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EEA/NSV/10/002 – ETC/ICM Security implications of future water use in Western Balkans: challenge of hydropower development Description of Scenarios (Chapter 7) – final draft Date: 8 January 2014 EEA activity: EEA West Balkan Cooperation ETC/ICM Water Prepared by / compiled by: Dr. Lidija Globevnik Luka Snoj Gašper Šubelj Organisation: TC Vode EEA Project manager: Anita Pirc Velkavrh Contents 1. Explorative scenarios and the vision for water availability in relation to climate change impacts ................................................................................................................................................. 2 1.1 Scenarios as a method to explore Security implications for water use and hydropower development ......................................................................................................................................... 2 1.2 Western Balkans explorative future scenarios - Framework for scenarios construction..................................................................................................................................................................... 3 1.3 1.3.1 1.3.2 1.3.3 1.3.4 1.3.5 Western Balkans narrative future scenarios – Characteristics ................................................... 4 Scenario 1 – The good Society ..................................................................................................................................6 Scenario 2 – The Technogarden of the Balkans ...............................................................................................8 Scenario 3 – Run to the hills ................................................................................................................................... 10 Scenario 4 – Downward Spiral .............................................................................................................................. 12 Common Vision ............................................................................................................................................................ 14 1 1. Explorative scenarios and the vision for water availability in relation to climate change impacts 1.1 Scenarios as a method to explore Security implications for water use and hydropower development To study future issues and concerns, a wide range of methods as are quantitative projections or forecasts, narrative scenarios studies in combination with quantitative tools, horizon scanning, system dynamics, sensitivity analysis, probabilistic analysis, mega trend analysis and backcasting can be used (EEA, 2010d). There are few different approaches for forward-looking assessment. While short time-horizons tend to present only low levels of uncertainty, endowing projections of future implications with some confidence, precise projections can be sometimes even meaningless with high level of uncertainty. In such cases, exploratory scenario-based approaches can help us to explore key uncertainties and their implications across a wider range of futures which can be contrasting (EEA, 2007). Business leaders and policy-makers often face strategic decision with uncertain future results. Variety of unpredictable factors outside the decision-maker’s control has an important influence on such outcomes. With a wish of efficient dealing with deep uncertainty of this sort, scenario planning has been developed (EEA, 2009). We can describe future development scenarios as plausible descriptions of how the future may unfold based on internally consistent and coherent set of assumptions and potential influence of various or/and variously intense driving forces. Even though they can be described with qualitative and quantitative data respectively, scenarios are neither forecasts nor predictions. Using scenarios as a tool, possible threats and risk may be foreseen. Identification of possible threats and risks is important to establish proper mitigation measures, early warnings and other precautionary actions. Scenarios are can be used as awareness of plausible futures. Taking them into consideration and incorporating them into strategic plans, desired future may be achieved because risks, which were identified within plausible scenarios, can be successfully mitigated with suitable executed mitigation measures. Scenarios can help us illustrate how regions might look like in the future, they can help us understand how and what changes might occur and the possible repercussions. Their goal is not prediction of the future bur rather help to uncover what is not known, expected or monitored (EEA, 2012b). Scenarios shouldn’t be confused with Visions. Vision can be described as an image or idea of desirable and preferable future. A vision can also include descriptions of the development towards desirable future. The role of vision is to leverage change by targeting potential change agents and mobilising resources. Vision can be achieved with suitable strategic planning and 2 mitigation of potential future risks and threats which can be identified and their intensity assessed within scenarios. Explorative scenarios considering West Balkan region are outcome of three workshops. Scenarios, their characteristics and key driving forces were developed on workshop held in Belgrade in 2011. Scenarios are reflecting the key uncertainties regarding sustainability of economic growth and extent of climate change impacts (EEA, 2012b). Furthermore, scenarios were implemented with emphasise how to manage the water security implication regarding (un)sustainable economic growth and climate change extent in the Western Balkans. 1.2 Western Balkans explorative future scenarios - Framework for scenarios construction In this chapter we are reviewing the main drivers that most likely play a major role in shaping the future of Western Balkans in the next decades. It builds on analysis carried out in recent and on-going EEA work, including the reports The pan-european environment: glimpses into an uncertain future (2007) and Environmental trends and perspectives in the Western Balkans: future production and consumption patterns (2010d). The EEA’s work on driving forces is based on the STEEPL framework. The STEEPL is used to identify drivers for future analyses (EEA, 2010d). This framework classifies driving forces shaping the Western Balkans future into five broad categories. Figure 1: STEEPL driving forces method and Western Balkans key driving forces. 3 In our case, scenario axis approach was used. According to that approach a set of key driving forces is identified in the first phase. In the second phase two driving forces, regarded to be most important and most uncertain in terms of their future development, form the axes of a matrix. For the Western Balkans future scenarios framework, a set of six key driving forces was taken from STEEPL framework. Further, Climate change extent and (Un)sustainable economic growth were found to be the most important and most uncertain driving forces with a significant effect on other driving forces. Different climate change impacts can have a different effect on population, technology development, politics, legislation etc. Equally important driving force shaping the future picture of Western Balkans is also (un)sustainability of economic growth which similarly effects other driving forces. Regarding the precedent extent, scale and characteristics of main driving forces four different future scenarios were developed. For each scenario, characteristics of STEEPL driving forces are described with emphasize of their influence on water availability and other security implications modules. 1.3 Western Balkans narrative future scenarios – Characteristics Reflecting the key uncertainties regarding the extent of climate change impacts and the sustainability of economic growth, four plausible future scenarios were developed as result of open discussions with national experts from Western Balkans countries, ETC and EEA members. One of the outcomes of the workshops are identified risks of spatially and temporally uneven water supply as a result of changing climate patterns and appropriateness of adopted mitigation measures and their effect on susceptibility, coping capacity and adaptive capacity of exposed elements with emphasize on water availability and security of hydro power energy supply. For each scenario, extent and characteristics of main driving forces are described. Regarding the extent of key driving forces, intensity and probability of threats, various vulnerability levels were discussed, estimated and described. Levels of various identified risks were defined as the combination of the probability and intensity of a threats/hazards and its negative consequences which are mainly depended on vulnerability level of exposed elements. The Western Balkans explorative scenarios were concentrated on water use, energy supply with specific focus on challenges regarding hydropower development. To give a better scenario background understanding it is important to define major driving forces and their characteristics. Low climate change – Temperatures rise is not high and doesn’t have a major impact on ecosystems, amount and distribution of precipitation and water availability. Probability and intensity of threats and hazards is low. High climate change – Temperature rise is high and has a significant impact on ecosystem, amount and distribution of precipitation and water availability. Probability and intensity of threats and hazards is high. 4 Sustainable economic growth - High economic growth with ensuring the sustainability of natural systems and the environment so that needs can be meet not only today but also for future generations. High public participation and involvement in strategic planning is bringing socio-political sustainability. Unsustainable economic growth – Insufficient strategic planning with low public participation and involvement is causing low or even stagnating economic growth with high socio-political instability. Exploitation of natural resources is unsustainable with low environmental awareness. Without doubt, extent of the climate change and its impacts represents a key question for the future of Western Balkans. International panel of climate change (IPCC) developed a series of global emission scenarios. The scenario that sees the smallest increase in global temperature for 1.8 °C is called B1. This IPPC scenario is described as integrated world that focuses on sustainability and resource-efficient technologies. On the other side, a market-focused world where future technologies would be based on fossil fuels could cause temperature rise by 4 °C by the end of this century (EEA, 2010; Environmental trends and perspectives in the Western Balkans…). Figure 2: Western Balkans explorative scenarios. 5 1.3.1 Scenario 1 – The good Society Storyline The good Society scenario is the most pleasant scenario of all with a low climate change impact and sustainable economic growth which is providing safe, stable and environmentally friendly living conditions in Western Balkans. Population is increasing, education system is on high level, GDP is high and so it is level of health care. There is a strong environmental legislation which is positively contributing to general good environmental awareness. Water resources are being exploited in sustainable way with emphasize on good drinking quality water and efficient hydropower energy production. Transboundary cooperation within Western Balkan is good and successful. Social – People are migrating to urban areas, farmlands are abandoned, especially in mountain areas. Migrations within a region are not rare, urban areas (especially coastal) are sprawling. Population is increasing especially in Albania and Kosovo under UN Security Council Resolution 1244/99, ageing of population may occur as well. Level of education is high due to good and sufficient education system. Returned emigrants are bringing new skills and have positive contribution to economic development and general well-being. Coastal and other scenic areas as are mountains and spas of the Western Balkans became a new Europe-wide destination for elderly people seeking retirement homes in warmer climate. Technology – Technology is developing fast and becomes very important driving force of the region. Good and stimulating environment for developing Best Available Technology (BAT) is established. Industry is declining while service-oriented economies are contributing significant share to GDP. Important opportunity is also the development of new energy technologies to combat climate change. Political and social acceptance of new technologies will be closely tied to perceived risks and impacts. With precautionary principles and investigated risks new technologies such as genetically modified organisms may be introduced as well. Acceptance of new technologies is depended on public perception of risks and assessed opportunities. New energy technologies and new manufacturing technologies are reducing greenhouse gas emissions, regional pollution and natural resource use. Dissemination of more efficient technologies which are tailored to Western Balkans problems is fast. Due to sufficient and fast research, nanotechnologies are used to develop low-cost photovoltaic cells. There is a constant public eye which weights the technological benefits versus estimated potential risks. Hydropower, water use and energy capacity – New dams for hydropower purposes are built in sustainable way. Due to new introduced technologies, efficiency of hydro power plans can be improved up to 20 % with lower energy loses. Share of hydropower plants will increase in all Western Balkan countries but with big regional differences in hydro power share in electricity production between countries. Not all hydropower potential will be exploited till 2030. There will be strong transboundary cooperation within Western Balkans regarding hydro power issues. 6 Environmental - There is no water scarcity due to the low climate change and sustainable water management. Biodiversity is not endangered as well. The vulnerability of different habitat types, species and water resources is low due to high adaptive capacities and low susceptibility. Good environmental status is achieved. Due to determination and protection of areas with highest environmental and ecological value, hydro-power plant “no-go areas” are designated. West Balkan region is ecologically diverse with good and sufficient monitoring system and case to case impact studies. Quality of drinking water is not endangered due to sufficient water supply infrastructure, deindustrialization and construction of treatment plants. Highest impact on environment might occur on coastal areas where sprawl of urban areas will be the highest due to development of tourism. EU is requiring regular monitoring of environmental condition and inspections to ensure sustainable operating of industrial plants and other facilities. Economy – All countries of West Balkan are members of European Union. The process and of integration and accession is supporting economic growth and region cooperation in the region. GDP is high in all Western Balkans countries with regional differences. There is uncertainty of integration of Western Balkans into global trade markets or concentration of regional cooperation. There is good transboundary economy cooperation between countries of West Balkans, surrounding countries and European Union. Future global agreements are opening EU markets, as well as those in the Western Balkans, to higher level of agricultural imports from distant countries such as Australia and South America which is leading small farmers out of business and encouraging large agricultural enterprises to integrate more intensive methods as it is irrigation. Sustainable economic growth is providing resources to address environmental issues, such as financing for investments. Share of private sector on the market is not exceeding 40%. Politics - High public participation and involvement in strategic planning is bringing sociopolitical sustainability. Western Balkans is part of global politics which is setting the scene and determining the agreements to tackle major environmental problems, such as climate change and biodiversity loss. There is a high motivation for providing international aid. Legislation and policy - Introduction of stronger environmental policies and laws as European Union accession involves harmonising national legislation with EU legislation. Sustainability and environment are in the centre of policy-making. Strong EU legislation is changing energy systems in the Western Balkans (type of household heating, car pollution regulation etc.). 7 1.3.2 Scenario 2 – The Technogarden of the Balkans Scenario 2 is less pleasant than Scenario 1 due to higher impacts of climate change which are partly mitigated with sustainable economic growth and adopted strategic measures. Storyline Western Balkans is part of global world which relies on environmentally sound technology. Basic characteristics of this scenario are controlled technology drive, ground water drop, green economy, sprawl of urban areas, use of renewable resources and water re-use. Research is moving fast, due to stimulating environment for technological innovations. Terms “Reuse” and “Recycle” are integrated in all living sectors. Benefits of new technologies are often outweighing their risks. Water shortage is mitigated with high-tech technological measures. Environmental concerns are connected with water availability, biodiversity loss, and introduction of invasive, high temperature resilient species. Political stability, transboundary collaboration and integration of EU legislation are providing safe and stable living conditions. Social – Social patterns for Scenario 1 are similar to the patterns in Scenario 2. There is a big sprawl of urban areas which is causing abandonment of mountainous and rural areas. Urbanization of coastal cities is uncertain due to higher temperatures and possible sea level rise. Level of education social and environmental awareness is high due to efficient education system, consumption is decreasing. Urban areas are densely populated and ultra-efficient. Returned emigrants are bringing new skills and are contributing positively to economic, social and environmental development and general well-being. Technology – Technological development is one of the main driving forces in the region. With environmental friendly technology, impacts of climate changes are successfully mitigated. The promise of new technologies is occasionally outweighing their risks. Research has move fast, nanotechnologies and similar high tech technologies have been used to develop low cost photovoltaic cells and other products that are close to market. Environment for technological development is stimulating, smart technologies are integrated in all sectors. Genetically modified organisms, which are resilient to higher temperatures, are introduced in agriculture sector. Key technology characteristics are high efficiency, low energy losses, reuse and recycling. Western Balkans is successfully following global trends in technology, nonetheless are governments supporting new environmentally friendly technology in the region by encouraging universities and businesses to cooperate with other institutions on European and global scale. Hydropower, water use and energy capacity – Quality of drinking water is good due to efficient water resources treatment and modern sufficient infrastructure. Climate change impacts are causing water shortage which is successfully mitigated with efficient technological measures. Everyone has safe access to drinking water of good quality, which is mainly provided by the public sector. Water supply and sewage systems are modern and efficient. Waste water is purificated through waste water treatment plants. There is expansion of mostly big but also small hydropower plants. The share of hydropower energy is about 50 %, the remaining energy share comes from other, preferably renewable, energy sources. Reservoirs are designed for multi-purpose and are compensating needs for other sectors respectively. Majority of the rivers is exploited. Multi-purpose water management is promoted, while there is strong emphasize on 8 education and public awareness. Water price is high and is covering also sustainability achievement measures. To ensure consumers protection, prices are regulated by governments. Higher water scarcity is present at coastal areas where water shortage is substituted with desalinization process. Environmental – Environmental concerns are related to water quantity, introduction of invasive and higher temperatures resilient species. Urban sprawl and the abandonment of extensive, high-nature-value farming are representing threat to environment. The habitat losses in Africa and Western Europe can affect the populations of migratory birds which are passing through Balkans. Major threat to ecosystems presents climate change; reduced water flows have a negative impact on freshwater ecosystems, warmer sea temperatures are allowing new invasive species to prosper into Adriatic and Ionian sea etc. Nevertheless, no significant issues are expected with regards to terrestrial, freshwater and coastal ecosystems since there is strong environmental policy, legislation and public environmental awareness. Negative impacts are partly mitigated with sustainable forestry measures. Economy – Same as in Scenario 1 all countries of Western Balkans are members of European Union. Economy is based on transboundary collaboration within West Balkan countries and with European Union and global markets. Due to high climate change impacts, economy is developing in sustainable way and providing resources to address environmental issues respectively. Investments of returned emigrants have a significant contribution to economic development. There is a steady progress towards regional cooperation as well economic reforms. Reforms are building trades and investment links between countries of the region as well common infrastructure on regional scale. Markets in Western Balkans are opened to foreign investments but with active public participation and strategic regulations. Heat waves and droughts are reducing yields of some crops. Due to decline in water availability some past irrigation practices are being abandoned. Companies are adopting management systems to better monitor, evaluate, and reduce environmental impacts. Politics – Western Balkans is politically stable. There are strong integrated transboundary water agreements between the West Balkan countries. Similarly than in scenario 1 region is part of global politics which is setting the scene and determining the agreements to tackle major environmental problems, such as climate change and biodiversity loss. Environmental ministries, agencies and inspectorates are strong an successfully implementing EU legislation and pursuing effective policies. Legislation and policy - Legislation, strong control and enforcement are guaranteeing sustainability and successful climate change impacts mitigation and adaption. 9 1.3.3 Scenario 3 – Run to the hills Main driving forces shaping Scenario 3 are unsustainable economic development and low climate change impact. Storyline Western Balkans can’t make economic and technological breakthrough and is engaged with poverty, polarization, migration, technological stagnation, corruption etc. Unsustainable economic growth is providing unstimulated environment for economic transition, and technological and educational development respectively. That is resulting in migrations of young and highly educated people, population decline, high inflation and general public dissatisfaction. In spite of low climate change impact, problems with quality and quantity of water persist due to unsustainable water management. Import of goods is exceeding export. Western Balkans is becoming dependent on foreign investment and aid. Important source of GDP is presenting tourism which is nevertheless causing uncontrolled sprawl of urban areas (especially coastal). Repressive control, insufficient and unsustainable legislation enforcement are causing unstable political conditions and social tensions. Social – Ageing of population is posing important challenge for government social programs and finances. Unadjusted pension system is risking bankruptcy. Albania and Kosovo under UN Security Council Resolution 1244/99 are two parts of the region where population is not declining. These problems are just partly tackled by policy reforms such as changing employment, tax and pension policies. Especially young and highly educated workers are migrating into wealthy economies, such as those in Western Europe which has a negative impact on the Western Balkans economy and social pattern. Public polarization is causing conflicts and unstable social environment. Technology – Technological development is stagnating. Introduced new technologies are not regulated; governments are slow to develop policies and the private sector does not take its place with its own codes. EU technological regulations are introduced but insufficiently implemented into legislations. Evan though, technological production is more and less stagnating in the region, new, environmentally friendly technologies developed in the EU are spreading quickly to the Western Balkans and reducing environmental impacts. Hydropower, water use and energy capacity – Water use and energy supply is endangered due to poor water infrastructure and inefficient irrigation techniques. Water is not privatized and is used for multipurpose but prioritized for drinking and irrigation. Existing hydropower capacities are partly maintained with improved efficiency, new hydropower plants are built as well. Thermo power plants remain important energy source. Use of renewable energy sources as are sun and wind is slowly increasing as well. Water quality is low due to insufficient and poor water supply and sewage systems. Water is prioritized for drinking, irrigation and hydropower use. Quantity of water is reduced despite the low climate change impact due to low efficiency and unsustainability of water infrastructure. Early warning systems are not operational. Insufficient water quality and scarcity are also causing health problems. Prices of water are generally high. 10 Environment – Due to unsustainable economic growth which results in pollution and degradation vulnerability of ecosystems, habitats and species is relatively high even though climate change impacts are low. Overfishing and invasive species are threating marine ecosystems in Adriatic and Ionian seas. Highest impact on environment might occur on coastal areas where urban sprawl is the highest due to uncontrolled development of tourism. Economy – Poverty remains an important concern and drives people to leave their homes, either moving internally from rural to urban areas (land abandonment) or leaving the country. In rural areas poverty is causing higher demand for fuel wood, forest are reduced and biodiversity is threatened. Due to lack of governmental resources, adequate environmental infrastructure such as safe drinking water supply, effective solid waste management and sufficient wastewater treatment are not maintained well. There is insufficient cooperation between West Balkan countries. The countries in the region do not reach peace agreements. Legacy of war, institutional concerns and lack of engagement by external power such is European Union are blocking progress. The pace of economic reform varies significantly across the region. Economic development is threatened by shifting political environment, separatist groups looking for opportunities for liberalisation, high unemployment, dependency on foreign aid and investments and internal shocks. Economic transition with means of developing capacities to adapt and successfully compete in a globalised world is slow. Privatization of stateowned enterprises continuous. Restructuring of some enterprises has negative consequences as are cutting staff and closing plants. There are big differences in economic development within the region. Politics – Western Balkans is politically unstable. There are weak integrated transboundary water agreements between the West Balkan countries. All countries accessed into European Union or are in the accession process. The process of integration and accession is supporting economic growth and regional cooperation, even though legislation harmonization is rather difficult and not always successful especially regarding strong environmental laws and policies as are requirements for drinking water and wastewater treatment. Environmental ministries, agencies and inspectorates are weak and having difficulties with implementing and executing effective mainly due to capital lack. Legislation and policy – Countries have difficulties implementing strict European environmental legislation into national politics. Repressive control and insufficient legislation enforcement are causing unsustainability and unpleasant living conditions. 11 1.3.4 Scenario 4 – Downward Spiral Scenario Downward Spiral is the least pleasant scenario with high climate change impacts and unsustainable economic development as major driving forces. Storyline Poverty, high water scarcity, extreme events as are floods and droughts, bipolarization, conflicts, biodiversity loss and political weakness and insecurity are causing unpleasant living conditions which are encouraging inhabitants to migrate and seek for better life outside Western Balkans. Especially young and highly educated people are migrating into wealthy northern countries. Technological development is depended on foreign investments and guiding. Introduction of renewable energy resources is rather slow and insufficient. Moreover, there is a general shortage of water which is aggravating hydropower development and irrigation systems. Fossil fuels are remaining the most important source of energy. Reduced water flows have negative impact on terrestrial and freshwater ecosystems respectively. Climate change impacts are poorly mitigated while industry is based on domestic natural resources whose exploitation is unsustainable and is causing additional environmental damage. Many plant and animal species are moving northward and uphill in response to observed climate change. Conflicts and disagreements between West Balkan countries are not rare and are connected with natural resources and water management. They are constantly slowing down political effectiveness and economic sustainability as well as causing unstable socio-economic environment. This is neither attractive for foreign investors nor for emigrants to return. Social - Social patterns are similar to those in Scenario 3. Urbanization of coastal cities is uncertain due to higher temperatures, potential sea level rise and low adaptive and coping capacities of coastal areas. There is a strong bipolarization of society to rich and poor which is causing conflicts and unpleasant social environment. Especially young and highly educated workers are migrating into wealthy northern countries with lower climate change impacts which is causing significant population decline. Climate change is also contributing to the burden of diseases and premature deaths. Unpleasant living conditions have a wider effect on society and are causing social tensions. Technology – Technological development is stagnating or even declining. Introduction of new technologies is rare and not regulated. EU technological regulations are slowly introduced but rather insufficiently implemented and executed. Technological development is dependent on foreign capital, investments and guidance. Investments in renewable energy sources, research and technology development are low mainly due to a lack of capital. Hydropower, water use and energy capacity – There is general shortage of water due to lower amount of precipitation and higher annual temperatures. The number of heating days is decreasing due higher annual temperatures which help reducing demand for heating but is strongly increasing demand for cooling and exacerbating peaks in electricity supplies in the summer. Changed temperatures, rainfall patterns and storms are negatively impacting on renewable electricity energy generators, conventional electricity energy generators and availability of cooling water for thermal power generations. Energy efficiency and consumption are low due to old and not well maintained power plant technology and lack of capital. Nevertheless, hydropower is still important energy source, new large hydropower plants are 12 constructed on big rivers were quantity of water is still sufficient. Thermo power plants are remaining as important source of energy. Water quality and quality is low due to insufficient and poor water supply and sewage systems, biodiversity loss and climate change impacts. Water price is generally high with big regional differences. Water supply and drainage systems are insufficient, reduced water availability capacities are leading to disintegration of irrigation system, lower agriculture production and river transport. River flows have increased in winter and decreased in summer. Good water management practices are poorly known which is causing a big gap between energy production and research. Environment – Negative impacts on environment are severe due to high climate change which results in increased intensity and probability of hazards and high vulnerability which is mainly a consequence of unsustainable economic development. Water quality and quantity are endangered. The biggest threat to ecosystems presents climate change; reduced water flows have a negative impact on terrestrial and freshwater ecosystems respectively, warmer sea temperatures are allowing new invasive species to prosper into Adriatic and Ionian seas etc. Climate change is also causing marine acidification which is affecting many marine organisms and altering marine ecosystems and fisheries. Temperature of lakes and rivers surfaces have increased together with air temperatures, increased temperature is resulting in marked changes in species composition, functioning of aquatic ecosystems, earlier and larger phytoplankton blooms, increased nutrient and dissolved organic concentrations in rivers and lakes. Unsustainable environmental management is just partly mitigating the climate change impacts. Many plant and animal species are moving northward and uphill in response to observed climate change. Many species exceeded their abilities to adapt and migrate, especially where landscape fragmentation is restricting their movement. More than 20 % of habitats are threatened by climate change impacts. Bogs, fens and mires are being the most vulnerable habitat types. Unsustainable confrontation with climate change impacts is not mitigating the environmental pressures, many human intervention and management changes are even aggravating environment conditions with increasing susceptibility and lowering adaptive and coping capacities of exposed objects as are bogs and marshlands. Climate change has a negative impact also on forests vegetation period, growth, health and distribution of trees and thus on the services and goods provided by forests. Economy – Economical situation is similar to situation Scenario 3. Agriculture is under climate change impacts and is slowly adopting to new environmental conditions but remaining an important economic sector. Water scarcity has negative impacts on agriculture, especially on irrigated areas. Economic and political cooperation within region is weak and tense. Service sector is weak and developing slowly. Industrial sector remains important; industry is based on domestic natural resources which exploitation is unsustainable and causing additional environmental damage. There are significant differences in economic development within a region. Unattractive economic, social and political environment is averting potential foreign investors. Forestry and wood export is becoming important economic activity which results in deforestation and land degradation. Deforested areas are partly turning into shrubs and pastures; grazing is becoming important activity especially in remote rural areas. Coastal tourism is endangered due to high summer temperatures, heat waves, sea level rise and summer water shortage while mountainous tourism is growing. 13 Politics – Political instability and weak integrated transboundary cooperation are slowing down political efficiency. All countries accessed into European Union or are in a accession process but are having difficulties with legislation harmonization, especially regarding environmental laws and policies. Conflicts and disagreements between West Balkan countries regarding natural resources and water management are constantly slowing down political effectiveness and sustainability. Environmental ministries, agencies and inspectorates are hardly handling climate change impacts; executed mitigation measures are rather slow and insufficient. Mismanagement and lack of knowledge are causing conflicts between different sectors as are agriculture, energy production and flood prevention. Legislation and policy – Countries are having great difficulties with implementing strict European environmental legislation and other international agreements into national politics. Repressive control and insufficient legislation enforcement are causing unsustainability and unpleasant living conditions. 1.3.5 Common Vision No arid country has become rich without extensive investment in water-retaining dams – they have been the foundation for economic development in wealthy countries, which have developed huge inventories of dams. On the other hand, poor countries have orders of magnitude of less water infrastructure. Also, no mountainous country has become rich without tapping most of its hydroelectric potential (Fehér, 2013). In the Ljubljana workshop participants made individual and group visions on hydropower development until 2033 to meet energy needs, improve wellbeing and reduce environmental impacts in the West Balkan area. They have used a special vision building tool called “canvas tool”. It is an web based tool conceptually developed in a frame of 7th FP by Alterra (from NL) and partners. The content (themes, issues) were specially prepared for the need of workshop. The structure of themes and issues are the same as the structure of issue analysed in scenarios and conceptualized in project description. The purpose of the canvas tool is to “elicit rich visions”. Rich visions are defined as multifaceted expressions of ideas on the future including images, graphs indicating trends, explanations of relationships between elements, statements and narrative descriptions. Using vision tool, participants tried to foresee the WB future questioning the answer “What will be a shared WB vision hydropower development until 2033 to meet energy needs, improve wellbeing and reduce environmental impacts?” By dragging the issues from the right side of the tool into canvas (centre of the tool) and connecting those issues with themes participants expressed their future vision of the WB in 2033. Connections between issues and themes user describes in textboxes. Graphs and other figures can be added in tool as well. Individual visions are presented in Appendix 2. WB picture: Hydropower plants are built in sustainable way. Multipurpose use of hydropower accumulation lakes. Equality. 14 Transboundary cooperation. Good education system. General well-being. Good irrigation efficiency. Hydropower development is a big and the most important natural potential for the West Balkan development. It is developed in a sustainable way. The regional and international cooperation is strong to support sustainable development of hydropower and other water uses. Sustainable development is achieved through efficient trans-boundary management, collaboration and share of knowledge and experience with EU countries. Development and use of new technologies is connected with renewable energy sources (wind, solar, hydro) and is based on EU knowledge and experience. Existed HPP plants are optimized and maintained sufficiently when new HPP are built in sustainable way. Development of the region is based on good collaboration within the regions and between the regions. General well-being is based on good education, security, “close to nature” lifestyle, good cooperation, sustainable consumption and overall awareness. Good efficiency in irrigation and energy use. Smart technologies are implemented of in all economic sectors. Desalination will become an important water source especially in coastal areas. Water management is allowing multipurpose use of hydropower infrastructure. Quality of local food is good and poverty is reduced. Water is also used for irrigation while new dams are allowing water transport. 15