Australia faces $6 billion yearly fire costs as El Niño heats up summer
New modelling shows Australian fire seasons are now 21% longer, costing the economy $6 billion each year, with an El Niño-driven summer set to intensify the risk.
A report ordered by Emergency Leaders for Climate Action reveals that Australian fire seasons have expanded by 21% since 1979, putting 5.6 million households at risk and costing the national economy $6 billion annually, largely through health and wellbeing impacts. The analysis highlights that major incidents such as the 2019/20 Black Summer fires incurred nearly $30 billion in damages, with one death, 200 homes destroyed, and extensive livestock loss in the Snowy Valleys Council area.
Former Fire and Rescue NSW commissioner Greg Mullins attributes the rising costs to climate-driven warming and overlapping fire periods across states. Bureau of Meteorology climatologist Felicity Gamble notes that El Niño is already creating drier-than-average conditions along the eastern seaboard, increasing the likelihood of flash droughts and rapid fire spread. The report suggests that better protection of infrastructure and homes could shave $600 million off annual losses and safeguard over 5,600 jobs. Mullins calls for targeted use of the federal Disaster Ready Fund to upgrade homes to bushfire standards and maintain essential services after fires.
Why it matters
Rising fire costs and climate-driven risks threaten Australian communities, the economy, and public health.
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