [1999] feels that people advocating the global warming theory are some researchers who are in need of research grants and some organisations working in the field of environment and need donations. He is of the opinion that they are promoting an imaginary fear of a man-made phenomenon. By promoting fear, they are selling their goods and ideas to the government and general public. Figure 3. Influences leading to UK imagined risk of global warming. Source: http://www.john-daly.com/history.htm Q Which Businesses will profit in United Kingdom from global warming ? It is clear that industries that cater to a clean and pollution-free environment will benefit from the commotion created around global warming and climate change. As such, industries that would discourage the use of fossil fuels, conventional methods of combustion and heating would be benefitting from the reports and discussions on global warming. Alternate fuels It would be industries that use alternate fuels like solar, wind, tidal and electric energy that would do well in the new pollution-free world. Electric and solar powered vehicles, solar powered lighting for domestic and non domestic use, non conventional fuels used for cooking, windmills, equipment to harness tidal energy, equipment to convert waste to energy like Sewage Treatment Plants and any other business dealing with harnessing of non conventional energy will benefit from global warming. Agriculture Some scientists believe that with global warming in the UK, there will be milder winters and warmer summers. This will increase the productivity of crops. Some studies also predict the likelihood of a northwards shift in natural habitats and agricultural zones of 50-80 km per decade (NERC, 1997). [globalwarming.awareness2007.com]. Wine industry Wine, that is currently grown in countries enjoying Mediterranean climate, like France and Spain might actually become a popular industry in the UK if climate change continues and provides favorable conditions for the cultivation of grapes. Insurance industry Another industry to benefit from global warming could be the insurance industry. With all the commotion surrounding global warming and climate change, insurance companies would love to cash in on the uncertainties and convince people to insure themselves for huge amounts. Businesses that will lose due to Global Warming Whether perceived or in reality, global warming gurus have certainly had an impact on the decision making bodies of the world, especially the UK. The following industries might be adversely affected by global warming: Low Cost Airlines There have been various arguments against low budget airlines as these are supposed to emit harmful gases into the air while flying and this would lead to increased global warming and climate change. Fishing Fishing might be another industry to be hit in the UK because of global warming. Some fish like salmon which are typically found in cold water might not be able to survive the heat and become extinct. Skiing and mountaineering Skiing and mountaineering would be other industries to be affected as snow and snowfalls would be reduced due to climate change. Tourism Tourism industry would take a major hit. People from all over the world visit the UK to experience the icy weather. In case global warming results in a warmer climate, the number of tourists would definitely come down. Mining Mining industry would be adversely affected by regulations due to global warming and climate change. Not only due to news laws restricting the use of coal as a fuel, but also due to the shift in location and composition of minerals in a geographical area as a result of global warming , the industry is sure to suffer. Meat Some analysts also feel that the meat industry would be adversely affected due to global warming. As a lot of fodder is used to fatten up the livestock for use as meat, any regulations related to global warming will have an effect on the meat industry. According to FAO calculations, the meat industry around the world produces 18 percent of the worlds greenhouse gas emissions. Thus, this industry will surely be negatively affected by global warming. References: 1. Climate change fight cant wait. accessed on 1st March, 2010. http://news.bbc.co.uk/2/hi/6096084.stm 2. Joint Science Academies’ Statement: Global Response to Climate Change. accessed on 1st March, 2010. http://www.nationalacademies.org/onpi/06072005.pdf 3. Courtney, Richard. Global Warming: How It All Began. accessed on 1st March, 2010. http://www.john-daly.com/history.htm 4. Michael Hennigan. Ireland and Northern European countries to benefit from global warming if Gulf Stream doesnt slow; Ryanairs Michael OLeary wins war of words with UK minister Jan 6, 2007, 18:06, accessed on 1st March, 2010. http://www.finfacts.ie/irelandbusinessnews/publish/article_10008594.shtml 5. http://www.ecn.ac.uk/Education/climate_change.htm, accessed on 1st March, 2010. 6. How to talk to a global warming skeptic accessed on 1st March, 2010. http://www.plime.com/l/134057-related/1/low.mtm accessed on 1st March, 2010. 7. Blame for global warming placed firmly on humankind http://www.plime.com/l/134057-related/1/low.mtm accessed on 1st March, 2010. 8. Top 10 industries hit by climate change, accessed on 1st March, 2010. 3us.enghunan.gov.cn/archiver/?tid-10801.html 9. Top 10 industries hit by climate change, accessed on 1st March, 2010. http://www.weito.com.cn/eng/show_news.asp?id=389&pid=18&tips=Top%2010%20industries%20hit%20by%20climate%20change 10. http://www.independent.co.uk/environment/climate-change/deforestation-the-hidden-cause-of-global-warming-448734.html, accessed on 1st March, 2010. Read More