Rising temperatures aren’t just annoying, they’re also harmful to the economy. Here’s how.
[00:00:00] No matter who you talk to nowadays, they only have one complaint, it's too hot. We just
[00:00:06] had the hottest February ever and it looks like we're on the way to breaking some more
[00:00:10] records. Even schools and colleges have been defeated by the scorching heat. Many states
[00:00:15] have declared early summer holidays. The heat is so deadly, it's literally killing people.
[00:00:22] And it could also be deadly for our economy. Research has shown that just a 1 degree rise in
[00:00:26] temperature can reduce growth of a developing economy by 2%. Wondering how? Imagine it's 9am. You're
[00:00:34] waiting for an auto to go to college or office, the auto gets stuck in insane traffic and you're
[00:00:40] boiling under the sun. You had to plan for that important presentation but all you can think of
[00:00:45] is how hot it is. When you finally reach your destination, you are already drained. This lack of
[00:00:51] productivity due to the heat ends up costing the economy. Indians missed 167 billion hours of
[00:00:58] potential work in 2021. This translates to an income loss of 159 billion dollars or 5.4%
[00:01:05] of our GDP. What's worse is that 75% of India's workforce or 318 million people depend on heat exposed
[00:01:14] labor. Yes, construction workers, farmers and delivery partners brave the heat to make our lives
[00:01:21] comfortable. Imagine the productivity loss they face due to this unbearable heat and these
[00:01:27] heat exposed jobs account for almost half of our GDP. So productivity losses in these fears could be
[00:01:34] a huge threat to our economy. It could cause our growth to slow down or worse stop. What it already?
[00:01:41] Well, the list of problems goes on. You see, the heat could leave us with less food on our plates
[00:01:47] and fewer exports on our list. How? India's agriculture sector contributes to about 18.3%
[00:01:54] of our GDP. This sector is also really vulnerable to heat waves. They can decrease crop yields by
[00:02:01] 10-15%. Low yields mean low supplies of fruits and vegetables. Low supplies cause prices to rise
[00:02:09] leading to inflation. Now, inflation could reduce spending in the economy and cause the RBI
[00:02:15] to hike interest rates again. Result, you guessed it, economic slowdown. Now, how can the heat impact
[00:02:22] exports? You see, high temperatures can cause transportation delays, reduce the shelf life of fruits
[00:02:28] and veggies and increase the risk of equipment failure like coolers. 10-30% of fruit and vegetable crops
[00:02:35] this year could go to waste because of the unexpected rise in temperatures. Yep, the heat will not
[00:02:41] just reduce food production. It will also cause food wastage. Now, we are trying to tackle this
[00:02:47] heat but 55% of our electricity still comes from coal. So when we use more electricity to stay cool
[00:02:55] during the summers, we release more emissions into the air which further heat up the environment.
[00:03:01] Yep, we are trapped in a vicious cycle. What can we do to get out? Well, the ultimate solution would
[00:03:07] be to solve climate change. The root cause behind this oppressive heat. India is adopting green energy
[00:03:14] to reduce emissions and solve climate change but this is a long term solution. What can we do to
[00:03:20] solve the problem temporarily especially for workers working in the heat? Well, the government could
[00:03:26] create laws that require companies to provide air conditioners or proper shades to work in.
[00:03:31] We could invest in creating buildings that remain cool even during summers. We could also change
[00:03:37] work schedules. Start work earlier before the heat turns scorching, take a break during the day
[00:03:42] and work again after sunset. Some traditionally hot countries like Qatar and Dubai have already
[00:03:48] implemented such steps. Farmers could also create temporary shade provisions in the field. Plus,
[00:03:54] the government could teach them about farming methods that protect crops from heat.
[00:03:58] Methods like laying wet straw on the ground near the crops could help them retain water for longer.
[00:04:04] Toller plants could also be planted to give crops shade. The Indian Council of Agricultural
[00:04:10] Research has come up with technologies that can minimize heat damage for crops. These efforts
[00:04:16] have already reduced the loss of crop yields from 15 to 20% to 2 to 3%. But we need to work harder
[00:04:24] otherwise millions of lives, jobs and dollars could be at stake. What other steps can the government
[00:04:30] take to beat the heat? Let us know in the comments. See you in the next episode, Jay Hind.