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Meeting the Climate Change Challenge for Horticulture

Meeting the Climate Change Challenge for Horticulture. Presentation to the HAL Carbon / Climate Forum Dr Owen K Cameron Program Manager, CCRSPI Coordinator, Primary Industry Adaptation Research Network. Email: owen.cameron@lwa.gov.au Tel: 0428 – 400 - 928.

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Meeting the Climate Change Challenge for Horticulture

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  1. Meeting the Climate Change Challenge for Horticulture Presentation to the HAL Carbon / Climate Forum Dr Owen K Cameron Program Manager, CCRSPI Coordinator, Primary Industry Adaptation Research Network Email: owen.cameron@lwa.gov.au Tel: 0428 – 400 - 928

  2. The Challenges of Climate ChangeThe Benefits of CollaborationThe Surmountable ChallengesThe Importance of Being Heard

  3. Climate Change poses challenges Impacts of climate change cross sectors, regions, regulatory boundaries and have high levels of uncertainty • Climate impacts will vary widely across regions and years • Mitigation and Adaptation are linked through innovation • Science is complex and interacts with social and political factors • The International dimension offers challenges and opportunities Mitigation and adaptation measures must be designed across different social, economic and political cycles • Long term integrated planning required • Economists and lawyers are heavily involved in policy formulation • Are institutions appropriately skilled to address business needs? Producers need practical information to support business planning • Regulatory certainty is a key requirement to inform strategic and investment planning • Must address rural-urban inter dependencies and supply chain realities • Water and energy costs are the currency of climate change

  4. Collaboration & Coordination Collaboration and coordination supports more effective research 1. Pooling capital can lead to economies of scale and scope 2. Sharing information on service providers can realize savings Coordination efficient use of scarce investment capital 1. Reduces duplication of Research Development & Extension activity 2. Addresses market failure issues (value of ‘honest broker’ role) Collaboration and coordination support the exchange of information : 1. Across jurisdictional and geophysical boundaries 2. Along the RDE value chain, linking researchers to end users 3. Amongst the purchasers of research, enhancing Value For Money 4. Enabling cross sector and cross region issues to be addressed Collaboration helps industry get priorities into ‘evidence based policy’: 1. Highlight research showing the value of current industry activity 2. Ensure key industry priorities are recognized in policy formulation 3. Shape the future investment landscape for horticulture Australia needs national collaboration given international challenges

  5. Industry has the tools to respond • The Australian climate is creating a ‘burning platform’ (sic) • Australian Primary Industry has a long history of adaptation • Climate Change offers opportunities for producers • Many mitigation measures are cost saving efficiencies • Regional and export market opportunities may emerge • Market and investors increasingly offering climate products and services • Early movers see competitive advantage, access to public grants • Effective strategies yield improved valuations, access to cheaper capital • Strategic and Operational options already exists • Analyze and disclose financial risk re climate change • Develop whole of company climate Enterprise Risk Management strategies • Provide information to Directors, Customers, Staff • Engage in policy dialogue and talk to investors (HAL role in CCRSPI) • Manage risk through the supply chain and recognize market power issues 5

  6. Sharing priorities benefits industry • The policy & regulatory landscape will continue to ‘evolve’ • Industry gets the best outcome via active communication:- • BE IN THE GAME – ex Critical water planning under COAG • TRACK STRATEGIC INFORMATION – websites, news releases • CONSULT AT ALL LEVELS – Local, State, Federal • COMMUNICATE INDUSTRY VALUE ($ MATTER)– ex Car Industry • HIGHLIGHT POTENTIAL R.O.I – ex IBM and Du Pont • HIGHLIGHT LINKS TO POLICY PRIORITIES – ex reduce compliance burden • HIGHLIGHT NATIONAL INTEREST – ex Latrobe valley, AP and GWF • AGREE AND COMMUNICATE SECTOR PRIORITIES – “share of voice” • PUT FORWARD CLEAR SOLUTIONS – if known more likely to be adopted • UTILISE EXISTING CHANNELS - RDCs, Industry Associations, MLAs / MFPs • MEET DEPTS AND PUT FORWARD SUBMISSIONS – no content = no say • ASK ABOUT IMPLEMENTATION– don’t assume experience • Industry knows business – would a lawyer let you write law? 6

  7. Many Frameworks, Many Acronyms National Greenhouse & Energy Reporting System (NGERS) – AG DCC Compliance costs (reporting, fees, and fines), energy reporting www.climatechange.gov.au/reporting/index.html Carbon Pollution Reduction Scheme (CPRS) – AG DCC Compliance greenhouse reporting (facilities etc), supply chain power www.climatechange.gov.au/emissionstrading/index.html Australia’s Farming Future (AFF) – AG DAFF Investments in climate change research and related communications www.daff.gov.au/climatechange/australias-farming-future National Adaptation Research Plans (NARPs) – AG DCC and NCCARF Adaptation research priorities to guide investment in research www.nccarf.edu.au Primary Industry Standing Committee (PISC) Sectoral RDE strategies RDE priorities for Horticulture (HAL FF) & Climate Change (CCRSPI) www.daff.gov.au/agriculture-food/innovation/national-primary-industries National Water Initiative (NWI) & Council Australian Governments (COAG) Water allocation and entitlements frameworks www.nwc.gov.au/nwi/index.cfm Kyoto Convention (UN FCC) & associated mechanisms (accounting, CDM) Compliance costs and opportunities for CER trading www. unfccc.int Yes, we are also guilty of using an acronym 7

  8. They WILL affect horticulture Shape focus for RDE activity – determine policy context Shape allocation of Government $ - research investment, adjustment grants, support for commercialization Shape level and extent of compliance costs (both domestic and in overseas markets) – product labeling, energy use reporting, greenhouse emissions reporting Change consumer preferences – products & pricing Change structure of domestic and overseas markets Alter market dynamics – market power, pricing, market share, product placement, branding, marketing comms Affect cost of inputs (water, energy, fertilizer costs) Affect downstream processing, distribution and retail 8

  9. A Brief introduction to CCRSPIThe Climate Change Research Strategy for Primary Industry

  10. CCRSPI history and vision Phase 1 (07-08) Phase 2 (08-09) Implementation • Phase 1 (07-08) – complete - strategy report delivered • Phase 2 (08-09) – ongoing– communication, coordination identification of research priorities, targeted research • Coordination workshops (across and within sectors) • Research projects (land use change, carbon accounting) • Development of national database on climate projects • Consultation on, and Submissions to, national research plans • Implementation (09->) – agreed in principle 5th March 09 • CCRSPI as a five year initiative delivering coordination of primary industry climate research priorities at the national level

  11. CCRSPI Phase 2 - structure Primary Industry Ministerial Council (PIMC) Primary Industry Standing Committee (PISC) Council of Rural Research and Development Corporation Chairs CRRDCC Australian Council of Agricultural Deans CSIRO Climate Adaptation Flagship PISC R&D Sub Committee (SC) CCRSPI Network RDCs States DAFF CSIRO CCRSPI Steering Committee CCRSPI Stakeholder Committee Observers NFF ACF CCRSPI Secretariat Partners lead, participate, or link with CCRSPI Research Coordination

  12. CCRSPI Phase 2 - coordination principles Co-ordination and communication, not control CCRSPI framework is flexible to different partner needs / processes Partners pursue their own research interests as desired Partners ‘lead’, ‘participate’ or ‘link’ on agreed research themes CCRSPI can lead on cross cutting research needs and themes Unincorporated partnership, ‘lean’, ‘broad tent’ Secretariat has ‘honest broker’ role – represents all partners Industry represented in Stakeholder Committee and Observers ‘Lean’ administrative Secretariat - focus on value to partners Must not duplicate any existing or planned investments Governance - Operates by consensus and transparency Regular reporting to CCRSPI Steering Committee Shared IP and outputs – default to public domain

  13. POLICY INTERFACES – all clear? PISC R & D COAG High Level Officers Working Group RDCs PISC RDE Strategies COAG CCRSPI CGA NCCARF Primary Industry network States National Climate Change Science Framework Primary Industry Climate Change Adaptation Plan

  14. CCRSPI Implementation – in principle Partners explicitly recognize need for collective approach Valuable lessons learnt from CCRSPI to date Align CCRSPI with other networks (PI ARN) as far as possible Five year program, three years funding commitment Coordinate and support knowledge sharing across partners Update & Implement PISC Strategy – partners agree to use it Identify cross sector research priorities & get funded Identify and support ‘theme leaders’ for key research themes Theme leaders deliver national coordination for research priorities Communicate key insights to external stakeholders in plain English National database with details of all climate change (& NRM) projects Unincorporated joint venture, ‘lean’, ‘broad tent’ Retain ‘honest broker’ role – represents all partners Membership via capped annual fee Industry represented via RDCs, in committees, or as members ‘Lean’ administrative Secretariat with remit for strategic analysis

  15. A Brief introduction to PICCARNPrimary Industry Climate Change Adaptation Research Network(yes, the name was chosen in light of the nut)

  16. Primary Industry Research Network • National Climate Change Adaptation Research Facility • Managed by Griffith University • Funded by Australian Government Department of Climate Change • Eight Climate Change Research Networks supporting coordination and communication of adaptation research • Primary Industry network – PICCARN - approved by NCCARF, DCC, Minister Wong - announced in Feb 2009 • Primary Industry Climate Change Adaptation Research Network • Network convened by Prof. Snow Barlow (Horticulture & Viticulture) • Network Coordinator (myself) and Research Leadership Group • Funding through to 2012 • Hosted by Land & Water Australia • Support development of National Adaptation Research Plan for Primary Industry

  17. OPERATIONAL PLAN FOR PICCARN CONFIDENTIAL Full NCCARF Network NCCARF Website National Conference PICCARN Web Info exchange with other NCCARF networks PICCARN RESEARCH NETWORK PICCARN External Web Site Outputs Internal PICCARN Web Info Exchange Strategic planning Quarterly Meetings Research Leadership Group National Coordination Workshops National research adaptation plan Reviews of state of research Synthesis papers Coordinated proposals Special Journals Capacity development Research Coordination Biannual Meetings National Research Theme Leaders Topic / Event Coordination Workshops Research Coordination Biannual Meetings National Research Sub-theme leaders Regional Coordination Workshops Research Coordination Meetings as needed Regional Research Events

  18. CCRSPI & PICCARN ALIGNMENT PICCARN CCRSPI Universities RDCs States DAFF CSIRO Network Convenor Network level interaction Partner Boards Network Research Leadership group CCRSPI Steering Committee Strategic alignment through shared membership PICCARN Secretariat CCRSPI Secretariat Node level interaction Adaptation Research Nodes CCRSPI Research Themes Alignment of research efforts

  19. Enough about climate change issues. Enough about administration. What can the Horticulture sector do about climate change?

  20. Some Horticulture issues are known Wide diversity in horticulture products – hard to deliver simple messages (ex different responses to temperature variations) Extent of water use – cost and security of water highly vulnerable to climate change Storage and distribution - significant cost elements Impact of Peri-urbanization - plant use and distribution networks, impacts on consumer preferences, need to consider food miles Measurement and accounting costs –impact on smaller producers International carbon accounting systems - input to and alignment with What extent can separate out natural and human induced impacts – ex on soil, recognizing opportunities to improve plant health High uncertainty due to impact interactions – pest breeding cycles, elevated CO2, water use restrictions Bio-fuels and changes in land use patterns – uncertainty over effects

  21. Mitigation and Adaptation Opportunities Innovation in water technology: just in time watering, greater focus on study of heat stress and other extreme events, increase on site storage Supply chain and distribution network re-engineering: locate nurseries closer to sale centers Soil Management and Waste Management: opportunities for co-location Locating plant breeding centers: increase adaptability and flexibility GM stock: use of varieties, Integrated Pest and Weed Management Soil Management and sequestration: Higher value export products: develop to respond to compliance requirements and consumer preference in export markets Food security and domestic horticulture: lobby for more recognition Improvements in building design: energy supply and cooling Social and amenity value of plants: reducing urban heat and improving quality of life in increasingly dense urban areas Increased use of plant protein: human consumption and livestock feed 21

  22. Channels exist – use them ! House of Representatives Inquiry into the role of Government in assisting Australian agriculture adapt to climate change – HAL led Submission Development of National Adaptation Research Plan for primary industry – ensure Horticulture priorities are included Urban planning and building code – highlight social and amenity value of horticulture Development of PISC strategies - ensure Horticulture priorities are included Copenhagen negotiations – ensure DCC provides debrief on implications for industry, Overseas market change - lever existing DCC bilateral partnerships PICCARN – ensure horticulture research priorities addressed within network NGER – obtain sector debrief from DCC: ask what implications are! AFF – access communication related funding to support extension needs CCRSPI – ensure horticulture research priorities addressed when PISC cross sectoral strategy developed CCRSPI – ensure horticulture research priorities addressed within network Lobbying – continue working with regional and National Farmers’ Federations 22

  23. Conclusion – key messages Know and communicate ($) industry value and risks Indirect impacts are as important as direct ones Work together to identify gaps & manage strategic info Use existing channels - influence policy & regulation Give ‘talking heads’ some solutions to talk about See climate change as another business problem Manage supply chain, component, and value chain risk Invest up front in developing informal networks Recognize small firms’ realities – any contribution counts Look over horizon and plan accordingly (ex Fisheries) Consult, collaborate, communicate!

  24. THANK YOUOWEN.CAMERON@LWA.GOV.AUOCAMERON@HOTMAIL.COM 24

  25. Drivers & Risks Scarce funds Competitive funding Cutler Review Garnaut Review COAG capacity sharing Food security and exports Declining research capacity Establishment of PI ARN National Frameworks: -PISC Cross sector -DCC NARP Impacts of CPRS tbd Act on Senate report Farmer need for advice Advice in plain English Mitigation & Adaptation International dimension -Multilateral negotiations -Australian vs US capacity Lack national coordination Key research not funded Excessive transaction costs Decisions not reflect NRM realities Cross sector issues neglected Research too ‘abstract’ RDCs seen as not collaborating States seen as parochial DAFF seen as overly controlling CCRSPI is institutional bureaucracy DCC PI ARN lacks relevance Farmers not supported Australia loses Intl Competitiveness PI NARP lacks industry relevance PISC RDE CS strategy not delivered No new PI research capacity Database not delivered Failure for PI to access CDM

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