Water Data Management
Water is significantly undervalued in much of the world. The disconnect between market price and risk makes it hard for businesses to make the business case to invest in effective water data strategies to protect against water-related business challenges. Failure to manage water-related risks can result in reduced revenues, higher operating costs, and lower investor confidence that can restrict access to capital, or result in higher financing rates or higher insurance premiums.
By 2030 water demand will exceed supply by 40 percent, and with water assets undervalued, there is little incentive for businesses to take action. However, understanding the true cost of water is a growing global trend in corporate natural capital valuation, with companies such as Citi, Credit Suisse, and Wal-Mart joining a global coalition to take action.
EnergyWatch can help you track, audit, and report your facility water usage and costs. Additionally, we can help you be a leader in your industry by applying the true value of water, ranging between $0.10 where it is plentiful and $15 in areas of extreme scarcity, the true cost of water uses algorithms derived from published scientific studies on water scarcity and different use values for water (such as groundwater recharge, waste assimilation, wildlife habitat and recreational activities), to correlate the facility’s water use to the above listed local water scarcity considerations to calculate a “water risk premium.” This valuation methodology follows the Total Economic Valuation framework, in line with the World Business Council for Sustainable Development’s Business Guide to Water Valuation. The water risk premium, when added to the local price a business pays for water, quantifies the value a business should place on water based on real and future risk related to water scarcity. alongside the actual current market price, water data can you make better informed decisions and investments.