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Stuart O'Brien

COP26: Calls to accelerate renewable energy job creation

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More than 130 renewable energy leaders, under the auspices of the International Renewable Energy Agency (IRENA) Coalition for Action, have launched a Call to Action for COP26, encouraging all governments at national, regional, and local levels to ensure access to high-quality, sustainable jobs during the energy transition.

Limiting the earth’s temperature rise to 1.5oC by 2050 requires a full decarbonisation of the energy sector. As such, the clean energy transition must progress rapidly. But to build a climate-resilient future, the energy transition must advance in a just and inclusive manner, leaving nobody behind.

As countries convene in Glasgow to re-align strategies and renew ambitions at the 26th United Nations Climate Change Conference (COP26), there is an opportunity to increase momentum of the global energy transition – and a transition grounded in renewable energy has been proven to generate widespread socio-economic benefits, including jobs.

“Leaving fossil fuels behind, we need to make sure that everybody can participate in a low-carbon economy. Policies are needed to make the best use of renewable energy players’ insights and best practices in driving a renewable energy market and creating adequate and equal opportunities for all,” says IRENA Director-General Francesco La Camera.

The Renewable Energy and Jobs: Annual Review 2021 report by the International Renewable Energy Agency (IRENA) finds that the renewable energy sector offered employment to 12 million people in 2020 – a steady increase since 2012 at 7.3 million. Renewable energy jobs are also more inclusive, showing better gender balance with 32 per cent women employed in the sector, compared to 22 per cent in the fossil fuels sector. These records provide a very promising insight into a clean energy future.

With the clock ticking, members of Coalition for Action urge governments to consider the following five recommended actions in their decision-making to accelerate a just and inclusive energy transition, at COP26 this week:

  • Comprehensive structural and just transition policies are critical to secure the benefits and manage labour market misalignments that result from the energy transition.
  • Concrete and resilient finance mechanisms are required for countries to equitably transition away from fossil fuels.
  • Job and enterprise creation in the renewable energy sector must be complemented with labour and socio-economic policies in the energy sector.
  • Long-term partnerships between industry, labour unions and governments are essential to ensure job security and social protection, especially in areas particularly impacted by the energy transition (e.g., coal mining regions).
  • Data-driven actions and solutions are needed to support targeted policies that encourage job creation, capacity building and reskilling to empower those disproportionately impacted, such as women, youth and minorities.

See a more detailed view of the IRENA Coalition for Action’s Call to Action for COP26.

Renewable energy employing 12 million globally

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Renewable energy employment worldwide reached 12 million last year, up from 11.5 million in 2019, according to the eighth edition of Renewable Energy and Jobs: Annual Review 2021.

The report was released by the International Renewable Energy Agency (IRENA) in collaboration with the International Labour Organization (ILO) at a high-level opening of IRENA’s Collaborative Framework on Just and Inclusive Transitions, co-facilitated by the United States and South Africa.

The report confirms that COVID-19 caused delays and supply chain disruptions, with impacts on jobs varying by country and end use, and among segments of the value chain. While solar and wind jobs continued leading global employment growth in the renewable energy sector, accounting for a total of  4 million and 1.25 million jobs respectively, liquid biofuels employment decreased as demand for transport fuels fell. Off-grid solar lighting sales suffered, but companies were able to limit job losses.

China commanded a 39% share of renewable energy jobs worldwide in 2020, followed by Brazil, India, the United States, and members of the European Union. Many other countries are also creating jobs in renewables. Among them are Viet Nam and Malaysia, key solar PV exporters; Indonesia and Colombia, with large agricultural supply chains for biofuels; and Mexico and the Russian Federation, where wind power is growing. In Sub-Saharan Africa, solar jobs are expanding in diverse countries like Nigeria, Togo, and South Africa.

“Renewable energy’s ability to create jobs and meet climate goals is beyond doubt. With COP26 in front of us, governments must raise their ambition to reach net zero,” says Francesco La Camera, IRENA Director-General. “The only path forward is to increase investments in a just and inclusive transition, reaping the full socioeconomic benefits along the way.”

“The potential for renewable energy to generate decent work is a clear indication that we do not have to choose between environmental sustainability on the one hand, and employment creation on the other. The two can go hand-in-hand,” said ILO Director-General, Guy Ryder.

Recognising that women suffered more from the pandemic because they tend to work in sectors more vulnerable to economic shocks, the report highlights the importance of a just transition and decent jobs for all, ensuring that jobs pay a living wage, workplaces are safe, and rights at work are respected. A just transition requires a workforce that is diverse – with equal chances for women and men, and with career paths open to youth, minorities, and marginalised groups. International Labour Standards and collective bargaining arrangements are crucial in this context.

Fulfilling the renewable energy jobs potential will depend on ambitious policies to drive the energy transition in coming decades. In addition to deployment, enabling, and integrating policies for the sector itself, there is a need to overcome structural barriers in the wider economy and minimise potential misalignments between job losses and gains during the transition.

Indeed, IRENA and ILO’s work finds that more jobs will be gained by the energy transition than lost. An ILO global sustainability scenario to 2030 estimates that the 24-25 million new jobs will far surpass losses of between six and seven million jobs. Some five million of the workers who lose their jobs will be able to find new jobs in the same occupation in another industry. IRENA’s World Energy Transitions Outlook forecasts that the renewable energy sector could employ 43 million by 2050.

The disruption to cross-border supplies caused by COVID-19 restrictions has highlighted the important role of domestic value chains. Strengthening them will facilitate local job creation and income generation, by leveraging existing and new economic activities. IRENA’s work on leveraging local supply chains offers insights into the types of jobs needed to support the transition by technology, segment of the value chain, educational and occupational requirements.

This will require industrial policies to form viable supply chains; education and training strategies to create a skilled workforce; active labour market measures to provide adequate employment services; retraining and recertification together with social protection to assist workers and communities dependent on fossil fuels; and public investment strategies to support regional economic development and diversification.

Read the full report here.

HH accreditation positions Energy Assets for market transformation

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Energy Assets has achieved accreditation to provide Half-Hourly (HH) Data Collection and Data Aggregation (DCDA) services direct to its growing customer base of suppliers, brokers and end users across Britain’s industrial and commercial (I&C) market.

The company, a leader in energy metering and analytics, has gained Elexon Performance Assurance Board (PAB) approval ahead of the Ofgem-mandated Market-wide Half-Hourly settlement (MWHH) reform planned for implementation before 2025 as part of the government’s transition to Net Zero.

“Half hourly meter reads enable businesses and public service organisations to collect and analyse consumption data in granular detail, which means they are better placed to optimise energy performance, bear down on cost and reduce their carbon footprint,” says David Sing, Energy Assets Group Managing Director (Assets).

“More than this, though, MWHH reform will likely transform the energy landscape for all the I&C sector as this will now include smaller non-domestic customers which had previously been excluded from HH settlement. For example, suppliers will be able to analyse HH settlement data to create customised ‘time-of-use’ tariffs that reflect the consumption profiles of I&C users or manage loads more effectively by incentivising a shift in demand from peak times.

“For Energy Assets, our new HH accreditation positions us strongly to be part of this emerging and more competitive energy landscape.”

Energy Assets currently provides HH services via a third party. Bringing this capability in-house will assure data flow security and enable greater innovation in the ‘end-to-end’ metering, monitoring and analytics service it offers customers. This includes extracting value from HH data through advanced energy management portals and applying machine learning to optimise energy performance in buildings.

Said Stewart Love, Group Commercial Director at Energy Assets: “The PAB HH accreditation means we can bring a new dynamic to the DCDA marketplace, challenge established players and create value for existing customers and many thousands more organisations operating in the I&C sector. It significantly enhances the totality and flexibility of our metering services and data offer.”

Energy Assets is one of the country’s leading independent meter asset managers, meter operators and providers of automated meter reading systems. The Group’s vertical business model also spans utility construction, local network ownership and data services, offering customers multiple touchpoints across the energy landscape.

Do you specialise in Heating & Ventilation? We want to hear from you!

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Each month on Energy Management Briefing we’re shining the spotlight on a different part of the market – and in November we’ll be focussing on Heating & Ventilation.

It’s all part of our ‘Recommended’ editorial feature, designed to help energy management buyers find the best products and services available today.

So, if you’re a supplier of Heating & Ventilation solutions and would like to be included as part of this exciting new shop window, we’d love to hear from you – for more info, contact Lisa Rose on 01992 374077 / l.rose@forumevents.co.uk.

Our features list in full:

Nov – Heating & Ventilation
Dec – Onsite Renewables
Jan – Energy Management Systems
Feb – Renewable Energy
Mar – Carbon Managemen
Apr – Metering & Monitoring
May – Water Management/Strategy
Jun – Energy Storage
Jul – Data Collection & Management
Aug – Waste Management
Sept – Solar PV
Oct – Lighting
Nov – Heating & Ventilation
Dec – Onsite Renewables

5 Minutes with… Stewart Butler, Head of Energy Services at Richard Irvin FM

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In the latest instalment of our energy management industry executive industry interview series we spoke to Stewart Butler, Head of Energy Services at Richard Irvin FM, about the company, industry challenges, the switch from conventional heating systems to renewable sources and the switch to hybrid working…

Tell us about your company, products and services.

At Richard Irvin, we create safer, smarter and greener places to live and work. We’re the leading technical facilities management services business serving public and private sector clients across Scotland and England.

With a strong focus on excellent customer care and compliance, Richard Irvin provides a broad scope of services for commercial property and housing. These include planned and reactive maintenance, comprehensive plant and system replacement and upgrades, full project management services and energy management which includes commercial energy management, external wall Insulation and focuses on reducing utility bills and CO2 emissions. 

What have been the biggest challenges the Energy Management industry has faced over the past 12 months?

I think one of the biggest challenges in the difficult last twelve months was the reduction in office occupancy, which in turn reduced the demand for energy management systems to be working at full capacity causing concern in keeping the skilled staff within the businesses/industry as workloads reduced there was only the requirement for minimum staff.

And what have been the biggest opportunities?

Clients raised awareness of the need for a clean air/safe working environment for office staff due to the pandemic, this has given rise to the need for a suitable heating and ventilation system with close control allowing ventilation to be increased/decreased depending on the occupancy throughout the working day.

What is the biggest priority for the Energy Management industry in 2022?

Stabilisation following the past twelve months and watching how the clients will react regarding their need for office working. This could go two ways the need to maintain/increase the offices but with the requirement for improved clean air systems or the reduction of office requirement therefore reducing the need for the management of the building.

What are the main trends you are expecting to see in the market in 2022?

The continued switch from conventional heating systems to renewables sources also the increase in demand for solar car ports to aid the vehicle charging points as the increase in electric vehicles continues.

What technology is going to have the biggest impact on the market this year?

I think we will see the increase of installation of solar car ports both on an industrial and domestic basis. Possibly due to the pandemic it could be the requirement for clean air within office environments and how this will be controlled ie. CO 2 monitoring to drive variable speed fans within ventilation systems etc.. I also think we will continue to see the shift from conventional heating systems to the renewables in ground and air source heat pumps.

In 2025 we’ll all be talking about…?

Produce technology enhancements in virtual and augmented reality and AI that allow people to live smarter, safer and more productive lives, enabled in many cases by “smart systems” in such key areas as health care, education and community living.

Which person in, or associated with, the Energy Management industry would you most like to meet?

I do not have any single individual, I think there is inspiration and knowledge to be gained throughout the industry, this is clearly evident when attending seminars etc. and the great individuals you meet.

What’s the most surprising thing you’ve learnt about the Energy Management sector?

Initially the lack of knowledge in general but as the years have progressed, I have seen a substantial change in both the industry and client base knowledge of the energy management and renewables sector.

You go to the bar at the Energy Management Summit – what’s your tipple of choice?

Lager

What’s the most exciting thing about your job?

The constant changes and challenges you encounter daily, meeting great people who are like minded in they want to improve our working environment and in turn improve our carbon footprint.

And what’s the most challenging?

As above the changes and challenges need solutions and at Richard Irvin FM we pride ourselves on being able to determine the best solutions for our clients’ needs.

What’s the best piece of advice you’ve ever been given?

Don’t see problems, see solutions.

Peaky Blinders or Stranger Things?

Peaky Blinders

5 Minutes With… David Kipling, CEO, OEP Group

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In the latest instalment of our energy management industry executive interview series we spoke to David Kipling (pictured, right), CEO at OEP Group, about the company, the challenges facing energy managers, sustainability, the surging price of gas and why your organisation should be exploring PPA and green tariffs…

What are the biggest challenges facing energy managers in the next 5 years?

There is going to be huge focus on energy in the next 5 years, as businesses see a pincer movement of higher energy prices and increasing pressure for sustainability.  Add to that the next ESOS deadline in 2023 and the increasing disclosure of energy performance via SECR reports, tight corporate budgets and energy managers are facing a perfect storm.

In 2025 we’ll all be talking about…?

Demonstrating progress in implementing the 2023 ESOS findings (which will may mandatory to implement by then, in my view) and also the potential end of Climate Change Agreements (CCA) as we know them.  Businesses’ are going to need to more and more innovative, and are facing a wave of new capital investment.

What should businesses be doing about sustainability?

Our experience is improving sustainability and saving energy costs go hand in hand.   It makes sense to accelerate sustainability and there could also be advantages to your business by being ahead of your competitors in being more sustainable.  The only downside is capital investment is usually required, but that’s where my company can help.

What do you think will be the impacts of the recent high and volatile gas and electricity prices?

It has exposed weaknesses for many businesses in their energy management.  It has demonstrated the risk of higher prices, at levels previously not envisaged, and the potential impacts it could have.  I think businesses will start looking much harder at how to save energy and their hedging strategy.

What is the role of energy broking in mitigating the recent prices?

Energy broking has a significant role to play, mainly in helping businesses choose the right tariff (fixed or flexible) and also in hedging strategy, but they aren’t the whole answer.   Their scope to manage non-commodity and wholesale costs is limited. Energy brokers in reality can only deliver a limited amount of savings, and more control is in the hands of company’s to reduce energy consumption and use onsite generation to reduce market price road bumps.

What priority should company’s have on energy efficiency and onsite generation?

I think it should be at the top of the agenda.  Reducing consumption is the best way to reduce cost (and improve sustainability) and onsite generation offers a defence against market price movements.

Should businesses be exploring PPA and green tariffs?

Entering into a wind or solar PPA is topical, reduces CO2 and offers some defence against volatile wholesale costs.  But it doesn’t protect consumers against non-commodity costs for using the grid.

Green tariffs offer CO2 savings but they don’t impact local consumption.   They are also subject to the grid price changes that we have seen recently.

My personal view is that both PPA and Green tariffs can be inhibiters to change.  If they lock in an amount of usage, this can stop businesses looking for changes that reduce their consumption and their local CO2 emissions. 

How can your business help energy managers address these challenges?

OEP helps businesses both identify energy efficiencies and onsite generation, and fund them using our zero capex model.   We don’t charge for the upfront appraisal that identifies all the measures that could be enacted.  The result is both lower consumption and also stable, predictable prices for onsite generation over the term of our agreement (typically 10 years).

What’s the most exciting thing about your job?

I get a real kick from identifying solutions that have been missed previously.  Also its great to see our projects being built within the customer’s premises and to seeing our proposals become the reality.

And what’s the most challenging?

We still face the “too good to be true” scepticism but its rewarding when they relent and see that what we are proposing can really work, and is supported by the data.

What’s the best piece of advice you’ve ever been given?

Focus.   Its easy to get distracted to jump on the latest bandwagon, but we are going to stay very focused on energy intensive manufacturers, where we can have the biggest impact for our planet.

SAVE THE DATE: Energy Management Summit 2022

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If you’re an energy management industry professional, make sure you reserve your delegate place at the next Energy Management Summit – we have both live and virtual attendance options available.

The Energy Management Summit is a unique event specifically designed for senior professionals like you within the industry!

October 11th, 2022

You can attend this two-day event entirely for FREE.

BOOK YOUR PLACE HERE

£60m Swansea Bay City Region low carbon initiative approved

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The UK and Welsh Governments have approved the £58.7 million Swansea Bay City Deal’s Supporting Innovation and Low Carbon Growth programme.

The programme’s aim is to help establish the Swansea Bay City Region as a leader in low carbon growth and the green economy.

Close collaboration with industry, government and academia is key to its success by delivering low carbon, sustainable and inclusive economic growth through creating the right environment to develop new technologies from the research stage, through to production, to support job creation in the region.

Led by Neath Port Talbot Council with Swansea University and University of South Wales as delivery partners, the programme aims to support the creation and safeguarding of 1,320 jobs in the green economy through seven interlinked projects that will enhance infrastructure, research and development and commercialisation:

  • Bay Technology Centre – energy positive building providing high quality, flexible office and laboratory space
  • South Wales Industrial Transition from Carbon Hub – purpose-built facility and specialist equipment to decarbonise the steel and metal industry and supply chain
  • Advanced manufacturing production facility – providing production units with open access to shared specialist equipment to support start-up companies and local business growth in the innovation and manufacturing sectors linked to energy and renewables
  • Property development fund – gap funding for bespoke and speculative commercial buildings in the Port Talbot Waterfront Enterprise Zone area
  • Hydrogen stimulus project – enabling a demonstrator to prove commercial viability of carbon-free hydrogen supply to fuel hydrogen vehicles
  • Air quality monitoring project – test bed for new technology to establish a greater understanding of air quality and levels of pollution to inform local action planning
  • Low emission vehicle charging infrastructure – developing a strategy to decarbonise journeys in the Swansea Bay City Region and develop a pilot in the Valleys area of Neath Port Talbot

The programme can commence drawing down on a £47.7 million City Deal investment from both governments to complement the £5.5 million already committed from the European Regional Development Fund through the Welsh Government and Neath Port Talbot Council and a further £5.5 million of private sector funding. The programme also aims to attract a further estimated £40 million of additional funds from the private and public sectors over the next 5 years.

The funding will provide solutions to decarbonise commercial and industrial buildings, transport and industrial processes that will support the policies and strategies laid out by the Welsh and UK governments.

Cllr Edward Latham, Neath Port Talbot Council Leader, said: “The programme will focus on the Harbourside and Baglan Energy Park area of Port Talbot which complements Neath Port Talbot Council’s Decarbonisation and Renewable Energy Strategy (DARE), with wider regional and national impact through the development of products, services and a skilled workforce”.

James Davies, Industry Wales, said: “The programme of projects aims to transform industry and support the green industrial revolution. The focus on Research, Development and Innovation into energy and advanced materials fits well with the government’s agenda to decarbonise and with other initiatives such as the South Wales Industrial Cluster (SWIC). Industry Wales strongly advocates this ambitious and progressive programme of work that can help bring back and sustain green manufacturing in South West Wales through support for Start-ups, Small to Medium Enterprises and attract inward investment from outside the region.”

Welsh Government Economy Minister, Vaughan Gething said: “As we emerge from the Covid crisis, we are determined to move Wales forward with an economic recovery designed to tackle the climate emergency head on. We will help businesses transition to a low carbon future that will deliver with a stronger, fairer and greener economy.”

The Swansea Bay City Deal is an investment of up to £1.3 billion in a portfolio of nine major programmes and projects across the Swansea Bay City Region, which are together worth over £1.8 billion and 9,000 jobs to the region’s economy in coming years.

Funded by the UK Government, the Welsh Government, the public sector and the private sector, the City Deal is being led by Carmarthenshire Council, Neath Port Talbot Council, Pembrokeshire Council and Swansea Council, in partnership with Swansea University, the University of Wales Trinity Saint David, Swansea Bay University Health Board and Hywel Dda University Health Board.

The £8.5m Bay Technology Centre has been awarded £3.69m of EU funds from the European Regional Development Fund (ERDF) through the Welsh Government.

The project involves creating a 2,500m2 hybrid building. This will provide a range of flexible office space to support both start up and business growth companies, with a focus on the innovation and R&D sectors.

This is one of a number of projects within the Swansea Bay City Deal supported by the European Regional Development Fund including £14.9m EU funds awarded to four projects assisting the further development of the marine energy industry in Wales through the Pembroke Dock Marine programme:

o             The Marine Energy Engineering Centre of Excellence (MEECE)

o             Pembrokeshire Demonstration Zone – Consent and Development

o             Pembroke Dock Building Adaptations

o             Pembroke Dock Marine Access Infrastructure.

IAEA predicts increase in nuclear power capacity in latest outlook

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For the first time since the Fukushima Daiichi accident a decade ago, the International Atomic Energy Agency (IAEA) has revised up its projections of the potential growth of nuclear power capacity for electricity generation during the coming decades.

The change in the IAEA’s annual outlook for this low-carbon energy source does not yet mark a new trend, but it comes as the world aims to move away from fossil fuels to fight climate change. Many countries are considering the introduction of nuclear power to boost reliable and clean energy production.

In the high case scenario of its new outlook, the IAEA now expects world nuclear generating capacity to double to 792 gigawatts (net electrical) by 2050 from 393 GW(e) last year. Compared with the previous year’s high case projection of 715 GW(e) by 2050, the estimate has been revised up by just over 10%.

However, the realization of the IAEA’s high case scenario would require significant actions, including an accelerated implementation of innovative nuclear technologies. The low case projections indicate that world nuclear capacity by 2050 would remain essentially the same as now, at 392 GW(e).

“The new IAEA projections show that nuclear power will continue to play an indispensable role in low carbon energy production,” said IAEA Director General Rafael Mariano Grossi. “The report’s findings represent an encouraging sign of increasing awareness that nuclear power, which emits no carbon dioxide during operation, is absolutely vital in our efforts to achieve net zero emissions.”

According to the report, the 2021 projections reflect growing recognition of climate change issues and the importance of nuclear power in reducing emissions from electricity generation. Commitments under the 2015 Paris Agreement could support nuclear power development if the necessary energy policies and market designs facilitate investments in dispatchable, low-carbon technologies.

The IAEA’s high case projections of a doubling of nuclear capacity by 2050 are close to the International Energy Agency’s projections in the publication “Net Zero by 2050 – A Roadmap for the Global Energy Sector” from May this year.

As global electricity generation is expected to double over the next three decades, nuclear power generating capacity would need to expand significantly to maintain its current share of the mix.

According to the IAEA’s high case projection, nuclear energy could contribute about 12% of global electricity by 2050, up from 11% in last year’s 2050 highcase projections. Nuclear power generated around 10% of the world’s electricity in 2020. The low case scenario was unchanged with a projected share of 6% for nuclear in the total electricity generation. Coal remains the dominant energy source for electricity production at about 37% for 2020, changing little since 1980.

New low-carbon technologies such as nuclear hydrogen production or small and advanced reactors will be crucial to achieving net zero. Nuclear power could provide solutions for electricity consumption growth, air quality concerns, and the security of energy supply. Many innovations for the expanded use of nuclear techniques in related areas such as heat or hydrogen production are underway.

Ageing management programmes and long term operation are being implemented for an increasing number of reactors. About two-thirds of nuclear power reactors have been in operation for over 30 years. Despite the operation of several NPPs having been extended to 60 and even 80 years, significant new nuclear capacity to offset retirements is needed in the long term. Many new power plants will be needed to maintain nuclear power’s current role in the energy mix. Uncertainty remains regarding the replacement of these reactors, particularly in Europe and North America.

Oxford climate experts call for action head of COP26

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In the run-up to Glasgow, 10 leading Oxford climate researchers including Professors Myles Allen, Lavanya Rajamani and Nathalie Seddon, have been asked to record their concerns and hopes for the November conference.

The first of these new videos featuring the well-known climate attribution expert, Dr Friederike Otto, predicts that heat waves have become 100 times more likely in some places because of climate change.

She says in the video: ‘We know how much greenhouse gas is in the atmosphere… Climate change is a real game changer when it comes to heat waves.’

Fredi, as she is widely known, is the co-lead of World Weather Attribution (WWA), an international effort to analyse and communicate the possible influence of climate change on extreme weather events.

Working at the forefront of cutting-edge climate science, in her message, Dr Otto adds: ‘In the last five years, we have developed the tools and understanding of how climate change affects us.’

Fredi’s COP26 ask is: I hope this evidence is used really to up the game on adaptation and adaptation finance.

In later videos, leading Oxford researchers say that, with investment in new technologies and commitment to promises, climate change can be mitigated – if policymakers set the agenda.