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Blog Posts: water risk

  • Identifying the Global Coal Industry’s Water Risks

    Regional water concerns are creating significant financial risks, thanks in large part to advanced global commodity trading and energy industries’ high dependence on water. And it’s a trend that is poised to worsen. BP projects a 36 percent increase in global energy consumption by 2030, while the Water Resources Group predicts that in the same amount of time freshwater supplies will fall 40 percent short of total demand globally.

    The water–energy nexus is becoming one of the great challenges of our generation—one that also holds significant implications for political leaders and investors alike. This article explores how water risks are already impacting the world’s coal industry, and how risks will change over time.

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  • Water Stress Magnifies Drought’s Negative Impacts throughout the United States

    Years of Living Dangerously, a new Showtime series about climate change, turned its lens on how drought devastated the small town of Plainview, Texas in its first episode. In Plainview—and every other drought-stricken place across the United States—a precipitous drop in rainfall is only part of a much broader story. Underlying water stress is one important piece of that complicated puzzle. When drought strikes where baseline water stress is high, it exacerbates regions’ water woes.

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  • Drought Is Only One Explanation for California’s Water Crisis

    As California lawmakers move forward with potential solutions to the state’s current water shortage, it’s important to consider the full context of underlying reasons for California’s water vulnerability.

    Our research shows that about 66 percent of the state’s irrigated agriculture—its biggest water user—faces extremely high levels of baseline water stress. This means that more than 80 percent of the available water supply is already being used by farms, homes, businesses, and energy producers. It’s clear that even without drought, the state would be in trouble.

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  • World’s 18 Most Water-Stressed Rivers

    WRI’s Aqueduct project recently evaluated, mapped, and scored stresses on water supplies in the 100 river basins with the highest populations, 100 largest river basins, and 180 nations. We found that 18 river basins—flowing through countries with a collective $US 27 trillion in GDP—face “extremely high” levels of baseline water stress. This means that more than 80 percent of the water naturally available to agricultural, domestic, and industrial users is withdrawn annually—leaving businesses, farms, and communities vulnerable to scarcity.

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  • Multinationals Need to Take Notice and Take Action on Water Risk Data

    New research from the World Resources Institute scores water-related risks facing 180 countries and 100 river basins. This is the first national-level data of its kind, evaluating competition for available water supplies, annual and seasonal supply variability, flood occurrence, and drought severity.

    The data paints a country-level picture of water risks, information that is clearly relevant for national policymakers. But this research also holds huge implications for the private sector—particularly for shareholders and investors, corporate operations, and corporate supply chains. Multinational businesses should take notice—and take action.

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  • 5 Things We Learned in 2013 that Could Move the Needle on Sustainability

    Two and a half millennia ago, Plato announced that “Human behavior flows from three things: desire, emotion, and knowledge.” Unfortunately, our human and corporate behavior on climate change is not even close to where it needs to be. But if the great philosopher was right (and he usually was), 2013 may have been a game changer.

    The big news from 2013 came from gains in knowledge. New tools and research are opening our understanding much wider than before. But will we act on this? Knowledge can spur action, but this path is not guaranteed.

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  • WRI’s Top Outcomes of 2013

    As 2013 comes to a close, it’s a good time to look back on the impact we’ve made in the world this year.

    We made progress on tackling key sustainability challenges, including addressing climate change, promoting clean energy, ensuring food security and stable water supplies, reducing forest degradation, and creating sustainable cities. Take a look at our nine top outcomes:

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  • India’s Watershed Development Boosts Food Security, Improves Livelihoods

    India struggles with water scarcity, a problem that poses especially huge implications for the country’s food security and rural livelihoods. The country has long-battled its scarcity issues through Watershed Development, a participatory approach to improve water management through afforestation and reforestation, sustainable land management, soil and water conservation, water-harvesting infrastructure, and social interventions. But while watershed development has been employed in communities throughout India, its potential long-term costs and benefits have not been well-understood or studied--until now.

    A new working paper from WRI and WOTR finds that watershed development has provided more than $9 million dollars’ worth of food security and water management benefits to the water-stressed community, Kumbharwadi.

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  • World’s 36 Most Water-Stressed Countries

    WRI’s Aqueduct project recently evaluated, mapped, and scored water risks like these in 100 river basins, ranked by area and population, and 180 nations—the first such country-level water assessment of its kind. We found that 36 countries face “extremely high” levels of baseline water stress (see list at bottom). This means that more than 80 percent of the water available to agricultural, domestic, and industrial users is withdrawn annually—leaving businesses, farms, and communities vulnerable to scarcity.

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  • Water Risks on the Rise for Three Global Energy Production Hot Spots

    Energy and consulting firm Wood Mackenzie, supported by data and analysis from WRI’s Aqueduct Water Risk Atlas, surveyed water risks among the world’s top energy-producing regions. They found that three energy sectors face particularly high water risks: shale gas in the United States, coal production and coal-fired power in China, and crude oil in the Middle East.

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