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UN-Water Annual International Zaragoza ConferenceZaragoza, 14 January, 2013

Shaoyi LiHead, Integrated Resource Management Unit, UNEP

Robust partnerships to ensure water and energy efficiency and

environmental sustainability

Understanding the nexus: a science-policy interface dimension

• Biophysical nexus– Water and energy are an integral part of ecosystem; – Water, energy and environmental flows; – Bio-geo chemical circle and the energy-water nexus

• Utilitarian nexus– Production: hydro, extractive, cooling, desalination, pumping….. – Waste water treatment

• Institutional nexus– Comprehensive understanding– Integrated planning – Corresponding technologies and infrastructure– Governance, policies and capacity

The world may suffer 40% fresh water deficit by 2030, while energy demand increase by 1/3, generating additional

pressures on natural resource base

Did you know?

Fortunately many water problems are socio-economic and political, rather than

physical, and could be solved by transparent and effective water governance.

Industrial: 20%Domestic: 10%

Environmental flows: What’s leftIrrigation: 70%

Water is life and integral part of ecosystem

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Better understanding the nexus• Addressing complex nexus and trade-offs

between various resources requires more scientific understanding

• Innovations are needed to address “lock-in” issues and prevent rebound effects

• Need to move beyond efficiency and address issues of resource restoration and regeneration, and sustainable consumption

• Need to further mainstream decoupling and sustainable resource management in relevant political processes

• Need to ensure that policy goals and targets are formulated so as to promote the decoupling of socio-economic development from unsustainable depletion of resources and increasing environmental impact

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Principle and approach: buzz words• Poverty eradication and human centred

– Availability and accessibility – Energy for all: 800m deficit– Safe and clean water for all: 1.7b deficit– Basic sanitation: 1/3 world population and 80% waste water

discharged without any treatment• Sustain economic growth

– Efficiency – Life cycle thinking: Australia vs Singapore

• Ecosystem and natural resource base– Flows– Clean

Capitalizing the nexus• Resource efficiency technologies

– Efficient irrigation techniques; – savings in urban water use (eco-design, urban planning); – energy and water efficiency in supply and sanitation; reduction at

source.• Economic instruments

– Water pricing to provide incentives for innovation; – full cost recovery (incl. environmental and resource costs); – full transparency of water prices and investments; – scrutiny on adverse subsidies.

• Policy instruments– Institutional and fiscal reforms;– capacity building, enhance consumer awareness; – Improve transparency and availability of data;– Investments in science, technology and innovations.

Water - energy - food - environment nexus compounding scarcity and crisis and offering better opportunities…

• Improve energy, water and food security in a holistic and coordinated manner

• Enables dialogue and concerted action for integrated policies, planning and management

• Drive institutional and technical innovations to use finite natural resources more efficiently

• Address externalities across the various sectors involved and support decision-making

Enabling the nexus• Assessment tools

– Resource Assessments, Life Cycle Assessments, Strategic Environment Assessments, and economic valuation;

– Audits;– Accounting;– Efficient utility management;– Tools and benchmarking;– Indicators.

– Cross-sectoral integration– Water, agriculture, environment, energy, trade, transport, et al.

• Building partnerships

The business case for focusing on the nexus:

• Reduced risk in operations and supply-chains;

• Improved productivity;

• Short-term ROI success and long-term investment planning;

• Enhanced brand and reputation;

• Full cost accounting and resources and improved access to capital.

Conservation International (2013)

The Story of a dry island

Australian government (2011)

Integrated approachesWater markets in Australia: Making the best use of Australia’s limited fresh

water resourcesAim: to facilitate the economically efficient allocation of water while ensuring

environmental sustainability.

Australia’s success

A miracle in desert: Israel Case

Israeli government (2013)

Integrated approachesIsrael: Water revolution in infrastructure and organization

The State in collaboration with the private sector has managed to maximize his limited resource and create a green and blooming environment:

• Promotion and development of a desalination program; • One of the world’s highest wastewater reuse rates;• Low water loss;• Developing agricultural and water technologies as successful export branches.

Panel questions:

• Why do we need robust partnerships to address the water-energy, food and sanitation nexus issues?

• What are the challenges and opportunities for partnerships to be effective and successful on the nexus?

• What are building blocks (key elements) for partnerships to plan and implement concerted actions? And

• Please propose 2-3 concrete suggestions to forge and promote partnerships?