Action needed on climate change, report warns

Urgent action is needed to tackle climate change now, or else it could end up costing a fifth of the global economy, a report has warned.

The review, conducted by former World Bank Chief Economist Sir Nicholas Stern, warned that it was a "false economy" to put off climate change action, since costs would only rise, resulting in the impact of global warming costing as much as 20% of the world's GDP.

In the report, Sir Nicholas said: "There is still time to avoid the worst impacts of climate change, if we act now and act internationally. Governments, businesses and individuals all need to work together to respond to the challenge. Strong, deliberate policy choices by governments are essential to motivate change."

Sir Nicholas made a number of recommendations in the report, including: expanding and linking emissions trading schemes around the world; doubling support for energy research and setting international product standards for energy-efficiency; and fully integrating climate change adaptation into development policy, so that rich countries honour their pledges to increase support.

Commenting on the report, Prime Minister Tony Blair said that the report should be seen as "the final word" on why the world must act now to limit the damage being done to the planet. He warned that the consequences for the planet would be "disastrous" otherwise.

Chancellor Gordon Brown announced a series of measures aimed at tackling climate change, including plans for a new European-wide emissions reduction target of 30% by 2020 and by 60% by 2050.

He also called for a long-term framework of a worldwide carbon market that would lead to a "low-carbon global economy".

Environment Secretary David Miliband also announced plans to establish an independent body - the Carbon Committee - to work with government to reduce emissions over time and across the economy.

(KMcA)