The Importance of Understanding Climate Geopolitics

Alan Leung is SVP of Threat Intelligence on the Global Security team at Macquarie Group, a global financial services firm. They're one of the world's largest infrastructure asset managers. 

Alan is an active MCJ community member who a year or so ago started writing his own personal newsletter on climate and geopolitical risk at securingclimate.substack.com. The conversation in this episode is inspired by much of what Alan has written and shared there. Cody and Alan cover a range of topics, starting with a framework for how to think about systemic climate risk, to climate change-influenced conflict, to national responses to the energy transition, and lastly to how Alan thinks adaptation and resiliency responses will evolve.

In this episode, we cover: 

• [02:01]: Alan’s framework for defining “hazard” and “risk”
• [04:23]: Examples of climate hazards and impacts
• [06:19]: Understanding climate's nuanced impact on security and conflicts
• [09:18]: Early warning signs and triggers for conflict; climate's role in exacerbating risks
• [10:25]: Water scarcity's role in conflicts in different regions (e.g., Kyrgyzstan, Tajikistan, Uruguay, India, South Africa)
• [14:52]: The need to accommodate for more extreme swings in weather
• [18:01]: Rebuilding with resilience and new tech after conflict
• [21:10]: Global cooperation vs. local protectionism and “geopolitical realities” in the energy transition
• [27:03]: The need for more investment in resilience and adaptation strategies
• [30:03]: How insurance companies are reacting to increasing climate risks
• [33:56]: How organizations can connect risks with opportunities
• [37:43]: Advice for other risk professionals looking to develop knowledge in the climate space
• [40:25]: COVID-19's impact on risk thinking, agility, and value of actionable insights
• [42:50]: An overview of Macquarie Group and Alan’s role in the firm
• [44:47]: Areas where Alan sees opportunities for risk analysis and security in climate solutions
• [46:39]: How traditional ecological practices especially among indigenous cultures may offer the most resilient solutions
• [48:41]: Water security and innovation in cooling systems

Resources mentioned: 

• Chatham House climate change risk assessment 2021

Get connected: 
Alan LinkedIn
Cody Simms Twitter / LinkedIn
MCJ Podcast / Collective

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Episode recorded on Jul 28, 2023 (Published on Aug 8, 2023)

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*Editing and post-production work for this episode was provided by The Podcast Consultant