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Berlin Workshop Series 2010 57855 C

Berlin Workshop Series 2010 57855




Climate Governance and
Development




Edited by
Albrecht Ansohn
and Boris Pleskovic
Climate Governance and Development
Climate Gover nance
and Development




Edited by
Albrecht Ansohn
and Boris Pleskovic




THE WORLD BANK
Washington, D.C.
© 2011 The International Bank for Reconstruction and Development / The World Bank
1818 H Street NW
Washington DC 20433
Telephone: 202-473-1000
Internet: www.worldbank.org

All rights reserved.
1 2 3 4 :: 13 12 11 10

This volume is a product of the staff of the International Bank for Reconstruction and Development / The
World Bank. The findings, interpretations, and conclusions expressed in this volume do not necessarily
reflect the views of the Executive Directors of The World Bank or the governments they represent.
The World Bank does not guarantee the accuracy of the data included in this work. The boundaries,
colors, denominations, and other information shown on any map in this work do not imply any
judgement on the part of The World Bank concerning the legal status of any territory or the
endorsement or acceptance of such boundaries.


Rights and Permissions
The material in this publication is copyrighted. Copying and/or transmitting portions or all of this
work without permission may be a violation of applicable law. The International Bank for
Reconstruction and Development / The World Bank encourages dissemination of its work and
will normally grant permission to reproduce portions of the work promptly.
For permission to photocopy or reprint any part of this work, please send a request with complete
information to the Copyright Clearance Center Inc., 222 Rosewood Drive, Danvers, MA 01923, USA;
telephone: 978-750-8400; fax: 978-750-4470; Internet: www.copyright.com.
All other queries on rights and licenses, including subsidiary rights, should be addressed to
the Office of the Publisher, The World Bank, 1818 H Street NW, Washington, DC 20433, USA;
fax: 202-522-2422; e-mail: pubrights@worldbank.org.




ISBN: 978-0-8213-7994-3
eISBN: 978-0-8213-8307-0
DOI: 10.1596/978-0-8213-7994-3
ISSN: 1813-9442
Contents




ABOUT THIS BOOK vii
INTRODUCTION 1
Aehyung Kim and Boris Pleskovic

OPENING ADDRESS 9
Carola Donner-Reichle

KEYNOTE ADDRESS
Climate Governance and Devlopment 11
Rosina Bierbaum

KEYNOTE ADDRESS
Development and Climate Change 27
Justin Yifu Lin


Part I Climate Change as a Development Priority
Mainstreaming Climate Adaptation into Development: A Policy Dilemma 35
Richard J. T. Klein


Part II Energy and Development: Policies and Technologies
Urbanization and Sustainable Cities: The Role of Governance, Infrastructure,
and Technology 55
Judith A. Layzer
Promoting Research, Innovation, and Technology Transfers for Alternative
Energy Sources 61
Claudia Kemfert




V
VI | CONTENTS



Part III Natural Resource Governance for Adaptation,
Mitigation, and Development
Governance for Sustainable Adaptation? Environmental Stressors,
Natural Resources, and Human Security 71
Siri Eriksen
Impact of Climate and Land-Use Changes on Natural Resources in the
Agricultural Landscape 85

Andrzej Kedziora and Zbigniew W. Kundzewicz


Part IV Development, Non-State Actors, and Climate
Governance: Private Sector and NGOs
Climate Change and the Threat to Development 107
David Rogers


Part V Financing Adaptation and Mitigation in an
Unequal World
The International Climate Architecture and Financial Flows for Adaptation 121
Charlotte Streck


Part VI Changing Climate, Changing Institutions
of Governance
Creating the Capacity for Decentralized, Self-Governing Adaptations
to Climate Change 133
John Scanlon and Clara Nobbe
The Politics of Climate Policy in Developed Countries 149
Hugh Compston and Ian Bailey
About This Book




The World Bank and InWEnt (Capacity Building International, Germany) hold a
Development Policy Forum each September in Berlin. This meeting, known as the
"Berlin Workshop," provides a forum for the European research community to con-
tribute its perspectives to early discussions in preparation of the World Bank's annual
World Development Report. The Workshop offers new ideas and distinctive perspec-
tives from outside the World Bank. Participants in the Workshop come from a range
of academic, governmental, think-tank, and policy-making institutions in Europe, the
United States, and the Russian Federation, as well as from the World Bank and the
German development institutions. Conference papers are written by the participants
and are reviewed by the editors. Participants' affiliations identified in this volume are
as of the time of the conference, September 28­30, 2008
The planning and organization for the 2008 workshop involved a joint effort. We
extend our special thanks for the support of Justin Yifu Lin, senior vice president for
development economics and chief economist of the World Bank, and Rosina Bierbaum
and Marianne Fay, codirectors of the World Bank's World Development Report 2010.
We wish to thank Aehyung Kim and Alexander Lotsch for their advice and sugges-
tions. We would also like to thank the conference coordinators at InWEnt, Joachim
Mueller and Katja Wehlte de Hernández, whose excellent organizational skills kept
the workshop on track. Finally, we thank the editorial staff, especially Stuart Tucker
and Mark Ingebretsen, from the Office of the Publisher.




VII
Introduction
AEHYUNG KIM AND BORIS PLESKOVIC




This volume, Berlin Workshop Series 2010, contains a selection of papers presented
at the 11th International Policy Workshop, held in Berlin, September 28­30, 2008.
The workshop was jointly organized by Inwent­Capacity Building International,
Germany, and the World Bank in preparation for the World Bank's World Develop-
ment Report 2010. It provided a forum for an exchange of ideas and viewpoints that
contributed to the development of the report.
Participants discussed development challenges and successes pertaining to climate
change. Many poor and vulnerable communities and population groups are already
bearing the burden of substantial climate impacts. Over time, such impacts are pro-
jected to become increasingly far-reaching, ubiquitous, and critical. In the six sessions
of the workshop, participants explored the problems that climate change poses for
development as they reflected on the challenges involved and discussed solutions to
them.
In his keynote address, Justin Lin argues that climate change could be consid-
ered as the defining long-term development challenge of the 21st century. Unless
we deal with climate change, other development challenges--poverty, inequality,
demographic change, public health needs, natural catastrophes, and financial and
terms-of-trade shocks, among others--will only become even more difficult to
manage. Climate change threatens over time to reverse the development gains of
recent years and limit prospects for further gains.
Lin describes the three objectives of the World Development Report. The first
is to help convince the development community that climate change really does
represent a changing environment for development, and that development "the
way we've always done it" is no longer an effective option. The second is to build
the case that unless development realities are fully integrated into agreements for



Aehyung Kim is a consultant, Development Economics at the World Bank. Boris Pleskovic is Research Manager, Devel-
opment Economics at the World Bank.
Berlin Workshop Series 2010
© 2010 The International Bank for Reconstruction and Development / The World Bank

1
2 | AEHYUNG KIM AND BORIS PLESKOVIC



mitigating greenhouse gases, such agreements will not deliver significant mitiga-
tion, or will simply fail. A third goal of the report is to contribute to the small but
growing body of knowledge on how development policy should be designed in a
"greenhouse world."
At the same time, Lin argues that two key challenges concern better management
of energy sources and natural resources. How different sets of actors respond to these
challenges will shape the future of a climate-stressed world, so the conference
includes in-depth consideration of the strengths that different groups of actors can
bring to the common goal of creating more effective responses to climate change.
These include not only responses of policy, but also of the role that autonomous
adaptation to climate change plays in complementing public sector actions or filling
in when planned adaptations to climate change fall short.
In her opening address, Rosina Bierbaum states that an important part of the
World Development Report is going to be to find solutions to climate chan
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Berlin Workshop Series 2010 57855 Climate Governance and Development Edited by Albrecht Ansohn and Boris Pleskovic Climate Governance and Development Climate Gover nance and Development Edited by Albrecht Ansohn and Boris PleskovicTHE WORLD BANKWashington, D.C. © 2011 The International Bank for Reconstruction and Development / The World Bank1818 H Street NWWashington DC 20433Telephone: 202-473-1000Internet: www.worldbank.orgAll rights reserved.1 2 3 4 10 11 12 13 > >This volume is a product of the staff of the International Bank for Reconstruction and Development / TheWorld Bank. The findings, interpretations, and conclusions expressed in this volume do not necessarilyreflect the views of the Executive Directors of The World Bank or the governments they represent.The World Bank does not guarantee the accuracy of the data included in this work. The boundaries,colors, denominations, and other information shown on any map in this work do not imply anyjudgement on the part of The World Bank concerning the legal status of any territory or theendorsement or acceptance of such boundaries.Rights and PermissionsThe material in this publication is copyrighted. Copying and/or transmitting portions or all of thiswork without permission may be a violation of applicable law. The International Bank forReconstruction and Development / The World Bank encourages dissemination of its work andwill normally grant permission to reproduce portions of the work promptly.For permission to photocopy or reprint any part of this work, please send a request with completeinformation to the Copyright Clearance Center Inc., 222 Rosewood Drive, Danvers, MA 01923, USA;telephone: 978-750-8400; fax: 978-750-4470; Internet: www.copyright.com.All other queries on rights and licenses, including subsidiary rights, should be addressed tothe Office of the Publisher, The World Bank, 1818 H Street NW, Washington, DC 20433, USA;fax: 202-522-2422; e-mail: pubrights@worldbank.org.ISBN: 978-0-8213-7994-3eISBN: 978-0-8213-8307-0DOI: 10.1596/978-0-8213-7994-3ISSN: 1813-9442 ContentsABOUT THIS BOOK viiINTRODUCTION 1Aehyung Kim and Boris PleskovicOPENING ADDRESS 9Carola Donner-ReichleKEYNOTE ADDRESSClimate Governance and Devlopment 11Rosina BierbaumKEYNOTE ADDRESSDevelopment and Climate Change 27Justin Yifu LinPart I Climate Change as a Development PriorityMainstreaming Climate Adaptation into Development: A Policy Dilemma 35Richard J. T. KleinPart II Energy and Development: Policies and TechnologiesUrbanization and Sustainable Cities: The Role of Governance, Infrastructure,and Technology 55Judith A. LayzerPromoting Research, Innovation, and Technology Transfers for AlternativeEnergy Sources 61Claudia Kemfert V VI | CONTENTSPart III Natural Resource Governance for Adaptation, Mitigation, and DevelopmentGovernance for Sustainable Adaptation? Environmental Stressors,Natural Resources, and Human Security 71Siri EriksenImpact of Climate and Land-Use Changes on Natural Resources in theAgricultural Landscape 85 Andrzej Kedziora and Zbigniew W. KundzewiczPart IV Development, Non-State Actors, and Climate Governance: Private Sector and NGOsClimate Change and the Threat to Development 107David RogersPart V Financing Adaptation and Mitigation in an Unequal WorldThe International Climate Architecture and Financial Flows for Adaptation 121Charlotte StreckPart VI Changing Climate, Changing Institutions of GovernanceCreating the Capacity for Decentralized, Self-Governing Adaptationsto Climate Change 133John Scanlon and Clara NobbeThe Politics of Climate Policy in Developed Countries 149Hugh Compston and Ian Bailey About This BookThe World Bank and InWEnt (Capacity Building International, Germany) hold aDevelopment Policy Forum each September in Berlin. This meeting, known as the"Berlin Workshop," provides a forum for the European research community to con-tribute its perspectives to early discussions in preparation of the World Bank's annualWorld Development Report. The Workshop offers new ideas and distinctive perspec-tives from outside the World Bank. Participants in the Workshop come from a rangeof academic, governmental, think-tank, and policy-making institutions in Europe, theUnited States, and the Russian Federation, as well as from the World Bank and theGerman development institutions. Conference papers are written by the participantsand are reviewed by the editors. Participants' affiliations identified in this volume areas of the time of the conference, September 2830, 2008 The planning and organization for the 2008 workshop involved a joint effort. Weextend our special thanks for the support of Justin Yifu Lin, senior vice president fordevelopment economics and chief economist of the World Bank, and Rosina Bierbaumand Marianne Fay, codirectors of the World Bank's World Development Report 2010.We wish to thank Aehyung Kim and Alexander Lotsch for their advice and sugges-tions. We would also like to thank the conference coordinators at InWEnt, JoachimMueller and Katja Wehlte de Hernández, whose excellent organizational skills keptthe workshop on track. Finally, we thank the editorial staff, especially Stuart Tuckerand Mark Ingebretsen, from the Office of the Publisher. VII Introduction AEHYUNG KIM AND BORIS PLESKOVICThis volume, Berlin Workshop Series 2010, contains a selection of papers presentedat the 11th International Policy Workshop, held in Berlin, September 2830, 2008.The workshop was jointly organized by InwentCapacity Building International,Germany, and the World Bank in preparation for the World Bank's World Develop-ment Report 2010. It provided a forum for an exchange of ideas and viewpoints thatcontributed to the development of the report. Participants discussed development challenges and successes pertaining to climatechange. Many poor and vulnerable communities and population groups are alreadybearing the burden of substantial climate impacts. Over time, such impacts are pro-jected to become increasingly far-reaching, ubiquitous, and critical. In the six sessionsof the workshop, participants explored the problems that climate change poses fordevelopment as they reflected on the challenges involved and discussed solutions tothem. In his keynote address, Justin Lin argues that climate change could be consid-ered as the defining long-term development challenge of the 21st century. Unlesswe deal with climate change, other development challenges--poverty, inequality,demographic change, public health needs, natural catastrophes, and financial andterms-of-trade shocks, among others--will only become even more difficult tomanage. Climate change threatens over time to reverse the development gains ofrecent years and limit prospects for further gains. Lin describes the three objectives of the World Development Report. The firstis to help convince the development community that climate change really doesrepresent a changing environment for development, and that development "theway we've always done it" is no longer an effective option. The second is to buildthe case that unless development realities are fully integrated into agreements forAehyung Kim is a consultant, Development Economics at the World Bank. Boris Pleskovic is Research Manager, Devel-opment Economics at the World Bank.Berlin Workshop Series 2010© 2010 The International Bank for Reconstruction and Development / The World Bank 1. 2 | AEHYUNG KIM AND BORIS PLESKOVICmitigating greenhouse gases, such agreements will not deliver significant mitiga-tion, or will simply fail. A third goal of the report is to contribute to the small butgrowing body of knowledge on how development policy should be designed in a"greenhouse world." At the same time, Lin argues that two key challenges concern better managementof energy sources and natural resources. How different sets of actors respond to thesechallenges will shape the future of a climate-stressed world, so the conferenceincludes in-depth consideration of the strengths that different groups of actors canbring to the common goal of creating more effective responses to climate change.These include not only responses of policy, but also of the role that autonomousadaptation to climate change plays in complementing public sector actions or fillingin when planned adaptations to climate change fall short. In her opening address, Rosina Bierbaum states that an important part of theWorld Development Report is going to be to find solutions to climate chan
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