A model-based assessment of adaptation options for Chianti wine production in Tuscany (Italy) underclimate change

This paper covers a comprehensive economic analysis of climate change adaptation options for a specific wine producing region, namely Tuscany. As temperature increases under climate change, rainfall patterns will be different, and Chianti wine production in Tuscany therefore needs to adapt in the near future. We address the adaptation challenges and identify grape yield and quality loss as the main impact of climate change on wine production. Relocation of vineyards uphill and introducing drought-resistant varieties are considered as adaptation measures. We appraise these adaptation measures using an optimization framework, where regional wine producers maximize income subject to economic constraints including the climate change impacts on wine productivity and quality. Our simulation shows quantitatively to what extent a higher degree of climate change impact demands a higher degree of adaptation. We find that a combination of the two measures provides a better strategy because it leads to higher economic efficiency. However, uncertainty regarding the efficiency of the new variety discourages the use of this new drought-resistant variety, whereas a higher efficiency would make this choice more favourable. Sensitivity analysis for time horizon and discount rate confirms the theory of investment under uncertainty, showing a shorter time horizon (or more frequent investment) provides the possibility to postpone the decision to implement adaptation measures due to the value of flexibility, while a higher discount rate leads to a later adaptation decision, because uncertainty creates a value of waiting for new information

Improved Methods and Metrics for Assessing Impacts, Vulnerability and Adaptation

Over the course of the MEDIATION project, Work Package 2 was tasked with "develop[ing] and apply[ing] a toolbox, defined as a set of models, methods, and metrics for the assessment of impacts and vulnerability and adaptation options." As highlighted in Deliverable 2.2, many frameworks and methods for assessing adaptation have been developed over the last 20 years, yet these often have not been adopted in the context of formal adaptation policies in Europe and elsewhere. Reasons and problems include: (i) a fragmentation of methods and tools, (ii) a lack of linkages to actual policy needs, (iii) a lack of understanding and communication of uncertainties, (iv) the often expert-based nature and complexity of methods used versus actual user demands, and (v) a lack of consistent data, definitions and metrics. Deliverable 2.2 put forward a rough prototype for a toolbox of methods for studying impacts, vulnerability, and adaptation. In this deliverable, we discuss subsequent work on the MEDIATION toolbox, and report on application and testing of the improved methods and metrics in selected key European sectors and regions. We present feedback and improvement to methods and metrics based on input from case studies, stakeholders, and focus groups, as well as an overview of case study work and contribution to an improved MEDIATION toolbox. This input resulted in a number of conclusions relating to the development and use of methods and metrics, reducing uncertainty in CCIAV, and led to a number of changes, including the creation of a novel typology for classifying methods and models relating to CCIAV analysis. We provide an overview of the new typology, as well as the final toolbox, and summarize case study contributions towards improved methods and metrics