Space Technologies and Climate Change Space Technologies ImPlICaTIONS fOr WaTEr maNagEmENT, marINE rESOurCES aND marITImE TraNSPOrT and Climate Change This book examines the contributions that space technologies can make in tackling some of the serious problems posed by climate change. Focusing on examples of ImPlICaTIONS fOr WaTEr water management, marine resources and maritime transport, it sets out the rationale maNagEmENT, marINE rESOurCES for further developing satellite systems to measure and monitor climate change and help mitigate its consequences. The report underlines the need to consider satellites aND marITImE TraNSPOrT not just as research and development systems, but as an important component of a critical communication- and information-based infrastructure for modern societies. The tool box for decision makers that concludes the book reviews different methodological options for deciding on investments in space-based earth observation. S p a c e T e c h n o lo g ie s a n d C lim The full text of this book is available on line via these links: a www.sourceoecd.org/scienceIT/9789264054134 t e www.sourceoecd.org/environment/9789264054134 C www.sourceoecd.org/generaleconomics/9789264054134 h a Those with access to all OECD books on line should use this link: n g www.sourceoecd.org/9789264054134 e SourceOECD is the OECD online library of books, periodicals and statistical databases. For more information about this award-winning service and free trials, ask your librarian, or write to us at [email protected]. Co-distributed by: EDP Sciences 17, avenue du Hoggar Parc d’activités de Courtabœuf www.oecd.org/publishing BP 112 - F-91944 Les Ulis Cedex A – France ISBN 978-2-7598-0398-9 -:HSMHPJ=]UX^]^: -:HSTCQE=UZYVXY: ISBN 978-92-64-05413-4 03 2008 03 1 P www.edpsciences.org Space Technologies and Climate Change IMPLICATIONS FOR WATER MANAGEMENT, MARINE RESOURCES AND MARITIME TRANSPORT ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT The OECD is a unique forum where the governments of 30 democracies work together to address the economic, social and environmental challenges of globalisation. The OECD is also at the forefront of efforts to understand and to help governments respond to new developments and concerns, such as corporate governance, the information economy and the challenges of an ageing population. The Organisation provides a setting where governments can compare policy experiences, seek answers to common problems, identify good practice and work to co-ordinate domestic and international policies. The OECD member countries are: Australia, Austria, Belgium, Canada, the Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Italy, Japan, Korea, Luxembourg, Mexico, the Netherlands, New Zealand, Norway, Poland, Portugal, the Slovak Republic, Spain, Sweden, Switzerland, Turkey, the United Kingdom and the United States. The Commission of the European Communities takes part in the work of the OECD. OECD Publishing disseminates widely the results of the Organisation’s statistics gathering and research on economic, social and environmental issues, as well as the conventions, guidelines and standards agreed by its members. This work is published on the responsibility of the Secretary-General of the OECD. The opinions expressed and arguments employed herein do not necessarily reflect the official views of the Organisation or of the governments of its member countries. Also available in French under the title: Corrigenda to OECD publications may be found on line at: www.oecd.org/publishing/corrigenda. © OECD 2008 You can copy, download or print OECD content for your own use, and you can include excerpts from OECD publications, databases and multimedia products in your own documents, presentations, blogs, websites and teaching materials, provided that suitable acknowledgment of OECD as source and copyright owner is given. All requests for public or commercial use and translation rights should be submitted to [email protected]. Requests for permission to photocopy portions of this material for public or commercial use shall be addressed directly to the Copyright Clearance Center (CCC) at [email protected] or the Centre français d'exploitation du droit de copie (CFC) [email protected]. FOREWORD Foreword T his book examines the contributions that space technologies can make in tackling some of the serious problems posed by climate change. Focusing on examples of water management, marine resources and maritime transport, it sets out the rationale for further developing satellite systems to measure and monitor climate change and help mitigate its consequences. The report underlines the need to consider satellites not just as research and development systems, but as an important component of a critical communication-and information-based infrastructure for modern societies. The tool box for decision makers that concludes the book reviews different methodological options for deciding on investments in space-based earth observation. This is the fourth publication related to space issues produced by the International Futures Programme (IFP). The role of the IFP, the OECD’s strategic foresight group, is to alert the Secretary-General and the Organisation to emerging issues by pinpointing major developments and analysing long-term concerns, so as to help governments map their strategy. In2002, in collaboration with the space community, the OECD IFP launched a project to explore how space technologies could contribute to finding solutions to some of the major challenges facing society. Two publications resulted from that in-depth project. Space2030: The Future of Space Applications explored promising space applications for the 21stcentury. Space2030: Tackling Society’s Challenges assessed the strengths and weaknesses of the regulatory structures governing space, and formulated a framework that OECD member countries might use in drafting policies to ensure that the potential offered by space is fully realised. Upon completion of the two-year project, the IFP was strongly encouraged by a number of institutions – especially space-related agencies – to continue exploring the economic dimensions of space infrastructure. February2006 thus saw the launch of the OECD Global Forum on Space Economics. This is an innovative platform for international dialogue on the social and economic aspects of space activities (seeAnnexAfor a description). One of the Forum’s most recent outputs is The Space Economy at a Glance (2007), the first-ever OECD statistical overview of the emerging space economy. The Forum is supported by contributions from a number of governments and space agencies: ASI (Agenzia Spaziale Italiana, the Italian Space Agency), BNSC (British National Space Centre), CNES (Centre National d’Études Spatiales, the French Space Agency), CSA (Canadian Space Agency), ESA (European Space Agency), NASA SPACE TECHNOLOGIES AND CLIMATE CHANGE – ISBN 978-92-64-05413-4 – © OECD 2008 3 FOREWORD (US National Aeronautics and Space Administration), NOAA (US National Oceanic and Atmospheric Administration), Norwegian Space Centre (Norsk Romsenter), and USGS (United States Geological Survey). The book makes particular reference to extensive relevant work conducted in different OECD Directorates. Moreover, several Working Group meetings of the OECD Space Forum were organised over the past two years to discuss and exchange information on the case studies. For example, a special day-long session was organised in October2007; 25participants from the sectors of marine resources and maritime transport, as well as representatives from the space sector, were invited to feed the Secretariat’s reflections. This report also makes reference to a large number of socio- economic studies that have been carried out over the years, but which, though publicly available, are not well known. In addition to literature surveys, group and bilateral meetings, the IFP Secretariat conducted interviews with space and non-space experts, and attended external conferences. A first output of the case study work was an OECD Space Forum’s internal working paper dedicated to fresh water management and the role of space applications (June2007). The book builds on the report, and extends the case studies’ scope to include more general climate change issues, as well as dedicated work on marine resources and maritime transport. This publication was prepared by ClaireJolly, Policy Analyst in the Secretary- General’s Advisory Unit, under the direction and guidance of BarrieStevens, Unit Deputy Director, and Pierre-AlainSchieb, Head of Futures Projects, all working for the OECD Global Forum on Space Economics. ShabnamMirsaeedi provided research assistance, Randall Holden edited the report and Anita Gibson provided administrative and editorial assistance. The report also draws on a number of ground- breaking studies relating to climate change carried out by OECD colleagues, notably in the Environment Directorate (ENV), the Fisheries Policy Division, and the Science, Technology and Industry (STI) Directorate. Special thanks go to ShardulAgrawala (ENV), JanCorfeeMorlot (ENV) and Carl-ChristianSchmidt (Fisheries Policy Division) for their contributions. 4 SPACE TECHNOLOGIES AND CLIMATE CHANGE – ISBN 978-92-64-05413-4 – © OECD 2008 TABLE OF CONTENTS Table of Contents List of Acronyms . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 Executive Summary. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 Chapter 1. Climate Change: Trends and Outlook. . . . . . . . . . . . . . . . . . . . . 19 Introduction to climate change . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20 Main drivers of climate change . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20 Climate change and extreme weather events . . . . . . . . . . . . . . . . . . . . 21 Outlook: unpleasant surprises for the near to medium-term future? . 23 Uncertainties and key assumptions . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29 Bibliography . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30 Chapter 2. Fresh Water Management: Trends and Outlook. . . . . . . . . . . . 33 Introduction to fresh water management . . . . . . . . . . . . . . . . . . . . . . . 34 The growing pressures on fresh water availability . . . . . . . . . . . . . . . . 35 The socio-economic risks of inadequate water supplies. . . . . . . . . . . 38 Fresh water and climate change . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40 Notes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42 Bibliography . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42 Chapter 3. Marine Resources and Maritime Transport: Trends and Outlook. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45 Introduction to marine resources and maritime transport . . . . . . . . . 46 Marine resources . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48 Maritime transport. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57 Notes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64 Bibliography . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 65 Chapter 4. Capabilities of Space Technologies. . . . . . . . . . . . . . . . . . . . . . . 69 Introduction to satellite technologies. . . . . . . . . . . . . . . . . . . . . . . . . . . 70 Scientific knowledge about climate change, fresh water and the oceans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 71 Controlling maritime and marine areas. . . . . . . . . . . . . . . . . . . . . . . . . 91 Safety at sea . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 96 SPACE TECHNOLOGIES AND CLIMATE CHANGE – ISBN 978-92-64-05413-4 – © OECD 2008 5 TABLE OF CONTENTS Notes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 102 Bibliography . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 103 Chapter 5. Outlook for Space Technologies. . . . . . . . . . . . . . . . . . . . . . . . . . 107 Remedying technical limitations. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 108 The future of earth observation for climate monitoring . . . . . . . . . . . 113 Notes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 124 Bibliography . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 125 Chapter 6. Tool Box for Policy Makers: Costs, Benefits and Investment Decisions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 127 Definitions and key notions for evaluating space programmes . . . . . 128 Measuring the impacts of R&D programmes. . . . . . . . . . . . . . . . . . . . . 134 “Classic” return on investment techniques (direct and indirect market valuation) . . . . . . . . . . . . . . . . . . . . . . . . . . 141 The infrastructure approach. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 157 A risk management approach to investment in space-based infrastructures. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 167 Notes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 177 Bibliography . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 177 Annex A. The OECD Forum on Space Economics . . . . . . . . . . . . . . 183 Annex B. Basics on Satellite Sensors. . . . . . . . . . . . . . . . . . . . . . . . . 185 Boxes 1.1. Changes in the Arctic region . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28 1.2. Selected uncertainties and assumptions concerning climate change projections . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30 2.1. The OECD and water management. . . . . . . . . . . . . . . . . . . . . . . . . . . 34 4.1. Improving weather forecasting by measuring water vapour . . . . . 78 4.2. Monitoring jellyfish proliferation in seas and oceans . . . . . . . . . . . 84 4.3. Measuring river flow with radar satellite. . . . . . . . . . . . . . . . . . . . . . 85 4.4. Coupling essential insitu systems and satellites for monitoring sea level rise and ocean temperature. . . . . . . . . . . . . . . . . . . . . . . . . 88 4.5. Tracking the world’s water supplies. . . . . . . . . . . . . . . . . . . . . . . . . . 90 4.6. Description of Vessel Traffic Services (VTS). . . . . . . . . . . . . . . . . . . . 94 4.7. The Cospas-Sarsat system. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 98 4.8. Improving alerts in case of tsunamis via satellite communications links . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 99 5.1. Methodology used to assess the2006 stock value of active earth observation satellites . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 120 6 SPACE TECHNOLOGIES AND CLIMATE CHANGE – ISBN 978-92-64-05413-4 – © OECD 2008 TABLE OF CONTENTS 6.1. Challenges in evaluating space programme costs . . . . . . . . . . . . . . 132 6.2. Challenges encountered when analysing the impacts of public R&D . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 140 6.3. Detection of oil pollution in the Mediterranean Sea . . . . . . . . . . . . 145 6.4. Background on the contingent valuation method . . . . . . . . . . . . . . 150 6.5. Definition of public good . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 163 Tables 2.1. Global water use from1900 to2025 (Cubic kilometres). . . . . . . . . . 36 2.2. Ground water abstraction in selected regions. . . . . . . . . . . . . . . . . . 38 2.3. Percentage of population served by water supply and sanitation services, 2002. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39 2.4. Benefit/cost ratios for water management interventions in developing regions and Eurasia . . . . . . . . . . . . . . . . . . . . . . . . . . . 39 3.1. List of countries with exclusive economic zones (EEZ) by area size. 47 3.2. Selected climate change connections with both fisheries management and exploitation of mineral resources in sea-floor . 49 3.3. Climate change connections with maritime transport . . . . . . . . . . 57 3.4. EU external foreign trade by mode of transport, 2004 . . . . . . . . . . 60 3.5. Energy use and CO emissions associated with different modes 2 of transport. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63 3.6. Episodic and routine pollution from ocean shipping activities . . . 63 4.1. Basics about satellites’ orbits. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 71 4.2. Examples of scientific accomplishments involving earth observations and landmark satellites . . . . . . . . . . . . . . . . . . . . . . . . 73 4.3. Thirty-four essential climate variables (ECVs) and their dependence on satellite observations . . . . . . . . . . . . . . . . . . . . . . . . 75 4.4. List of remotely sensed oceanographic parameters, their observational class, and representative satellites and sensors they carry . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 80 4.5. Overview of selected space systems with ocean-related missions 81 4.6. Requirements vs. capabilities for sea ice monitoring and snow cover . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 83 4.7. Overview of certain space-borne sensors for ocean colour detection. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 87 4.8. Radar and optical satellite images for ship detection . . . . . . . . . . . 95 4.9. Requirements vs. capabilities for monitoring oil pollutions. . . . . . 96 4.10. Civilian/dual-use radar satellites in operation . . . . . . . . . . . . . . . . . 96 4.11. Communications and navigation equipment carried onboard ships. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100 4.12. Commercial satellite communications constellations. . . . . . . . . . . 101 SPACE TECHNOLOGIES AND CLIMATE CHANGE – ISBN 978-92-64-05413-4 – © OECD 2008 7 TABLE OF CONTENTS 5.1. Satellite navigation augmentation systems (ground-and space-based). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 111 5.2. Possible system performance for a space-based AIS system . . . . . 111 5.3. Examples of international organisations promoting co-operation in climate-related observations. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 114 5.4. Possible components of a space-based global observing system by2025 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 117 5.5. Estimated annual investments (maintenance, replacement, expansion) in earth observation (2006, 2005, 2004) . . . . . . . . . . . . . 120 5.6. Missions recommended by the US National Research Council with estimated costs (January2007). . . . . . . . . . . . . . . . . . . . . . . . . . 122 5.7. Planned ESA Explorers and Sentinels earth observation missions (2008-2013) (June2008). . . . . . . . . . . . . . . . . . . . . . . . . . . . . 123 6.1. Main evaluation methods for analysing large programmes . . . . . . 128 6.2. Cost estimation techniques for space projects. . . . . . . . . . . . . . . . . 131 6.3. Cost base for the ROSE study (2004) . . . . . . . . . . . . . . . . . . . . . . . . . . 133 6.4. Anticipated operational and research contributions due to extending the TRMM satellite missions to the fuel point (approximately December2005) and beyond . . . . . . . . . . . . . . . . . . 136 6.5. Monetary valuation methods, constraints and examples. . . . . . . . 142 6.6. General flood management benefits . . . . . . . . . . . . . . . . . . . . . . . . . 148 6.7. Actions and estimated benefits of using space assets for flood management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 149 6.8. Maximum benefits that can be expected from the European Risk-EOS services for floods. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 151 6.9. Potential societal benefits from an oil spill detection system (ROSES study) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 152 6.10. NAUPLIOS project: Costs and benefits of GALILEO’s added value . 154 6.11. Examples of the economic impacts (benefits/costs) of snow and snow events in the United States . . . . . . . . . . . . . . . . . . . . . . . . 155 6.12. Outsourcing and devolution models for the provision of infrastructure. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 159 6.13. Selected commercial satellite operators in the earth observation sector. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 163 6.14. Estimated annual world infrastructure expenditure (additions and renewal) for selected sectors, 2005. . . . . . . . . . . . . . 164 6.15. Estimated average annual world infrastructure expenditure (additions and renewal) for selected sectors, 2000-20, in USD billion. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 165 6.16. Estimated annual investments (maintenance, replacement, expansion) in earth observation (2006, 2005, 2004) . . . . . . . . . . . . . 165 8 SPACE TECHNOLOGIES AND CLIMATE CHANGE – ISBN 978-92-64-05413-4 – © OECD 2008