APRA believes in global warming, what about the Govt?
Outsider has noted it before but its probably worth noting again that while the politicians squabble over climate change in the so-called “Canberra bubble” the nation’s financial services regulators believe it exists and are exhorting insurers to take it into account in policy definitions and premium pricing.
If anyone wanted proof of that they could have read Australian Prudential Regulation Authority (APRA) executive board member, Geoff Summerhayes’ speech to a business roundtable dealing with disaster resilience and safer communities.
And while some Coalition backbenchers may struggle with the notion of global warming, Summerhayes made clear that APRA does not and, in doing so, he welcomed the fact that last summer’s Australian bushfires had served to focus attention on the issue.
“If one positive has emerged from last summer’s bushfires, it’s been that they have refocused the public debate around how to ensure Australia is better prepared for future such disasters. Last week, the Senate released its interim report into the fires. In addition, the Bushfire Royal Commission, with its focus on practical resilience, mitigation and hazard reduction measures, is another important step towards better protecting lives, property and the Australian economy,” he said.
“While not a substitute for global action to reduce the emissions fuelling rising temperatures, the Royal Commission provides an important opportunity to make increasing the physical resilience of the community to natural disasters a national priority. The Treasurer Josh Frydenberg underscored this in last week’s Budget address when he foreshadowed more announcements on disaster and mitigation funding following the release of the Royal Commission’s Final Report.”
“To repurpose a line from a speech I delivered last June on the subject of climate change adaptation, we either buy now or we pay more.”
Outsider does not expect Summerhayes to be invited to address any conservative thinktanks any time soon.
AUTHOR
The Outsider
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