Water security – what does it mean for my value chain?
After a grey summer in the UK, many businesses might be forgiven for not having water issues at the forefront of their minds. However, looking at the broader picture, it is clear that 2021 was a year of watery extremes. Images of flooded subways in New York City shared on social media last month followed harrowing stories of famine in drought-stricken Madagascar, and all the while wildfires have continued to wreak havoc across Europe and North Africa.
Suffice to say, the physical impacts of water-related risks – whether that be from too much or not enough of the stuff – can be ruinous for businesses. Add to that the potential reputational damage to organisations associated with exploitation of community resources, or the regulatory and litigation risks associated with costly breaches of contract, and you may have a considerable responsibility on your hands.
Of course, not all industries have the same material dependence on water as, say, agricultural or extractive sectors. But there are few industries with no roots whatsoever drawing water into the value chain from somewhere or other. In fact, a ground-breaking new tool shows just how interlinked over 200 industrial activities are with water, including retail, manufacturing, hospitality, and food producers – and the results might surprise you.
So as businesses in all sectors wake up to water risk, ask yourself: should I be doing more? Research by CDP in 2021 has shown that businesses are exposed to as much as US$300 billion in water-related risk, yet the cost of responding to that today is just a fraction of what it could be tomorrow. Championing the equitable use of water, in ways which are both environmentally sustainable and economically beneficial, can help reduce risk and open up new opportunities for your business.
Take the example of a pulp and paper producer. Water is used to remove impurities throughout the process and, as a result, industrial mill effluent carrying hazardous organic substances may persist in the downstream environment for many years. Timber plantations and deforestation also post a significant risk for water security; in the worst-case scenario, forestry operations require vast tracts of land to be converted to non-native monoculture. For a paper mill, to not consider water security as a vital part of its business strategy in 2021 would be rash at best (and arrogant at worst). For this reason, leaders in this industry have been turned on to the idea of water stewardship for many years, exploring concepts such as river basin partnerships and closed loop wastewater systems. But if you only buy forestry or paper products, it is less clear what the best course of action for you may be. How can you practise water stewardship when you don’t use it directly?
Fortunately, there are many ways this can be done. Certification schemes have long been in place providing a degree of confidence in the forestry practices that underline certain material production, such as by maintaining areas of high conservation value or providing ecosystem services such as water purification. Beyond that, buyers can also consider the geography of their procurement strategy by mapping their supply chain with tools such as the WRI Aqueduct Water Risk Atlas (remember, a litre of water in Namibia has far greater value than the same volume in Norway).
Engaging with your supply chain to better understand these issues is crucial – and you may be surprised to learn what initiatives are already in place. Schemes such as the Alliance for Water Stewardship recognise this and provide “a universal framework for the sustainable use of water through a corporate standard that drives, recognises and rewards good water stewardship”, and are increasingly used by top businesses to demonstrate their leadership on water. By committing to improving quality of and access to freshwater resources within a local catchment, businesses can demonstrate a forward thinking ‘beyond the fence’ approach. Examples of this may include constructing wetlands for wastewater treatment, implementing new land management practices to reduce soil erosion, or engaging with catchment stakeholders to protect shared resources. This is just one of the reasons why nature-based solutions feature so heavily in frameworks such as the Alliance for Water Stewardship.
According to the IPCC’s latest report (AR6, 2021), water problems such as droughts, wildfire and flooding are all likely to become far worse unless global heating can be brought under control. While it is undeniable that state actors and policymakers will be pivotal in determining how we respond to the challenges facing our shared freshwater resources, the role of the private sector should not be forgotten.
As many sustainability professionals turn their focus to COP26 later this year, they would do well to remember that the burden of climate adaptation will be felt most strongly on the shoulders of those most dependent on a water secure future.
Sarah is a graduate of MA Political Ecology, and spent 4 years at university studying and researching the social, economic, and political implications of environmental issues, including climate change.
Since gaining research experience through university and 3 years of volunteering for Support the Goals, Sarah is passionate about identifying trends in business ESG reporting and SDG support. She finds the most rewarding part is using this research to advise customers, and has worked with many businesses to identify trends in SDG support among their supply chains.
In her spare time, Sarah enjoys volunteering with animals, horse riding, going to the gym, hiking, and travelling.
Sarah is a graduate of MA Political Ecology, and spent 4 years at university studying and researching the social, economic, and political implications of environmental issues, including climate change.
Since gaining research experience through university and 3 years of volunteering for Support the Goals, Sarah is passionate about identifying trends in business ESG reporting and SDG support. She finds the most rewarding part is using this research to advise customers, and has worked with many businesses to identify trends in SDG support among their supply chains.
In her spare time, Sarah enjoys volunteering with animals, horse riding, going to the gym, hiking, and travelling.
What is this?
Sharing your sustainability progress isn’t only a way to engage staff, customers and suppliers. It can be a powerful PR tool. It can help you stay one step ahead of your legal requirements. And it can help you with other ESG ratings like CDP, EcoVadis and Support the Goals. We’ll help you spread the word about the good you do.
Sustainability reporting
Our standalone Reporting service gives you a comprehensive 20-page (approx.) report to share with staff, customers, investors and the press. Comprising your priority goals, commitments, case studies and more, and designed to match your corporate branding, it’s the simplest way to bring all your sustainability work together.
What is this?
You’ll want to measure the results of your actions to assess progress towards your commitments. But what should you measure and how should you do it? When you don’t have the in-house tools, capabilities or expertise, we do.
Our support package can help
It’s not always easy to measure the impact of sustainability actions. There’s a clear formula for carbon reporting, for example, but how do you assess social impact? Where should the data come from? What are the accepted reporting standards? And how should you display your results to ensure people understand it? We and our partners can help you measure the impact of the actions you take.
What is this?
You take the next steps on your sustainability journey. We’ll provide the guide and the map.
Our support package can help
It’s not easy figuring out where to go next on your sustainability journey, or how to get there.
With a TBL support package, you get the expertise, the tools and the guide, and you follow a road we’ve already travelled – many times. It makes setting a direction easier. You follow established best practice so there are fewer dead ends. And with our tracking tool, you’ll always have a clear view of progress made and next steps.
What is this?
Once you’ve identified the sustainability goals that matter most to you, you’ll want to do something about them.
Commit is about setting measurable targets for meeting your highest priority goals. It’s about making the credible, impactful, achievable commitments everyone can buy into. And it’s about agreeing governance, so the right people are accountable for achieving the commitments you agree.
What might this look like?
For example:
• Gender Equality (Goal 5): 50/50 gender split at board level by 2025
• Affordable and Clean Energy (Goal 7): Use only clean energy to power offices by 2030
• Climate Action (Goal 13): Net zero across the value chain by 2035
Our support package can help
A TBL support package gives you access to expert advice that can help you set environmental and social commitments including net zero and science based targets.
If we want a more sustainable world, everyone needs to get involved. That includes your employees. Our experts help you do that in a way that builds understanding and encourages involvement.
We will:
What is this?
How do you know which sustainability/ESG issues to target, and which to tackle first? Identify is about exploring the issues that matter most to your organisation and finding where your actions can make the biggest impact.
How we’ll support you
Our lively half-day workshop explores the issues through the lens of the Global Goals. You’ll end the session with a clear, visual presentation of low, medium and high priority sustainability goals, and get clear guidance on what to do next.
If we want a more sustainable world, everyone needs to get involved. That includes your employees. Our experts help you do that in a way that builds understanding and encourages involvement.
We will:
A circular economy model designs out waste from your business, keeping products and materials in use. Operating a circular economy model can cut costs. Many organisations are now using it to create entirely new revenue streams.
Our experts will show you how, by adapting your processes, you can be part of the circular economy – and do it in a way that’s the right ‘fit’ for your organisation.
For compliance. To meet the standards of a ratings agency. Or simply to be a responsible business. When you need the right sustainability policies and standards, we’ll help you develop ones that are engaging, easy to understand and relevant to your business.
If we’re to create a more sustainable world, everyone needs the skills and understanding to be able to play their part.
Every day, our advisers are helping senior teams understand sustainability within their organisation. They’re teaching suppliers to buy more sustainably or building the skills of new in-house sustainability managers. And they’re helping your employees become more carbon literate so they understand what carbon is and the personal difference they can make in work and at home.
Build the skills and understanding of your people.
Reporting the environmental and social impact of your business is an essential part of governance, openness and transparency, but with so many frameworks, it can be difficult to know which should demand your focus.
Our experts will help you meet the mandatory requirements of regulatory frameworks like SECR. They’ll help you prepare for soon-to-be-mandatory frameworks such as the Task Force on Climate-related Finance Disclosure (TCFD).
And when you’re exploring new, voluntary accreditations with ESG, DJSI or Sustainalytics, or want to improve your ranking with a supply chain framework such as EcoVadis or Support the Goals, they’ll help you choose the framework best suited to your business, boost your rating and gain the badges.
Setting science-based emissions reduction targets consistent with Paris agreement-aligned pathways is how your organisation moves closer to net zero. We’ll help you establish your current baseline, then help you set the targets (including Scope 3) that give your actions direction and purpose.
And as always with our experts, we’ll make the journey easy.
For any large organisation, reporting your Scope 1 & 2 emissions is a regulatory requirement. You meet that requirement by making a Streamlined Energy & Carbon Reporting (SECR) statement part of your annual report.
Our experts can help you with that – and they can help you go further. Our simple, powerful dashboards will make understanding your carbon footprint easy (whether you’re required to report on it or not). And when you want to take the next step in understanding your indirect (Scope 3) emissions, we’ll help you do that too.
Increasingly, your clients and customers demand sustainability not just from the way you operate but from the materials you use.
Our experts in materials and packaging help you understand how sustainable your existing products are. Then we recommend alternatives that deliver improved sustainability whilst protecting production costs and product quality, and keeping customers happy.
A circular economy model designs out waste from your business, keeping products and materials in use. Operating a circular economy model can cut costs. Many organisations are now using it to create entirely new revenue streams.
Our experts will show you how, by adapting your processes, you can be part of the circular economy – and do it in a way that’s the right ‘fit’ for your organisation.
Increasingly, your clients and customers demand sustainability not just from the way you operate but from the materials you use.
Our experts in materials and packaging help you understand how sustainable your existing products are. Then we recommend alternatives that deliver improved sustainability whilst protecting production costs and product quality, and keeping customers happy.
Setting science-based emissions reduction targets consistent with Paris agreement-aligned pathways is how your organisation moves closer to net zero. We’ll help you establish your current baseline, then help you set the targets (including Scope 3) that give your actions direction and purpose.
And as always with our experts, we’ll make the journey easy.
For any large organisation, reporting your Scope 1 & 2 emissions is a regulatory requirement. You meet that requirement by making a Streamlined Energy & Carbon Reporting (SECR) statement part of your annual report.
Our experts can help you with that – and they can help you go further. Our simple, powerful dashboards will make understanding your carbon footprint easy (whether you’re required to report on it or not). And when you want to take the next step in understanding your indirect (Scope 3) emissions, we’ll help you do that too.
Reporting the environmental and social impact of your business is an essential part of governance, openness and transparency, but with so many frameworks, it can be difficult to know which should demand your focus.
Our experts will help you meet the mandatory requirements of regulatory frameworks like SECR. They’ll help you prepare for soon-to-be-mandatory frameworks such as the Task Force on Climate-related Finance Disclosure (TCFD).
And when you’re exploring new, voluntary accreditations with ESG, DJSI or Sustainalytics, or want to improve your ranking with a supply chain framework such as EcoVadis or Support the Goals, they’ll help you choose the framework best suited to your business, boost your rating and gain the badges.
If we’re to create a more sustainable world, everyone needs the skills and understanding to be able to play their part.
Every day, our advisers are helping senior teams understand sustainability within their organisation. They’re teaching suppliers to buy more sustainably or building the skills of new in-house sustainability managers. And they’re helping your employees become more carbon literate so they understand what carbon is and the personal difference they can make in work and at home.
Build the skills and understanding of your people.
You know you need a sustainability strategy – but what next? What’s right for the size and nature of your business? And how can you ensure it drives the right actions?
We’ll help you set a strategy that’s robust and comprehensive because it uses the Global Goals as a framework. And we’ll ensure it’s a good ‘fit’ for your organisation, helping you align people, planet and profit.
For compliance. To meet the standards of a ratings agency. Or simply to show you’re a responsible business. When you need the right sustainability policies and standards, we’ll help you develop ones that are engaging, easy to understand and relevant to your business.
Your social impact is the effect your organisation has on people and communities as a result of its activities and policies.
You’ll already be doing good things in your community. Measuring the effect of your charitable work, volunteering, community outreach projects and more is important because it’s how you explain the difference you’ve made to your employees, customers and investors.
We help you understand how to measure and improve your social impact.
Almost 90% of your environmental and social impact exists not in your operations, but in the goods and services you buy from your suppliers. So if you want to make a real impact with your sustainability efforts, your supply chain needs to be involved. Our advisers can help. They will:
You’ve done great things. Now you need to share them. Communicating your successes is a powerful PR boost for your brand. It’s often a simple way to improve your ratings framework score. And it can help others to understand the importance of the work you’re doing and inspire them to get involved.
Our brand, marketing and communications specialists will help you spread the word with a standalone sustainability report that brings all your ESG efforts together in one document. In addition, we can help you with:
You know you need a sustainability strategy – but what next? What’s right for the size and nature of your business? And how can you ensure it drives the right actions?
We’ll help you set a strategy that’s robust and comprehensive because it uses the Global Goals as a framework. And we’ll ensure it’s a good ‘fit’ for your organisation, helping you align people, planet and profit.
Your social impact is the effect your organisation has on people and communities as a result of its activities and policies.
You’ll already be doing good things in your community. Measuring the effect of your charitable work, volunteering, community outreach projects and more is important because it’s how you explain the difference you’ve made to your employees, customers and investors.
We help you understand how to measure and improve your social impact.
Almost 90% of your environmental and social impact exists not in your operations, but in the goods and services you buy from your suppliers. So if you want to make a real impact with your sustainability efforts, your supply chain needs to be involved. Our advisers can help. They will:
You’ve done great things. Now you need to share them. Communicating your successes is a powerful PR boost for your brand. It’s often a simple way to improve your ratings framework score. And it can help others to understand the importance of the work you’re doing and inspire them to get involved.
Our brand, marketing and communications specialists will help you spread the word with a standalone sustainability report that brings all your ESG efforts together in one document. In addition, we can help you with: