Why it matters
Water is a necessary input in the manufacture, delivery and use of virtually all products and services. Therefore, almost all companies are affected by uncertainties, tensions and dilemmas associated with their water consumption and use.
Further, external demands on companies to demonstrate sustainable water management are growing. The International Standardization Organization (ISO) is looking at standardizing the water footprint concept, the Alliance for Water Stewardship is developing water management principles and certification, and the Carbon Disclosure Project is involved in water reporting.
This is happening against the increased recognition of the linkages between water, energy, food and climate change. It is predicted that by 2030 the world will need 30 per cent more available fresh water and will need to produce 50 per cent more food and energy, whilst mitigating and adapting to climate change. This threatens to create a ‘perfect storm’ of global events.
While every business depends on water and energy, the competition and linkages (energy needs water and water needs energy) for both resources will bring higher costs and risks to a company. Competition with food for the same water/land use might result in bio-energy obligations for climate change mitigation not being met. At the same time, the energy intensity of water is increasing while poor water management can lead to disruptions in the supply of energy. Considering those linkages is therefore becoming critical for business to cope with an uncertain future as well as take full advantage of the innovation opportunities these may present.
Against this background, the WBCSD’s Water project has the dual ambition to raise the profile of water on the corporate agenda and provide a progressive cross-sectoral business voice on sustainable water management and policy initiatives.