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Sunday, September 8, 2024 Iconic Australian tourist destinations like Uluru, the Daintree Rainforest, and Bondi Beach are at risk of significant climate impacts if global temperatures rise by 2°C by 2050, according to a new report by Zurich Insurance Group and economic analysts Mandala. The report paints a concerning picture for Australia’s tourism sector, with more than half of the country’s 178 key tourism sites already experiencing major climate-related risks, including wildfires, storms, and flooding. As climate change intensifies, disruptions to travel infrastructure, such as airports and highways, will also increase, putting thousands of jobs at risk.

Adam Triggs, an economics expert at Mandala, emphasized the scale of the threat: “We were struck by the systemic nature of the climate risk across Australia’s tourism sector. Many of the nation’s most famous tourist assets face severe challenges.” The report analyzed the vulnerability of tourism assets to nine climate-related perils—wind, floods, heatwaves, drought, and bushfires among them.



The analysis used climate models that predict a 2°C rise in global temperatures by mid-century, placing up to 68% of Australia’s tourism assets in the “major risk” category by 2050. Queensland emerged as the state with the highest concentration of tourism assets in the extreme risk category, with over half of its key sites vulnerable. In New South Wales, iconic sites like Bondi Beach and the Royal Botanic Gardens in Sydney face mounting threats from storms and sea-level rise.

Meanwhile, the Great Ocean Road and the Grampians in Victoria are among other high-risk locations identified in the report. Wine-growing regions like South Australia’s Barossa Valley and Adelaide Hills are also under threat, as bushfire smoke and extreme weather events could deter visitors. Other notable high-risk areas include the Kakadu National Park in the Northern Territory and Tasmania’s Cataract Gorge.

Australia’s busiest airports are not immune to the dangers. All 31 of the country’s major airports fell into the top two categories for climate risk, with their exposure to severe storms and wind posing serious challenges for the future of tourism. According to the report, the 2019-2020 Black Summer bushfires, which led to a 35% decline in tourism revenues, offer a glimpse into what could become more frequent if no action is taken.

A similar event today could put up to 176,000 jobs at risk, particularly in regional areas outside of capital cities. Triggs noted that while there has been significant focus on reducing emissions, Australia must also prioritize adapting to the climate impacts already occurring. “We’re facing a double challenge—emissions need to be reduced, but we also need to address the immediate threats climate change poses,” he said.

Daniel Gschwind, a professor of practice at the Griffith Institute for Tourism, echoed this sentiment. He emphasized that the tourism industry has a responsibility to advocate for stronger climate action and raise awareness of the potential risks. “We need to respond on all fronts—building resilience, supporting policies that reduce emissions, and preparing for the challenges ahead,” he said.

Australia’s tourism sector, which supports more than 620,000 jobs, will need to work closely with government and communities to ensure that iconic destinations remain safe and accessible for future generations..

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