Australian Economy Will Take Hit From Drought, Climate Change, Says Government Report - Australian

[hatrack]

RAINFALL levels are declining in areas where it matters most and water catchments do not collect as much as they used to, according to a report to be delivered to John Howard today. The Water for Our Cities report, obtained by The Australian, warns that the areas most affected by reductions in rainfall are the areas of highest population and economic activity. And those areas are likely to suffer increasingly frequent and more severe drought, the report from leading scientific advisers says.

But it also suggests Australia could become a world leader in water services and technologies -- if the commonwealth helps address a skills shortage in the sector and encourages a joint approach to solutions.

The report from the Prime Minister's Science Engineering and Innovation Council warns that Australia's cities have inadequate water supplies and are relying on increasingly severe restrictions to balance demand and supply.

A portfolio of options must be considered by each city to deal with shortages because dams are no longer effective and demand-management alone will only ever lead to limited savings.

Other options that should be considered include recycling, which has the "greatest potential to reduce reliance on traditional water sources", and trade of water from the bush to the city, which "often represents the least cost and the most environmentally acceptable option for enhancing supplies".

EDIT

http://www.news.com.au/business/story/0,23636,21946218-462,00.html

[cliss]

1. Welcome to the New World

of Global Frying.

I've read some really scary reports about Australia. It seems that in the short run, there's not much they can do. The current ag crop is probably doomed. Vineyards, fruit, vegies, all sorts of produce is threatened. It's doubtful there will even be a 'Vintage 2007'.

= prices are going to go up, by a lot.