"The physical and economic losses arising from the recent storms that battered northern California are estimated to be between $31bn and $34bn, according to forecasting service AccuWeather"
(The name of this blog is ever more appropriate!)
If it isn't already happening, the economic losses will soon reach the point where the only help coming will be a few crates of bottled water and then you are on your own. I seem to recall that some places flooded out last year in Australia were complaining that they felt abandoned.
Govt's around the world are already guilty of poorly maintaining existing infrastructure. I doubt in the middle of a global recession/depression the funds will be available for major reconstruction. Insurance companies will fold.
Donations to food relief in struggling countries has already started drying up. It should be an interesting but stressful year.
Heya, yes Australia is still counting up the costs of 9 months through 2022 of continuous non-stop flooding along the Eastern Riverlands, which was the 3rd year in a row, but 2022 was the worst over the largest area as already high rivers and deeply waterlogged soils could not take any more after the 2021 floods!
The river basin is similar in length of the Mississippi in the US. It's also the 1500km long X 2- 300 km wide "food bowl". About one-third the size of the USA was continually under water all that time. Levees which had withstood over a century of previous floods went too. Just melted sloppily into the torrent. Much of it still is under water, forming stagnant toxic 'black water' pools. So a lot of crops and stock animals were lost as well as major roads, bridges etc. I know of two rural towns that may have to be rebuilt or relocated. Just the 'clean-up' is expected to take a year to remove the literal mountains of debris left behind. Which needs trucks and earth-moving equipment. More diesel.
The authorities aren't putting a figure on it, I doubt they will, there's no need it's obvious to everyone it's a "lot"..other than to say the next Budget will increase the 'contingency' or 'emergency' funding. Again. More borrowing I guess?
But as a country, well we aren't Pakistan and I could be wrong, but I believe we are still considered a good credit risk, so we are seen as 'solvent' despite high illiquidity, high debt and eye-watering structural deficit, because we are still exporting coal, natural gas, and several dozen metal commodities in strong global demand being mined 24/7/365.
Although I think our Argyle Diamond mine finally closed just recently, after a century, and the big Uranium mine also closed after 50 years. Now we will see if the mining companies honour their contractual obligations to site 'repair and restoration' upon mine closure. Ha!
@rain - Thanks for the in depth update from Australia! You mentioned Pakistan, and I think they are indeed the poster child for 'Economy meets Climate'. Their gov't seemed dismayed after the recent flooding that there was no outpouring of promised relief from the global community. Up until recently the usual pledges for aid were made and the promised funds and supplies trickled in. Now, the pledges are not even being made. It seems we have entered triage mode. Today's Economic updates feature Pakistan twice (no power, no pharmacy products).
It appears that Egypt and other MENA countries are not far behind. I'm in a small village in Poland and so far other than inflation, the situation is not that dire. That could change soon as the EU ban on Russian diesel products is set to begin in early February. I saw in the news that as I suspected, the EU has been loading up on diesel in anticipation.
@bluemoose thanks for your observation about Pakistan and I agree. Yes it's looking very bad for many countries and the diesel ban coming - 😳
@bluemoose, "You mentioned Pakistan, and I think they are indeed the poster child for 'Economy meets Climate'."
My goodness, they may very well be. In the last global climate risk index they placed eighth, behind nations like Mozambique and Bangladesh, but it is hard to think of any other nation that had quite such a two-pronged assault from economic problems and extreme weather in 2022.
The flooding was so extreme, the heatwave that preceded it has rather receded in the memory but that was crazy, too, inflicting both the hottest March and April on record on Pakistan. And of course glaciers melting apace...
@panopticon Another Pakistan update, this time in the Economy category. Saw a link to this at r/collapse. https://www.marineinsight.com/shipping-news/foreign-shipping-lines-to-put-a-full-stop-to-pakistan-services/
It seems shipping lines are balking at handling export due to lack of dollars and ability to secure LOC.
@bluemoose , thanks - good catch. And not unrelated:
https://asia.nikkei.com/Economy/Pakistan-faces-oil-drought-warnings-as-forex-woes-plague-industry
