The Value of Corporate Water Stewardship

Water risks, such as scarcity, floods, and droughts, can result in disruptions to business operations, higher operational costs, brand damage, and heightened regulatory uncertainty. These risks also threaten the people who rely on these businesses for employment and services. Customers are also becoming increasingly sophisticated, specific, and vocal in both understanding the local water context and holding companies accountable for their impacts. This cascading effect from water risks can ultimately create water crises, which pose one of the greatest global risks to life as we know it.

Corporations have an important role to play in safeguarding water resources through water stewardship. The Alliance for Water Stewardship (AWS) defines water stewardship as “the use of water that is socially equitable, environmentally sustainable, and economically beneficial, achieved through a stakeholder-inclusive process that involves both site and catchment level actions.” Corporate water stewardship helps companies to identify, understand, manage, and mitigate their water-related business risks while also demonstrating their commitment to addressing the global water crisis.

By taking action on water stewardship, corporations can continue to gain economic growth sustainably while promoting a sense of responsibility and accountability within the world of business. As companies begin promoting water conservation practices, implementing water efficiency strategies and technology, and engaging with stakeholders to improve watershed health, water stewardship through collective action will become standard for corporations. We are already seeing the start of this cascading effect as CDP reported a 50% increase in companies engaging with the topic of water security during the 2022 reporting year.

Promoting water stewardship also has beneficial impacts beyond ensuring sustainable water supplies for businesses. Water is inherently tied to issues such as poverty, gender equality, and climate action. By taking action to address water-related risks, companies can play a pivotal role in advancing progress towards resolving these shared crises.

Corporate water stewardship comes with an assortment of benefits, such as:

• Reduced operating costs;
• Increased water efficiency that creates financial savings;
• Mitigating water scarcity risk by securing a more dependable water supply;
• Improved water quality and availability for the business, community, and the environment;
• Risk mitigation through identifying existing and potential risks and enabling the business to engage local stakeholders to address shared water challenges;
• Increased corporate communication regarding sustainability issues across supply chains;
• Strengthened stakeholder relationships and community trust;
• Reduced risk to brand image by demonstrating the business’ commitment to protecting water resources; and
• Increased brand equity, value, and recognition for being responsible.

As a global leader for corporate water consulting, Antea Group helps our clients achieve the benefits of water stewardship through a range of services in water compliance and stewardship. By considering these aspects of water stewardship and their potential financial benefits, companies can make informed decisions and prioritize actions that not only benefit their bottom line but also contribute to collective wellness and water stewardship targets.

In conclusion, participating in corporate water stewardship can provide companies with a competitive edge in the market while also ensuring sustainable business continuity and healthy communities. By addressing water-related risks, improving operational efficiency, enhancing brand reputation, and ensuring compliance with regulations, companies can position themselves for long-term success while contributing to sustainable water management.