India suffered income loss of USD 159 bn in key sectors due to extreme heat in 2021
India suffered an income loss of USD 159 billion, 5.4 per cent of its gross domestic product, in the service, manufacturing, agriculture, and construction sectors due to extreme heat in 2021, according to a new report. Heat exposure in the country led to the loss of 167 billion potential labour hours, a 39 per cent increase from 1990–1999, said the Climate Transparency Report 2022 compiled by an international partnership of organisations.
Labour productivity in India is projected to decline by five per cent from the 1986–2006 reference period if global temperatures increase by 1.5 degrees Celsius, it said. The decline in labour productivity will be 2.1 times more if the global temperatures increase by 2.5 degrees Celsius, and 2.7 times at a three degree Celsius scenario. Between 2016–2021, extreme events such as cyclones, flash floods, floods, and landslides caused damage to crops in over 36 million hectares, a USD 3.75 billion loss for farmers in the country, the report said.
The annual damage from river flooding in the country is likely to increase by around 49 per cent at 1.5 degree Celsius of warming. The damage from cyclones will increase by 5.7 per cent. “The annual expected damage from tropical cyclones and river flooding at three degrees Celsius is 4.6 to 5.1 times that from 1.5 degrees Celsius,” the report read. “Precipitation is projected to increase by six per cent from the reference period of 1986–2006, at 1.5 degrees Celsius of warming. Under a three degrees Celsius warming scenario, precipitation will increase by three times the precipitation anticipated at 1.5 degrees Celsius of warming,” it said.
