French households, businesses and local authorities will face soaring costs for insurance if the country fails to adapt to a changing climate, the government said Monday.
The cost of climate disasters may double in the 30 years through 2050, reaching a cumulative €143 billion ($155 billion), it said in an adaptation plan. At a briefing in Paris, Ecology Minister Agnes Pannier-Runacher said climate change is a “tangible reality” that could leave some citizens unable to get insured.
During the past two decades, France’s insurance industry has faced increasingly costly claims as extreme weather causes droughts, storms and fires. That’s raised doubts over the sustainability of the current system of compensation, and concern that some insurers will simply withdraw from high-risk areas.
The plan presented Monday — which provides little fresh funding — is aimed at raising awareness and spurring preparation by local authorities, energy firms, farmers and other industries. It dovetails with France’s 10-year energy road map, which envisages huge growth in renewables and greater energy efficiency.
The latest version of the road map, unveiled Friday, cut a 2035 target for solar capacity by 10%, a presentation showed. Hydrogen goals were also trimmed as the industry’s development progresses more slowly than expected.
| Key targets from France’s energy road map | 2023 | 2030 | 2035 |
|---|---|---|---|
| Carbon-free electricity output (in TWh) | 458 | 577 | 666-708 |
| Nuclear output (in TWh) | 320.4 | 360 | 360 |
| Solar installed capacity (in GW) | 19.3 | 54 | 65-90 |
| Onshore wind capacity (in GW) | 21.9 | 33 | 40-45 |
| Offshore wind capacity (in GW) | 0.84 | 3.6 | 18 |
| Biogas output (in TWh) | 19.5 | 50 | 50-85 |
| Maximum hydrogen electrolyzing capacity (in GW) | 0 | 4.5 | 8 |
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