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Transport and climate change: Putting Argentina’s resilience to the test

Verónica Raffo's picture


Would you imagine having to evacuate your village by boat because the only road that takes you to your school and brings the goods is flooded?

In February 2018, the fiction became reality for some residents in the province of Salta, northern Argentina, after heavy rains caused the Bermejo and Pilcomayo river to overflow. The flooding resulted in one fatality, required the evacuation of hundreds of residents, and washed a segment of Provincial Route 54, leaving the village of Santa Victoria del Este completely stranded.

Similarly, a segment of National Route 5 in one of the main corridors of Mercosur has been impassable for more than a year due to the excess flows to the Picasa lagoon. The expansion of the lagoon is forcing 4,000 vehicles a day to make a 165-km detour, and adds one transit day for the 1,560 freight trains running every year between Buenos Aires and Mendoza. The flooding is dragging the economy behind and inflating already high logistics costs—a situation that is made worse by conflicts between provinces on how to deal with the water surplus.

As a matter of fact, a recent World Bank study put the cost of damages and disruptions like these at an estimated 0.34% of GDP a year for riverine flooding, plus 0.32% of the GDP for urban flooding.

To address these risks, Argentina’s Ministry of Transport started a dialogue with the World Bank to explore ways of reducing the vulnerability of the network.

Addressing the risks from climate change in performance-based contracts

Chris Bennett's picture


Output and performance based road contracts (OPRC) is a contracting modality that is increasingly being used to help manage roads. Unlike traditional contracts, where the owners define what is to be done, and oftentimes how to do it, OPRC contracts define the outcome that the owners want to achieve, and the contractor is responsible to meet those outcomes. Performance is measured against a series of key performance indicators (KPIs) or service levels.
 
Critical to the success of any OPRC contract is the assignment of risk between parties. Climate change has major implications for OPRC contracts because it affects the risk exposure of both parties. With funding from the Public Private Infrastructure Advisory Facility (PPIAF), a new analysis considered how to incorporate climate change risks into OPRC contracts.
 
What’s Happening Right Now?
 
Without clear expectations around climate risk, neither the asset owner nor the companies bidding for performance contracts will adequately address the risks. Bidders cannot be held accountable for risks that are not specifically cited or linked with performance criteria.
 
At present, climate change risks are generally carried by the asset owner through the Force Majeure provisions of the contract, and treated as ‘unforeseen’ events, with repair costs reimbursed to the contractor. This impacts the overall cost of the OPRC, and where extreme weather events are becoming common-place, reduces the efficacy of OPRC as a contracting modality. The most pressing issues challenging stakeholders during each phase of development are summarized in this chart.

How can Indonesia achieve a more sustainable transport system?

Tomás Herrero Diez's picture
Photo: UN Women/Flickr
Indonesia, a vast archipelago of more than 17,500 islands, is the fourth most populous country in the world, with 261 million inhabitants, and the largest economy in Southeast Asia, with a nominal Gross Domestic Product of $933 billion.

Central government spending on transport increased by threefold between 2010-2016. This has enabled the country to extend its transport network capacity and improve access to some of the most remote areas across the archipelago.

The country has a road network of about 538,000 km, of which about 47,000 km are national roads, and 1,000 km are expressways. Heavy congestion and low traffic speeds translate into excessively long journey times. In fact, traveling a mere 100 km can take 2.5 to 4 hours. The country relies heavily on waterborne transport and has about 1,500 ports, with most facilities approaching their capacity limits, especially in Eastern Indonesia. Connectivity between ports and land infrastructure is limited or non-existent. The rail network is limited (6,500 km across the islands of Java and Sumatra) and poorly maintained. The country’s 39 international and 191 domestic airports mainly provide passenger services, and many are also reaching their capacity limits.

Thank goodness, we had an extra bridge in stock!

Malaika Becoulet's picture
Credit: Joshua Stevens/NASA Earth Observatory
On October 4, 2016, category 4 Hurricane Matthew struck the southern part of Haiti. Strong winds and rain triggered heavy flooding and landslides that resulted in 500 fatalities, along with widespread infrastructure damage and economic loss. The hurricane caused the collapse of the Ladigue Bridge, a vital asset connecting the southern peninsula of Haiti to the capital city and the rest of the country. The collapse left 1.4 million people completely isolated, making it extremely hard to deliver the aid and humanitarian assistance they needed. Overall damage and losses were equivalent to 32% of GDP, with transport accounting for almost a fifth of the total.
 
Haiti is among the countries that are most vulnerable to natural disasters including hurricanes, floods, and earthquakes—the result of a combination of factors that include high exposure to natural hazards, vulnerable infrastructure, environmental degradation, institutional fragility, and a lack of adequate investment in resilience. In Haiti, 80% of people and goods are transported by road. First aid and humanitarian resources, often concentrated in Port-au-Prince, need to transit through congested and sometimes inaccessible roads to reach affected areas. In that context, strengthening and building resilient infrastructure is key.
 
Since 2008, the World Bank has supported the reconstruction of 15 major bridges and stabilized 300 kilometers of roads to enhance the resilience of Haiti’s transport network. One of the most significant innovations that came out of this effort was the adoption of standardized emergency bridges that can be assembled within 2- 3 months from pre-designed and interchangeable components.

The transition to low-carbon buses in Mexico: It’s not (only) about the money

Alejandro Hoyos Guerrero's picture
Credit: Taís Policanti/WRI
Transitioning from diesel buses to cleaner technologies can significantly contribute to tackling air pollution in cities and reducing the carbon footprint of urban transport. As alternatives to diesel are getting more and more viable, many governments and development partners are encouraging bus operators to make the switch, mostly by offering financial incentives such as example 1 or example 2.

However, after promoting cleaner buses in Mexico for five years, we have seen firsthand that financial incentives alone are not enough. Specifically, there are three main obstacles that impede the expansion of cleaner bus fleets, and should be addressed appropriately.

New technologies and risk aversion

In general, private bus operators tend to be very risk averse when it comes to experimenting with new vehicle technologies. This is not exactly surprising: according to our own calculations from different projects in Latin America, variables related to vehicle performance—like fuel and maintenance—make up over 2/3 of costs over the life cycle of a conventional diesel bus. In that context, operators who are not familiar with the performance of new vehicle technologies can understandably perceive the transition to a cleaner fleet as a huge financial gamble.

Intermodal connectivity in the Western Balkans: What’s on the menu?

Romain Pison's picture
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As in most other regions, trucks reign supreme on freight transport across the Western Balkans, a region that encompasses six countries including: Albania, Bosnia and Herzegovina, Kosovo, FYR Macedonia, Montenegro, and Serbia.

The domination of road transport in the freight sector comes with several adverse consequences, including unpredictable journey times, high logistics costs, congestion, as well as high levels of pollution and greenhouse gas emissions. To address this, our team is looking at ways to redirect part of the freight traffic in the Western Balkans region away from roads, and onto more efficient, greener modes such as rail or inland waterways.

You may think we’re trying to bite off more than we can chew here. After all, even advanced economies with state-of-the-art rail infrastructure have been struggling to increase and sustain rail freight transport.

However, as evidenced by the Global Competitiveness and Logistics Performance Indexes, there is strong potential to close gaps in the quality of the Western Balkans transport systems or custom clearing processes. The region has also experienced sustained economic growth (higher, for instance, than OECD countries), while its geographic position makes it a strategic link between Western and Eastern markets, especially considering Turkey’s rail freight developments and global connectivity initiatives.

So where should we start?

The future of transport is here. Are you ready?

Stephen Muzira's picture
Photo: Max Talbot-Minkin/Flickr
Technology is transforming transport with a speed and scale that are hard to comprehend. The transport systems of tomorrow will be connected, data-driven, shared, on-demand, electric, and highly automated. Ideas are moving swiftly from conception, research and design, testbed to early adoption, and, finally, mass acceptance. And according to projections, the pace of innovation is only going to accelerate.

Autonomous cars are expected to comprise about 25% of the global market by 2040. Flying taxis are already tested in Dubai. Cargo drones will become more economical than motorcycle delivery by 2020. Three Hyperloop systems are expected by 2021. Maglev trains are already operating in Japan, South Korea, and China, and being constructed or planned in Europe, Asia, Australia, and the USA. Blockchain technology has already been used to streamline the procedures for shipping exports, reducing the processing and handling times for key documents, increasing efficiency and reliability,

Sustainable Mobility for All: Bringing the vision to life

Nancy Vandycke's picture
Photo: Imedagoze/Flickr

Making sustainable transport a reality requires a coordinated strategy that reflects the contributions and various interests of stakeholders around the world.
 
The Sustainable Mobility for All partnership has a critical part to play in kickstarting this process. The initiative is working to raise the profile of sustainable mobility in the global development agenda and unite the international community around a vision of transport that is equitable, efficient, safe, and green.
 
The issue of mobility and sustainability resonates well with countries’ concerns. The recent UN Resolution focusing on the role of transport and transit corridors in sustainable development demonstrates the continuing importance attached to the issue of transport and mobility by national governments around the world.

Sustainable mobility and citizen engagement: Korea shows the way

Julie Babinard's picture
Suwon's EcoMobility Festival. Photo: Carlos Felipe Pardo
The discussion on climate change often tends to ignore one critical factor: people’s own habits and preferences. In urban transport, the issue of behavior change is particularly important, as the transition to low-carbon mobility relies in large part on commuters’ willingness to leave their cars at home and turn to greener modes such as public transit, cycling, or walking.
 
Getting people to make the switch is easier said than done: decades of car-centric development, combined with the persistence of the private car as a status symbol, have made it hard for policymakers to take residents out of their vehicles.
 
Against this backdrop, I was inspired to learn about the example of Suwon, Gyeonggi Province, a city of 1.2 million some 45km south of Seoul I visited on my last trip to the Republic of Korea.
 
Officials in Suwon have realized that, although awareness of climate change is becoming widespread, behavioral engagement hasn’t quite caught up. To overcome this challenge, the city decided to make sure residents could be directly involved in the design and implementation of its urban transport strategy.

Low-carbon shipping: Will 2018 be the turning point?

Dominik Englert's picture
Photo: Peter Hessels/Flickr
As highlighted in a previous blog post, international maritime transport has not kept pace with other transport modes in the fight against climate change.

While inland transport was included in the 2015 Paris Agreement and international air transport followed suit in 2016, progress in the international shipping sector, which carries 80% of the world’s trade volume, has been more modest. Back in 2011, the International Maritime Organization (IMO) did adopt a set of operational and technical measures to increase the energy efficiency of vessels. Realistically though, it may take about 25-30 years to renew the world’s entire fleet and make all new vessels fully compliant with IMO’s technical requirements.

In any case, focusing only on technical and operational efficiency simply won’t be enough. The demand for maritime transport is growing so quickly that, even when taking all these energy efficiency regulations into account, CE Delft projects that emissions from international shipping could still increase by 20-120% by 2050, while IMO estimates range between 50-250% for different scenarios. This clearly calls for a bolder agenda that includes credible market-based solutions, too.

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