Some of the Impacts In Our Region

Some of the Impacts in our Region

Not preparing for coastal climate change will mean real losses to local economies. In a comprehensive statewide review, Florida’s coastal and ocean economies were estimated to generate approximately $500 billion annually in 2005 and 2006 (Kildow, 2006; 2008). Along the Space Coast and neighboring east Florida counties, the IRL and coastal ocean are a major component of this production, generating abundant goods and services that create and support many business sectors and diverse recreational opportunities for those lucky enough to live in or visit coastal east Florida.

The 2016 Indian River Lagoon Economic Valuation Update estimated the total annual economic output at approximately $7.6 billion in 2014 (ECFRPC and TCRPC, 2016). This did not include an estimated $934 million in annualized real estate value for properties located on or near the IRL, nor the economic contributions from north of the Ponce de Leon Inlet. When these contributions are also considered, the total economic output can be valued at about $9.9 billion annually (IRL CCMP, 2019).

Unabated climate change and its impacts on IRL resources (see environmental impacts webpage) invites major long-term economic losses to IRL and coastal ocean businesses, including tourism. According to Morgan Stanley, climate disasters cost North America $415 billion in the prior three years with substantial spillover impacts on supply chains (Shelly, 2019). With continued growth in emissions, annual U.S. economic losses are projected to reach hundreds of billions of dollars by late century, exceeding the current GDPs of most U.S. states, with losses often concentrated in coastal areas following the Fourth National Climate Assessment at USGCRP (2018).  Market risks are highly elevated as well (U.S. Commodity Futures Trading Commission, 2020).  The sections below provide introductions to the literature but are not comprehensive.