Water Report
Water Report
Water Report
There is no clear relationship between a country’s per capita There is no global repository of data and/or empirical
gross domestic product (GDP) and its water availability. information directly concerning the relationship between water
and peace, most likely because the latter is difficult to define,
Per capita water use generally rises as poorer economies especially when taking account of contributing factors such as
develop, led by irrigated agriculture and other water- equality and justice.
intensive activities (including municipal water supply and
sanitation services), to later drop as economies diversify The International Water Event Database, which documents
and eventually level off as economies mature (Duarte over 6,400 historical international ‘water relations’ from 1948
et al., 2013; Miglietta et al., 2017). However, if the water to 2008, has shown that a majority of these ‘events’ have led to
embedded in the production of imported goods (‘virtual more cooperative, rather than more conflictive, outcomes. The
water’) is also taken into account, this ‘levelling-off’ Water Conflict Chronology has catalogued over 1,600 events,
of water use is actually an illusion. Mature economies ranging from direct attacks on pumps and pipeline systems to
may outsource water-intensive production processes to an “anonymous threat made to contaminate the water supply
developing countries. As such, this alleged ‘levelling-off’ with ‘biological contaminates’ [sic]” (Pacific Institute, n.d.). The
may actually increase water scarcities in these exporting majority of these events are local (sub-national) in nature.
countries (Hernández et al., 2020).
2 The United Nations World Water Development Report 2024 Water for prosperity and peace
The situation with respect to safely managed sanitation Agriculture and rural development
(SDG Target 6.2) remains dire, with 3.5 billion people lacking
Agriculture is the largest employer of the world’s poor
access to such services. Cities and municipalities, in
(Townsend et al., 2013). Approximately 80% of the extreme
particular, have been unable to keep up with the accelerating
poor live in rural areas and depend on agriculture for their
growth of their urban populations.
livelihoods and food security (IFAD, 2010). Broad-based rural
Indeed, “achieving universal coverage by 2030 will require a development and the wide sharing of its benefits are effective
substantial increase in current global rates of progress: sixfold means of reducing poverty and food insecurity (United
for drinking water, fivefold for sanitation and threefold for Nations, 2023a) (Box 1).
hygiene” (United Nations, 2023c, p. 24).
Food security can be a key driver of peace and prosperity but
Ambient water quality data (SDG Target 6.3) are not routinely is also highly vulnerable to disruptions arising from conflicts.
collected in many low- and lower-middle-income countries, It is estimated that between 690 and 783 million people in the
meaning that over 3 billion people could be at risk because world faced hunger in 2022, and it is projected that almost
the health status of their freshwater ecosystems may be 600 million people will still face hunger in 2030. Worldwide,
below-standards (UNEP, 2021a). food insecurity disproportionately affects women and people
in rural areas (FAO/IFAD/UNICEF/WFP/WHO, 2023).
Limited evidence suggests that water use efficiency (SDG
Target 6.4) has increased in all economic sectors. In 2020, Since 1961, the area under irrigation more than doubled, from
water use efficiency in agriculture has had the greatest 139 million ha to over 328 million ha in 2018 (FAO, 2021).
increase (20%) from 2015, followed by the mining, industry, About 40% of global agriculture production comes from
manufacturing, electricity and constructions sectors (13%) irrigated land, which is only about 20% of all agricultural land
(UN-Water, 2019). However, further efforts are required to (FAO/OECD 2021).
improve efficiency in irrigated agriculture, the most water-
Irrigation plays a critical role in the transition from
demanding sector (UN-Water, 2021a).
subsistence to commercial farming, poverty alleviation and
The global average for the implementation of integrated economic growth. Irrigated yields tend to be 30–100% higher
water resources management (SDG Indicator 6.5.1) was compared to adjacent rainfed areas.
54% in 2020 (UNEP, 2021b). Out of 153 countries sharing
More than 3 billion people live in agricultural areas with
transboundary rivers, lakes and aquifers, only 32 have 90% or
high or very high levels of water shortages or water scarcity
more of their transboundary waters covered by operational
(FAO, 2020). The impacts of climate change are expected
arrangements (SDG Indicator 6.5.2) (UNECE/UNESCO, 2018).
to aggravate this situation, with repercussions for agri-food
Although surface water available in one fifth of the world’s systems and human health, among others.
rivers basins changed significantly between 2015 and 2020,
To feed a projected global population of 10 billion in 2050,
the overall extent to which water-related ecosystems have
agricultural production will need to increase by almost 50%
been changing (SDG Target 6.6) remains undetermined
compared to 2012 (FAO, 2017), with much of this growth
(United Nations, 2023c).
expected to be achieved through irrigation and water capture
Official development assistance disbursements to the water and storage, among other soft and hard innovations.
sector (SDG Target 6.a) decreased by 15% (from US$9.6
Women are often responsible for balancing household water
billion to US$8.1 billion) between 2015 and 2021. Over 85%
use to agricultural water needs, and securing water typically
of countries (105 of 123 responding) had participation
falls on women and girls, adding to their unpaid and domestic
procedures defined in laws or policies regarding rural drinking
work burdens.
water and water resources management (SDG Target 6.b).
However, only 29 of the 117 responding countries reported
high or very high participation of communities in planning Action example
and management processes for rural drinking water and
water resources management (United Nations, 2023b). Box 1 Addressing small-scale farmers’ livelihoods in
4 The United Nations World Water Development Report 2024 Water for prosperity and peace
Action example
The customary linear flow of water in industry, from Box 4 Examples of disputes over water involving the mining
withdrawal and use to wastewater discharge, does not industry in Latin America
generally favour reuse and recycling (UNEP, 2015b). However,
there are many established technologies for using less (lower In Chile, violent protests over water use that killed three
withdrawals and consumption) or for reusing and recycling people stopped the Tía María US$1 billion copper mining
water. Steel production, for example, consumed 200 to 300 project in 2011.
tonnes of water per tonne of steel in the 1930s and 1940s, but
over time this was reduced to 2 to 3 tonnes (Gleick, 2002). In Peru, the projected Minas Conga open pit mine (extending
the large Minera Yanacocha gold mine) would affect
However, there remains much room for improvement. In one the people living in Cajamarca, who relied on access to
study, only about half the respondents were monitoring their
groundwater from alpine lakes for agriculture. Moreover,
wastewater, and less than a half were monitoring its quality
pollution of the water from the Minera Yanacocha mine
(CDP, 2020).
was a significant issue. After the government approved
Switching to renewable energy can reduce both water the environmental impacts assessment for Minas Conga,
use and carbon emissions. In the chemical and food and the community continuously protested against increasing
beverage processing industries (in over 100 countries), a 50% environmental impacts. The government declared a state of
increase in renewable energy could result in 60% reduction in emergency and, in one protest in 2012, tear gas and bullets
water consumption and an even bigger impact on emissions injured 20 and killed 3 people. Continuing tension and unrest
(Bryan et al., 2021). led to the closure of the project in 2016.
Desalination is very energy-intensive, accounting for 26% of the Forests play a major role in the water cycle, through their
energy in the water sector globally (IEA, 2018). In 2018, there influence on evaporation/precipitation regimes, regulation
were about 16,000 operational desalination plants, of which of streamflow, and groundwater recharge. About 75% of
about half of the total production is located in the Middle East the world’s accessible freshwater comes from forested
and North Africa region (Jones et al., 2019). watersheds (Springgay, 2019).
6 The United Nations World Water Development Report 2024 Water for prosperity and peace
Action example
Box 6 The case of human-elephant conflict – Ecosystem The SPP is managed sustainably by indigenous Karen
degradation, water insecurity and the role of landscape communities through an inclusive democratic governance
restoration structure that provides spaces for local people to converse
on equal footing. The SPP was one of the winners of the 2020
Human–elephant conflict results from increased space and
Equator Prize.a
resource competition as human settlements and agriculture
expand. Water security, for both people and elephants, is one This initiative is facing multiple pressures from resource
root cause of conflicts. Poor land management, particularly extraction, hydropower development proposals, territorial
vegetation removal, and over-extraction of water lead to contentions. Since military action in 2021, displacement and
dwindling, and increasing variability of, water resources – a livelihood disruption have stalled community-led management
situation further exacerbated by climate change. These and monitoring activity.
human-induced changes not only cause reduced agricultural
Source: Equator Initiative (2021); Kantar (2019); with inputs from Paul
productivity, but also reduce the forage availability for elephants,
Sein Twa (Salween Peace Park General Assembly/Karen Environmental
and the surface water availability for all. Hence competition and Social Action Network (KESAN)).
increases. India alone reports annual deaths of 400 people
a
For more information, please see www.undp.org/press-releases/2020-
and 100 elephants during such incidents, with additional direct
equator-prize-winners-show-nature-based-solutions-ahead-un-
effects to 500,000 families through crop raiding. Sri Lanka
biodiversity-summit.
annually documents over 70 human and 200 elephant mortalities
from conflict, whilst Kenya reports that 50–120 problem
elephants are shot by wildlife authorities each year and about
200 people died in human–elephant conflict between 2010
and 2017. Other Asian and African range countries document Transboundary cooperation
similar or worse consequences. Current conflict management Transboundary rivers, lakes and aquifers account for 60% of
approaches focus on prevention through exclusion and on-site the world’s freshwater flows (UNECE/UNESCO, 2021). Over 310
deterrents, many of which are nature-based. Examples include river basins and an estimated 468 aquifers are shared between
two or more countries (McCracken and Wolf, 2019; IGRAC,
the use of spices or bees as deterrents, mitigation via elephant
2021). A total of 153 countries share rivers, lakes and aquifers.
translocation or selective culling and monetary compensation
for losses. However, these merely address the symptoms of the Transboundary waters globally face significant and increasing
problem. Sustainable solutions require site-specific measures pressures due to population increase, growing water demands,
to be framed within landscape level restoration planning that ecosystem degradation and climate change. Cooperation over
addresses patterns of water and vegetation quality and quantity transboundary rivers, lakes and aquifers can generate multiple
across space and time. Improving landscape productivity and economic, social, environmental and political benefits that in
water security underpins long-term promotion of peaceful turn deliver prosperity and peace at local, national, regional and
coexistence between people and nature. global levels.
Source: Shaffer et al. (2019). While over 3,600 international water treaties have been
developed since CE 805 (UNEP/OSU/FAO, 2002) and
approximately 120 international basin organizations exist to
jointly manage shared basins worldwide (OSU, n.d.), many
Action example
transboundary water bodies still lack such arrangements.
Only 32 out of the 153 countries sharing transboundary waters
Box 7 The Salween Peace Park – An indigenous people-led have at least 90% of their transboundary basin area covered
initiative to promote peace and protect the Salween River basin by an operational arrangement for water cooperation (UNECE/
UNESCO, 2021), and there are very few aquifer-specific
The Salween River, crossing China, Myanmar and Thailand, is agreements (Burchi, 2018).
the longest remaining free-flowing river in Asia. In the Karen
Research suggests that “coordination between stakeholders,
state of Myanmar, the rivers of the basin provide valuable
through the establishment of institutional capacity in the form
services. They also have spiritual value and are sacred to the
of agreements, treaties or informal working relationships, can
local indigenous people. The area has suffered over 70 years of
help reduce the likelihood of conflict. Once institutional capacity
conflict, including armed episodes.
is established between parties it has been proven to be resilient
over time, even as conflict was being waged over other issues”
Created in 2018 to promote sustainable peace, the Salween
(Petersen-Perlman et al., 2017, p. 2).
Peace Park (SPP) spans over 6,000 km2 of a highly biodiverse
landscape. The SPP is a community-led initiative that Inclusive and participatory transboundary water cooperation
empowers local indigenous communities to revitalize their platforms and processes lead to a common understanding
traditional practices, ensure the basin’s conservation, and of its objectives and benefits. Indigenous and traditional
support water management by conserving critical ecosystems. communities may have long-standing networks across
8 The United Nations World Water Development Report 2024 Water for prosperity and peace
Action example
Box 9 Post-war recovery: Benefits of transboundary cooperation in Latin America and the Caribbean
the Sava and Drina River basins
Various types of cooperation and coordination mechanisms
have led to enhanced water security, sustainable development
The collaborative management of the Sava River basin, shared by
and peace in Latin America and the Caribbean (LAC).
Bosnia and Herzegovina, Croatia, Montenegro, Serbia and Slovenia,
Experiences with transboundary water partnerships, area-based
exemplifies a ‘best practice’ in transboundary cooperation, resulting in
development processes and management of multipurpose
an effective process of socio-economic recovery in the basin through dams in the region highlight challenges and lessons learned to
post-conflict cooperation over water (The Economist Intelligence reduce tensions among multiple water users.
Unit, 2019). The value of this cooperation is still evident today, as
countries are jointly tackling emerging issues (notably climate change There are approximately 251 multipurpose dam projects in
adaptation, including drought management) and strengthen cross- LAC with diverse uses of hydroelectricity, irrigation, urban
supply and/or flood control. This type of infrastructure
sectoral cooperation for sustainable planning and policy development,
necessarily implies an intersectoral articulation for their
including in the Drina River sub-basin where most of the basin’s
management and coordination between multiple actors. An
hydropower is concentrated.
adequate balance is necessary throughout its entire life cycle
to avoid conflicts.
The International Sava River Basin Commission (ISRBC) was
established in 2002 with the mandate of implementing the Framework Although hydroelectric energy in LAC represents 45% of
Agreement for the Sava River Basin (FASRB). Remarkably, this was electricity (IEA, 2021c), its production is threatened by
the first regional agreement to be signed since the Dayton Peace extreme and varying hydrometeorological events and the
Agreement ended the war in the former Yugoslavia. The restoration of growing tensions that arise across users of the basins where
inland navigation allowed the return of regional trade, strengthening they operate. Also, agriculture represents more than 70% of
economic integration across the countries and beyond, notably with the water use in LAC (UNECLAC, 2023). Therefore, a water–
the European Union. Rebuilding of bridges and ports throughout the energy–food nexus approach to promote synergies and
basin accompanied the removal of war debris and mines, leading to the optimize results in different sectors is needed.
restoration of the local livelihoods, including agriculture and tourism. The LAC region has many transnational river basins and
aquifers, as well as several multipurpose dams in which
In the context of increasing tensions between different major water
partnerships for more sustainable water use are vital for
users, such as agriculture and energy, a participatory assessment
food, energy and water security. The latter are an essential
of the water–food–energy–ecosystems nexus under the Water
contribution towards socioeconomic development, climate
Convention was carried out in the Savaa (2014) and later in the Drinab resilience and prosperity.
(2016–2022, through multiple projects) River basin areas. The aim of
these assessments was to look for cross-sectoral solutions to increase Asia and the Pacific
resource use efficiency, capitalize on regional complementarities, and
The Asia–Pacific region is home to only 36% of the world’s
improve natural resource governance.
water resources (ESCAP, 2021) and about 60% of the world
population (United Nations, 2023d), making its per capita water
These efforts resulted, among others, in the quantification of the
availability the lowest in the world. To compound this fact,
benefits of transboundary cooperation on hydropower and the
overconsumption of water resources was deemed to be the
elaboration of possible ways to operationalize flow regulation in the
leading cause of water scarcity in the region (ESCAP, 2023).
basin (also through the establishment of a dedicated expert group),
as part of a ‘nexus roadmap’ for coordinating actions across sectors Asia’s irrigation-dependent food baskets in Northwest India
and countries. The roadmap aims to coherently guide policy-makers and North China are two of the world’s top-three hotspots in
through the implementation of their sectoral and cross-sectoral terms of water-related risks to food production (OECD, 2017).
strategic plans at the basin level (including notably through the Green As water scarcity becomes more prevalent in the Asia–
Pacific region, governments will be tasked with the difficult
Action Plan for the Western Balkans – GWP-Med, 2022; n.d.). Climate
challenge of prioritizing water uses across competing water-
adaptation, sustainable renewable energy planning and sediment
using sectors.
management are among the cross-sectoral activities included in
the roadmap and also guide the “Sava and Drina Rivers Corridors The region’s population living under high or extremely high
Integrated Development Program”.c water scarcity grew from 1.1 billion to over 2.6 billion between
1975 and 2010 (FAO/AWP, 2023).
a
More information on the approach can be found at: https://unece.org/environment- As the world’s most vulnerable region to disasters caused by
policy/water/areas-work-convention/water-food-energy-ecosystem-nexus. natural disasters hazards, climate change in the Asia–Pacific
is compounding water scarcity and existing shortcomings in
b
The Drina Nexus Assessment, along with the Nexus Roadmap and the ‘project
disaster response. Asia accounts for nearly one third (31%)
documents’, available at Drina Nexus Assessment – GWP: www.gwp.org/en/GWP-
Mediterranean/WE-ACT/Programmes-per-theme/Water-Food-Energy-Nexus/ of weather-, climate- and water-related disasters reported
seenexus/drina/. globally, for nearly half (47%) of deaths, and nearly one third
(31%) of associated economic losses (WMO, 2021).
c
For more information, please see: www.worldbank.org/en/news/loans-
credits/2020/08/06/sava-and-drina-rivers-corridors-integrated-development-program.
10 The United Nations World Water Development Report 2024 Water for prosperity and peace
Action example
Box 11 Water, energy, and food interdependencies in cities Science, technology and information
A central pillar of informing better technical and management
Cities are facing newly recognized forms of
decisions is the availability of accurate data and information
interdependencies between water and related resources.
(UNESCO/UN-Water, 2020).
Water, energy and food are key resources for societal
flourishing and are strongly interrelated within a system. Real-time data and information covering relatively short
Taking a water–energy–food (WEF) nexus approach timescales (e.g. minute to hour) are particularly useful for
helps to reduce unintended consequences and increase operational decisions such as early warning systems, and
resource security for water and related resources. for managing infrastructure to mitigate flood risk. Similarly,
Singapore and Cape Town provide illustrative examples mid-to-long-term data (e.g. intra- and inter-annual) have
of such interdependencies. In Singapore, the water sector provided insights to support the strategic design of water
infrastructure and scenario-based planning.
is heavily energy-dependent, as NEWater (water reuse)
and desalination are large components of the nation’s However, there still exists a significant lack of historical and
water portfolio (Lenouvel et al., 2014). In Cape Town, up-to-date data and information on surface and groundwater,
resource interdependence became evident during the 2018 soil moisture, and associated hydro-meteorological
water crisis, as water allocation was shared between the parameters. Furthermore, historical (time-series) data
city and the surrounding agricultural areas. This led to become less reliable due to increasing climate variability (and
finger-pointing regarding who was to blame for the crisis, change), posing challenges to the planning and design of
instead of proactive coordination across resource sectors water infrastructure (IPCC, 2022; Milly et al., 2008).
“Cyber-attacks could be launched remotely by employing Conflict situations can exacerbate the impact on local
command and control techniques to interrupt the system’s livelihoods, including education, through water. Reduced
access to water and sanitation services resulting from
performance and provide access to illegitimate parties to
conflict may force children to drop out of school, with often a
critical and confidential information. Moreover, in more severe
disproportionate impact on girls.
cases, such attacks can even cause physical impairment
to the system’s structure. Furthermore, such attacks can On the longer term, conflicts may affect the availability
hamper the water quality by changing the treatment systems of trained experts to provide education and capacity
or suppressing contamination warnings by affecting water development. Local expertise may disappear through
quality sensors” (Bello et al., 2023, p. 2). The implications institutional decline, attrition or emigration.
on society are potentially serious and multi-faceted.
12 The United Nations World Water Development Report 2024 Water for prosperity and peace
Conflicts may hinder the installation and proper maintenance of Based on the user pays principle, tariffs should be the largest
monitoring stations and damage existing infrastructure, leading to and most stable source of sector revenues, to be used for
a lack of relevant data and observations crucial for the adequate operations and maintenance (O&M) expenditures, as well as
design and operation of infrastructure. for expanding infrastructure, upgrading with more efficient
or sustainable technologies, or optimizing service provision.
Economic and financial skills are necessary to design adequate Approaches such as tiered tariffs aim to improve cost
policies related to water and food security, and to measure the recovery whilst also maintaining affordability for low-income
impact of pricing and subsidies. The lack, or improper design and users, by providing the lowest rates for consumption, up to a
implementation, of economic policies may lead to suboptimal given level, for basic needs (Box 13).
water use and waste. One example is that of perverse subsidies,
which often lead to overconsumption and inefficient water use, for Large-scale investment is needed to achieve SDG 6, and the
example in agriculture (Myers, 1998). private sector has an important role to play. While there is
increasing interest among private investors, and particularly
Improving skills and capacity is also key to enable ‘bouncing institutional investors, to grow their sustainable finance
forward’ after conflicts or crises. It is a necessary ingredient in portfolios, there are often few financial products that channel
order not to return to the status quo, but to use perturbations as their investments towards water (Trémolet et al., 2019).
an opportunity to build back better, i.e. to improve infrastructure,
operation procedures and overall resilience. Development funds can help attract private investment,
notably using blended finance approaches that improve the
Education and capacity-building are key in dispute mediation and terms for commercial actors through guarantees and grants
resolution. The development of robust, risk-reducing solutions (OECD, 2018). In 2021, US$ 171 million was mobilized for the
often requires a thorough understanding of local social and water sector with development funds, representing only 1.9%
cultural contexts, including for example the cultural and religious of value of ODA flows to this sector, in the same year (OECD.
values of water. stat, n.d.).
Lack of access to scientific data and evidence, as well as the Green bonds and special purpose vehicles (SPVs) that
limited abilities to interpret such evidence, often contributes aggregate smaller water-related investments are emerging.
substantially to a lack of trust between negotiating parties (United SPVs allow for the grouping of projects that are too small
Nations, 2023a). In such conditions, open science can support individually to attract finance under a single legal entity, or
a more transparent evidence generation that has the potential for the ownership of large projects under a consortium of
to create trust and make informed and legitimate decisions with project sponsors.
active engagement of all stakeholders (UNESCO-IHP, 2022).
A better understanding of water-related risks can make
About one in six humans, or about 1.2 billion people, are currently financial actors engage with companies to invest in mitigating
aged between 15 and 24. This number is projected to grow by those risks. In 2020, the cost of water-related risks to
7% until 2030 (United Nations, 2020b). Youth engagement and businesses was estimated at US$301 billion, while the cost
education can help nurture a future generation of leaders that are of mitigating these risks would have been US$55 billion. The
committed to better water stewardship. About half of them are financial impacts of water-related risks exceed the costs of
women and girls, who often play a key role as agents of change in inaction in nearly all sectors. Asia and Africa show the greatest
water science, culture, and governance. Clear empirical evidence cost–benefit potential for such investments (CDP, 2021).
also shows that women participation makes water projects more
effective (Van Wijk-Sijbesma, 1998). Therefore, targeting them for Climate change-resilient infrastructure helps preserve the
quality education and capacity development training is an essential value of investments and the availability of basic services
part of the solution to future water security and a resilient society. under conditions of uncertainty (e.g. future demand, resource
availability and exposure to environmental risks). It is also
a smart financial decision, as protecting assets exposed to
hazards in lower- and middle-income countries can provide
benefits worth four times their cost (World Bank, 2019).
Financing water security and mitigating
investment risks The private sector and the financial system also play a pivotal
role in directing finance towards or away from activities that
Critically, all solutions to the water crisis will require capital, increase exposure to water-related risks. However, these risks
including significant international financial support for the do not seem to be fully understood by central banks. In 2021,
developing world (OECD, 2022). only two fifths of surveyed banks had performed a mapping of
climate and environment risk exposures (Houben et al., 2021).
Considering the vast investment needs for water and sanitation
services, particularly in lower- and middle-income countries Ensuring a water-secure future that supports peace and
(LMIC), efforts to increase available capital are a priority. Global prosperity requires increasing the quantity and quality of
costs of achieving SDG 6 are estimated to exceed US$1 trillion per water-related investments, particularly for lower- and middle-
year, or 1.21%1 of global GDP (Strong et al., 2020). income countries that are among the most exposed to risks.
To meet the scale of investment needed, both public and
private sources of finance are needed.
1
Based on a 2018 global GDP of US$85.79 trillion.
Box 13 Targeted water supply subsidies (Chile) Barbut, M. and Alexander, S. 2016. Land degradation as a security
threat amplifier: The new global frontline. I. Chabay, M. Frick and J.
In Chile, a tariff for urban water supply and sanitation was Helgenson, J. (eds.), Land Restoration. Academic Press. pp. 3–12.
doi.org/10.1016/B978-0-12-801231-4.00001-X.
implemented under water reforms in the 1980s. These
reforms aimed at recovering the costs of service and led to Bello, A., Jahan, S., Farid, F. and Ahamed, F. A. 2023. A systemic review
of the cybersecurity challenges in Australian water infrastructure
substantial efficiency gains, but also increased the price of
management. Water, Vol. 15, Article 168. doi.org/10.3390/
supply delivery. w15010168.
Bryan, A., Hundertmark, T., Lueck, K., Roen, W., Siccardo, G., Tai, H. and
The scheme targeted roughly 20% of the poorest households Morrison, J. 2021. Managing Water and Climate Risk with Renewable
nationwide, for which the water and sanitation services Energy. McKinsey & Company website, 22 October 2021. www.
(WSS) bill constituted over 5% of their monthly income. The mckinsey.com/industries/electric-power-and-natural-gas/our-
insights/managing-water-and-climate-risk-with-renewable-energy.
subsidy covered 25–85% of the cost of householdsʼ basic
water consumption (up to 15 m3 a month) and sewerage, with Burchi, S. 2018. Legal frameworks for the governance of international
transboundary aquifers: Pre- and post-ISARM experience. Journal
all consumption beyond this limit charged at the full price.
of Hydrology: Regional Studies, Vol. 20, pp. 15–20. doi.org/10.1016/j.
The municipality played a central role in the subsidy scheme, ejrh.2018.04.007.
receiving applications, determining eligibility and paying the Calderón, F. 2017. The Restoration Revolution. World Resources
subsidy directly to the water companies from funding received Institute (WRI) website. www.wri.org/insights/restoration-revolution.
by the central government (OECD/UNECLAC, 2016). Cantor, A., Kiparsky, M., Kennedy, R., Hubbard, S., Bales, R., Cano
Pecharroman, L., Guivetchi, K., McCready, C. and Darling, G. 2018.
The combined tiered tariff and subsidy scheme enabled Chile Data for Water Decision Making: Informing the Implementation of
to successfully increase water prices to reflect costs without California’s Open and Transparent Water Data Act through Research
and Engagement. Berkeley, Calif., Center for Law, Energy & the
compromising social and distributional goals. By 2000, the
Environment, UC Berkeley School of Law. doi.org/10.15779/J28H01.
cost of the subsidy scheme reached US$42.5 million. This
CDP. 2020. Cleaning Up Their Act: Are Companies Responding to the
was significantly lower than the cost of the previous universal
Risks and Opportunities posed by Water Pollution? CDP Global Water
subsidy scheme, under which water service providers Report 2019. London, CDP Worldwide. www.cdp.net/en/research/
experienced net financial losses. A financial deficit of 2% of global-reports/cleaning-up-their-act.
assets in the WSS sector became a surplus of 4% leading to _____. 2021. A Wave of Change: The Role of Companies in Building a
net profits of US$107 million – more than double the subsidy Water-Secure World. CDP Global Water Report 2020. London, CDP
Worldwide. www.cdp.net/en/research/global-reports/global-water-
scheme’s costs (Leflaive and Hjort, 2020).
report-2020.
The subsidy scheme has since been updated and expanded _____. 2022. High and Dry: How Water Issues are Stranding Assets.
to broaden coverage to vulnerable groups. A 100% subsidy A report commissioned by the Swiss Federal Office for the
Environment (FOEN). London, CDP Worldwide. www.cdp.net/en/
was also introduced for beneficiaries of the welfare program
research/global-reports/high-and-dry-how-water-issues-are-
(‘Chile Solidario’) designed for very poor households stranding-assets.
(Contreras et al., 2018).
City of Cape Town. 2019. Our Shared Water Future: Cape Town’s Water
Strategy. http://resource.capetown.gov.za/documentcentre/
Documents/City strategies%2C plans and frameworks/Cape Town
Water Strategy.pdf.
Clement, V., Rigaud, K. K., De Sherbinin, A., Jones, B., Adamo, S.,
14 The United Nations World Water Development Report 2024 Water for prosperity and peace
CRED (Centre for Research on the Epidemiology of Disasters). 2023. FAO/IFAD/UNICEF/WFP/WHO (Food and Agriculture Organization of
2022 Disasters in Numbers. CRED. https://reliefweb.int/report/ the United Nations/International Fund for Agricultural Development/
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