The United Nations World Water Development Report 2024

Water for prosperity

and peace
Facts, Figures and Action Examples
 The state of the world’s freshwater Emerging contaminants include pharmaceuticals,
hormones, industrial chemicals, detergents, cyanotoxins and
resources nanomaterials (Sauvé and Desrosiers, 2014). In a study of
Worldwide, agriculture accounts for roughly 70% of 258 of the world’s rivers, over a quarter of these were found
freshwater withdrawals, followed by industry (just under to have concentrations of active pharmaceutical ingredients
20%) and domestic (or municipal) uses (about 12%). that exceeded safe limits (Wilkinson et al., 2022). Whilst the
exact effects on human health and biodiversity are not fully
Groundwater supplies about 25% of all water used for
known, evidence suggests that this will likely augment antibiotic
irrigation and half of the freshwater withdrawn for domestic
resistance (WHO, 2014).
purposes (United Nations, 2022).
Over the period 2002–2021, floods caused nearly 100,000
Rising demand is primarily driven by a combination of socio-
deaths (with an additional 8,000 in 2022), affected another
economic development and related changes in consumption
1.6 billion people (with another 57 million in 2022) and caused
patterns, including diet (Zucchinelli et al., 2021), such that
US$832 billion in economic losses (US$45 billion in 2022). Over
the bulk of this increase is located in cities, countries and
the same period, droughts affected over 1.4 billion people, killed
regions that experience rapid economic development, most
over 21,000 more and triggered US$170 billion in economic
notably in emerging economies (Ritchie and Roser, 2017).
losses (CRED, 2023).
Roughly half of the world’s population currently
Continued global warming is projected to intensify the global
experiences severe water scarcity for at least part of the
water cycle, and to further increase the frequency and severity
year (IPCC, 2023). While some areas experience water
of droughts and floods, with more very wet and very dry weather
scarcity a few months per year, others endure severe water
and climate events, and seasons. The incidence of climate-
scarcity year-round.
related water- and vector-borne diseases is expected to rise
Water stress has important implications for social stability, across all regions, and there will be a higher frequency of
and water deficits can be linked to 10% of the increase in substantial damages, and increasingly irreversible losses, in
migration worldwide (Zaveri et al., 2021). freshwater ecosystems (IPCC, 2023).

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).

In low-income countries, an estimated 80% of jobs are

water-dependent, primarily due to the dominance of Progress towards SDG 6
agriculture as the main employment sector (which relies
With the exception of drinking water and sanitation,
heavily on water). This is notably higher than the estimated
deficiencies in monitoring and reporting have made it
50% of jobs in high-income countries, where the job market
extremely challenging to generate a comprehensive analysis
is more diversified and less reliant on water sources
of most Sustainable Development Goal (SDG) 6 target
(Connor and Chaves Pacheco, 2024).
indicators (United Nations, 2023b).
As countries become richer, water pollution does not
As of 2022, 2.2 billion people were without access to safely
disappear but evolves (Desbureaux et al., 2022). In lower-
managed drinking water (SDG Target 6.1). Progress between
income countries, poor ambient water quality is mainly due
2015 and 2022 was mainly limited to urban areas, where
to low levels of wastewater treatment, whereas in higher-
service provision has been barely keeping up with population
income countries, runoff from agriculture poses the most
growth. Rural areas still accounted for four out of five
serious problem. Unfortunately, water quality data remain
people lacking at least basic drinking water services in 2022
sparse (United Nations, 2023a).
(UNICEF/WHO, 2023).

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

It has been estimated that achieving universal access to poverty alleviation

safe drinking water, sanitation and hygiene (SDG Targets 6.1
Close to 84% of smallholder farms in low- and middle-income
and 6.2) in 140 low- and middle-income countries would
countries are located in water-scarce regions, and less than a
cost approximately US$1.7 trillion from 2016 to 2030, or
third have access to irrigation (Ritchie, 2021; FAO, 2021). There
US$114 billion per year (Hutton and Varughese, 2016).
The benefit–cost ratio (BCR) of such investments has been is a need for more attention and help to smallholder farmers
shown to provide a significant positive return in most regions. and the rural poor, in particular women and children, as the role
One study estimated the BCRs of investments at 3.4 and they play contributes to achieving the Sustainable Development
6.8 for basic drinking water supply, and 2.5 and 5.2 for basic Goals as well as conserving local ecosystems. FAO’s framework
sanitation, in urban and rural areas respectively (Hutton and on extreme rural poverty recognizes that conserving and
Varughese, 2016). restoring natural resources should directly benefit the rural poor,

Facts, Figures and Action Examples 3

 particularly those living in remote marginalized areas. This is Year after year, internal disaster-related displacements
linked to promoting responsible governance of the tenure of outnumber conflict-related displacement. Most of this
resources. Recognizing the legitimate tenure rights of people disaster-related displacement is caused by weather-related
to use, manage and control land, water, biodiversity, forests events linked to water extremes (IDMC, 2022). In the absence
of sufficient climate action, the World Bank estimates that,
and fisheries is fundamental to helping the rural extreme poor
by 2050, 216 million people may be forced to move due to
adapt to climate change (FAO, 2019).
impacts of climate change. Most of these movements are
By increasing knowledge on the role of water in rural predicted to be within country borders (Clement et al., 2021).
livelihoods and adopting participatory approaches focused
on smallholder farmers, actions can be focused to build Action example
resilience, identify and adapt water technologies, and promote
smart investments in water for poverty reduction. International Box 2 Promoting peaceful cooperation through WASH in
and national partners are developing methodologies based South Kordofan (Sudan)
on the concept of livelihood mapping to help investors and
policy-makers in prioritizing, planning and implementing For years, nomadic communities and the settled communities
water-related interventions in support of smallholder farmers; of Kadugli and Reif Shargi had a mutual agreement on the use
performing regional and national studies on rural poverty of water sources. However, in 2021, a deadly clash between
reduction through water-related interventions; and applying nomads and settlers over damage to a water pump led to
water technologies and approaches to increase the impact of nomads being banned from using and accessing water. The
development projects targeting poor farmers, with particular local authorities and water, sanitation and hygiene (WASH)
attention to women (FAO, n.d.). sector partners launched a joint intervention to build additional
water pumps in areas conducive to settler–nomad interaction.
Joint WASH committees conduct regular controls and
maintenance and intervene when there is any disagreement or
Human settlements conflict at the water points.
While the wealthiest people generally receive safe water
Source: UNICEF (Forthcoming).
and sanitation at a very low price, the poor often pay much
higher prices for unsafe services of much lower quality
(WWAP, 2019). Inequality in access to water and sanitation
services, while not necessarily a direct driver of conflict,
presents significant barriers to socio-economic stability
Industry
and prosperity. Industry uses a significant quantity of water, polluting it and
harming ecosystems. At the same time, water availability (i.e.
While the human rights to water and sanitation entitle scarcity), quality and accessibility generate risks for industry,
everyone, without discrimination, to affordable services, in exposing it to supply chain disruptions, while climate change
practice, communities in conflict-affected contexts often multiplies the occurrence and impacts of floods and droughts.
face discrimination and other barriers, including from public
authorities who are ultimately responsible for ensuring An analysis by Trucost (a division of S&P; Bernick, 2017)
access to water and sanitation services (Boxes 2 and 3). found reported water risks of about US$126 billion, which
may even become US$439 billion if non-reporting companies
Damage to water infrastructure increases the amount are included. The risks came from higher operational costs
of time women and girls/children – primary collectors linked to deteriorating water quality and supply disruption.
of water – are exposed to the threat of violence, also If companies had to absorb all the costs for decreased
reducing time for education, work and leisure (UN Women/ water allocations, increased treatment and stronger effluent
UNDESA, 2022). Survey data from eight countries in Sub- discharge regulations, average profits could decrease between
Saharan Africa showed that people from households in 18% (chemical sector) and 116% (food and beverage sector).
areas experiencing internal conflicts over water walked
on average 66 minutes to collect water, compared to 30 A 6-year survey of over 16,000 formal firms in over 100
minutes in areas without such conflict (Pearson et al., 2021). economies found that, in a typical month, an average firm
This points to the value of adopting a gender perspective would experience a sales loss of 8.7% for every additional
in policies aimed at reducing hardships when safe water water outage (Damiana et al., 2017).
supplies are unavailable (UN Women, 2023).
It has been reported that “global trends have pointed to
The Global Report on Internal Displacement 2023 (GRID) a relative decoupling of water – that is, the rate of water
revealed that at the end of 2022, the number of internally resource use is increasing at a rate slower than that of
displaced persons reached its highest level ever recorded, economic growth.” (UNEP, 2015a, p. 5). This observation is
with 71.1 million people displaced worldwide, of which 88% supported by data from the USA, where GDP from 1900 to
due to conflict and violence (IDMC, 2023). the mid-1990s grew 20 times whereas water use increased
10 times and declined after 1985 (Gleick, 2002).

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.

Nature-based solutions go hand in hand with natural capital

The El Mauro tailings dam in Chile is the largest in Latin
and are often used in combination with grey infrastructure.
America. The local indigenous Caimanes community
Constructed wetlands are a well-known application that
protested because of environmental concerns, using
serves to treat certain types of industrial wastewater. They
lawsuits, a long hunger strike and road blockages. The court
are known for low operation costs related to their long-term
performance and low maintenance (Public Services and ordered the dam’s demolition. Negotiations attempted
Procurement Canada, 2019). between the mining company and the community initially met
with little progress but in 2016, after more than 10 years, an
Industry’s ability to leverage water for prosperity is agreement was reached. This involved a desalination plant to
additionally affected, both positively and negatively, by
resolve water quality issues, and resettlement compensation
factors beyond its control. Policies and regulations are
and land lease agreements.
significant drivers, often based on financial incentives or
command-and-control approaches (i.e. ‘carrot and stick’). Source: CDP (2022) and Oh et al. (2023).

Water scarcity or pollution frequently drives such

confrontational situations where several parties, including
industry, require water from limited supplies, leading to Energy
competition between unequal parties (Boxes 3 and 4). Achieving SDG 7 – ensuring access to affordable, reliable,
sustainable and modern energy for all – will require an
acceleration in the uptake of renewable energy (IEA/
Action example
IRENA/UNSD/World Bank/WHO, 2023). The challenge is to
adopt types of renewable energy that also have a low water
Box 3 Water supply and bribery intensity. Such progress would also directly help achieving
SDG 6, especially in areas facing water scarcity or where
Bribery can thrive where water governance is poor. Yet, competition over finite resources between water use sectors
surveys show that companies that make such payments could undermine prosperity.
are more likely to face water shortages. “The … data show
that firms that make an informal payment or gift to obtain The other side of this connection is that considerable
amounts of energy are used to pump, treat and transport
a water connection are more likely to face water shortages
water and wastewater, including for irrigation and industry.
than firms that do not. Estimates indicate that 26% of firms
Achieving universal coverage for both drinking water and
experiencing water shortages made informal payments to
electricity involves reducing energy’s dependence on water
obtain a connection, whereas only 17% of firms that did not
and vice versa, with a view towards lowering greenhouse gas
experience shortages made such payments.” This suggests (GHG) emissions.
that a badly managed water utility may be more open to
bribery, and/or that weak governance results in inadequate The data suggest that water use for all types of energy
water service. Either way, some firms need to pay bribes to production have been increasing more or less proportionally,
get water service, which results in the loss of income required with the exception of a notable decrease for fossil fuel-based
electricity generation between 2010 and 2016, attributable
for improvements and maintenance of public infrastructure.
to a sharp (nearly 20%) decline in coal production over that
Source: Damania et al. (2017, Box 4.1, p. 54). period (IEA, 2021a).

Facts, Figures and Action Examples 5

 In terms of electricity generation, the most water-efficient Over-exploitation of provisioning ecosystem services
sources are wind and solar-photovoltaic (PV) (WWAP, (food, water, fibre and other raw materials) has impaired
2014). Solar PV only requires small amounts of water, for the capacity of ecosystems to regulate climate and water,
manufacturing and cleaning panels (Stolz et al., 2017). However, among other benefits. Consequences are potentially
it also has the potential to mitigate water loss with other co- disastrous and include disputes over environmental
benefits when the panels are installed over water (Box 5). resources and the undermining of sustainable prosperity
(Dasgupta, 2021).
Decarbonizing energy will depend heavily on critical minerals. For
example, solar PV needs approximately six times more of these Water-related ecosystems are by far the most heavily
minerals, measured as kg per MW of installed power, than a natural impacted by poor land management, over-use of water
gas plant (IEA, 2022). Additionally, critical minerals frequently need and land conversion (IPBES, 2019). The extent and overall
more water and have high eco-toxicity (IEA, 2021b). condition of wetlands continues to deteriorate globally
(Convention on Wetlands, 2021), although estimates vary
The water intensity for biofuels is orders of magnitude widely.
higher than for fossil fuels. Irrigated soybean biodiesel, for
example, ranges between 103 and 106 litres per toe (tonne of oil Many European countries have drained most of their
equivalent), whereas conventional oil is roughly between 102 and peatland wetlands (Joosten et al., 2017). According to one
10 4 litres per toe (IEA, 2016, p. 358, Figure 9.4). Water quality estimate, restoring peatlands could avoid greenhouse gas
is also a factor, as runoff can carry fertilizers and pesticides emissions equivalent to 12–41% of the reductions required
(WWAP, 2017). to keep global warming below 2°C (Leifeld et al., 2019).

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).

By 2030, 150 million people a year could need humanitarian

Action example assistance due to floods, droughts, and storms and by
2050, this is expected to have risen to 200 million people
annually (IFRC, 2019). Implementing nature-based
Box 5 Solar canals – Innovation in the energy–water nexus
solutions (NbS) could reduce the number of people in need
Almost ten years ago, a pilot project in Gujarat (India) put solar of international humanitarian assistance due to climate
change and weather-related disasters.
panels over canals, saving valuable land. There were multiple
benefits – evaporation was reduced by shading so that water NbS usually provide multiple benefits, including several
was saved for other uses, the water cooled the panels and related to local prosperity, and are increasingly proving to
made them more efficient, and the shade reduced algal blooms. be cost-effective.
One estimate suggested that 2 to 3 MW could be generated
Every dollar invested in ecosystem restoration can create
per kilometre (Gupta, 2021). A study in California suggested
up to US$30 in economic benefits (Ding et al., 2018).
that enough water could be saved for 2 million people if all
Investment in landscape-scale restoration in the USA
the 6,400 km of open canals were covered with solar panels,
creates at least twice as many jobs as a similar investment
which themselves would generate 13 GW of renewable power
in the oil and gas sector would (Calderón, 2017).
(Anderson and Hendricks, 2022). Floating solar panels covering
reservoirs could yield similar benefits (Jin et al., 2023), which Ecosystem restoration is now recognized as an urgent
include hindering weed growth and minimizing land use for new and key element for conflict resolution and peacebuilding,
solar installations. as well as a tool to improve access to resources, manage
climate-related security risks, reduce recruitment by
terrorist groups and alleviate pressure on people to migrate
(Barbut and Alexander, 2016; UNEP, 2019; United Nations,
2020a) (Boxes 6 and 7).
Environment
Strengthening gender equality and women’s empowerment
Ecosystems regulate the amount of water available across
related to natural resource management can contribute to
space and time, as well as its quality. The economic use value
building effective and lasting peace (IUCN, 2021) (Box 8).
of water from freshwater ecosystems in 2021 was estimated
at approximately US$58 trillion, equivalent to 60% of global Lack of information, lack of technical and financial
GDP (WWF, 2023). This includes a total quantifiable direct use resources, and other capacity gaps hinder the inclusion of
value of a minimum of US$7.5 trillion and an additional US$50 diverse values of nature in decision-making, but capacity-
trillion annually, 7 times more, from the indirect benefits that are building and collaborations among a broad range of
currently chronically undervalued in policies. societal actors can help bridge these gaps.

Half of the world’s GDP is dependent on nature (WEF, 2020).

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

Facts, Figures and Action Examples 7

 borders. Situating them in the centre of dialogues represents an lack of appropriate infrastructure, as well as inadequate
opportunity for enhancing transboundary cooperation (Box 7). management and insufficient economic resources and
incentives. All these factors hinder lasting progress
Across the world, women remain generally underrepresented (UNECA/AU/AfDB, 2003).
in the water sector, and in the transboundary water sector
specifically (Fauconnier et al., 2018). All scales of water Over a third of the countries in Africa – with a combined
cooperation require the meaningful participation of women, population of over half a billion (out of a total 1.3 billion)
including development and peacebuilding processes, conflict – are considered ‘water-insecure’ (MacAlister et al., 2023;
prevention and resolution, and post-conflict reconstruction and Oluwasanya et al., 2022). This mirrors Africa’s progress
recovery (Box 8). towards the SDGs, which has been slow according to most
indicators, even regressing in some cases (UN-Water, n.d.).
Effective water governance and cooperation support the
conjunctive management of both transboundary surface Since 2015, the number of people without safely managed
and groundwater resources. Such management should be drinking water in Africa has increased from 703 to
underpinned by sound data. 766 million (UN-Water, 2021b), despite the fact that
Africa receives one third of global official development
With increasingly complex challenges over water access, assistance (ODA) for the water sector. Capacity to monitor
quality and management and in order to prevent future SDG data indicators is generally inadequate, in spite of
disputes, flexible arrangements adaptable to changing high-level calls and long-term global efforts to improve
pressures, particularly measures for climate change adaptation data availability (UNECE/UNESCO, 2018).
and mitigation, and inclusion of consultation and dispute
settlement procedures, will be crucial. Factors hindering the prospects for prosperity and
peace include: weak institutional arrangements and
Ultimately, political will is crucial for advancing transboundary legal frameworks; insufficient financial arrangements;
water cooperation. inadequate data and human capacity; low levels of public
awareness and stakeholders participation; and inadequate
Action example infrastructure for delivering water for irrigation, domestic
and industrial requirements (MacAlister et al., 2023;
Oluwasanya et al., 2022; UN-Water, 2021b; UNECA/AU/
Box 8 Women’s water use association in the Malaka Dam
AfDB, 2003; Van Koppen, 2003).
In Yemen, the water of the Malaka Dam was primarily used by
The vast majority (42 out of 48) of countries in Sub-
three neighbouring villages for irrigation and livestock, and
Saharan Africa share a transboundary basin in the form of
was a subject of conflict for decades. In an attempt to halt rivers, lakes and groundwater aquifers (UNECE/UNESCO,
the conflict, a tribal decree was put in place forbidding all use 2018). Africa has the highest proportion of transboundary
of the dam water. After that, a water use association (WUA) basins relative to other continents, covering an estimated
managed by women in the community, Al Malaka, took the lead 64% of the land area (UNECA, 2021).
in dispute resolution and peace negotiation surrounding the
Transboundary cooperation can broaden the knowledge
dam water usage. WUA members, with support from the Food
base, enlarge the range of measures available to mitigate
and Agriculture Organization of the United Nations (FAO), were
water risk, increase preparedness and recovery for
able to negotiate the implementation of a piping system that
droughts and floods, and offer more cost-effective
would use gravity flow to send the Malaka Dam water to several
solutions (UNECA, 2021).
groundwater wells in the area. This solution was innovative
and effective in that it eliminated the need for direct use of the
Europe and North America
dam water, while it decreased evaporation and rejuvenated well
With 27 out of 42 countries reporting that operational
water resources. The water has since been used peacefully for
arrangements cover 90% or more of their transboundary
livestock and irrigation in the surrounding areas. This example
river and lake basin area, the Pan-European region
highlights the need for community involvement and the inclusion represents one of the most advanced regions globally
of women in matters of water diplomacy in the Arab region. in terms of transboundary water cooperation (UNECE/
UNESCO, 2021, p. xii). Such agreements and operational
arrangements over transboundary freshwater resources
can help promote peace and stability (Box 9).
Regional perspectives
Across the region, government-established transboundary
Sub-Saharan Africa river basin organizations can act as connectors and
While surface water resources are unevenly distributed, active peacemakers by facilitating inclusive dialogue and
groundwater is relatively abundant throughout most of the participatory decision-making. River basin organizations
region (United Nations, 2022). Most of Sub-Saharan Africa have established mechanisms for multi-stakeholder
suffers from economic water scarcity, characterized not by engagement, giving voice to young people, women and
the relative level of availability of water resources, but by the concerned stakeholders.

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.

Facts, Figures and Action Examples 9

 Due to the lack of training resources and appropriate Governance
capacities to address the unique challenges of the Pacific
Leveraging water for prosperity and peace requires
Islands, best practice water resource management is often
governance capacity and political will to address water
difficult to implement (Box 10).
allocation and adaptation challenges across sectors
A global inventory of transboundary aquifers identified and supply chains, with key roles for a broadening
129 shared aquifers in Asia, measuring approximately group of actors in government ministries, civil society
9 million km2, covering about 20% of the entire region. organizations, and markets (Meinzen-Dick, 2007;
Woodhouse and Muller, 2017).
Currently, over 80% of the countries in the Asia–Pacific
region have established a river basin organization to manage Effective and equitable water allocation encourages
water at some scale. However, less than 1% of countries investment and benefit-sharing, and ultimately promotes
have carried out stakeholder mapping and only one third of social cohesion.
countries surveyed have implemented formal or informal
Joint monitoring and data-sharing serve as a basis for
mechanisms to engage stakeholders on water-related topics
sound cooperation (United Nations, 2023a). Knowledge-
(OECD, 2021). Moreover, only 20% of the countries with river
sharing can also support informal governance
basin organizations have included provisions to protect
mechanisms, including data-sharing, coordination across
indigenous and traditional rights (Leckie et al., 2021).
sectors, and creative financing mechanisms to share risks
and benefits.
Action example
Water allocation determines who gets water when,
how, and under which conditions. Meeting the basic
Box 10 Capacity-building needs in Pacific Island countries needs of people is a human right and the top priority
among competing uses, followed typically by water for
A significant push for increasing water sector capacities consumptive (food, industry) and non-consumptive
will be required to achieve SDG 6 targets in the Pacific. Only (hydropower, recreation) needs.
60% of Pacific Islanders have access to basic drinking water
In many contexts, water allocation policies were developed
and a mere 33% to basic sanitation, with the latter being
under a principle of aqua nullius. This has excluded
the lowest rate recorded in the world (UNICEF, 2022). In
indigenous peoples from establishing and enforcing
addition to various governance, poor policy, legislation and
rights, prompting efforts to redress legacies of exclusion
ownership issues, a substantial gap in human capacity is also
(O’Donnell et al., 2023).
reported. Due to a lack of human capacity in water resource
management, existing facilities are not operationally Without improvements in water allocation frameworks,
optimized, and an estimated 1,000 out of 8,500 employees economic growth rates have been projected to decline by
in the sector require training on a yearly basis. This finding as much as 6% by 2050 in some regions due to impacts
of water shortages on health, agriculture and incomes
illustrates the human and financial resource constraints
(World Bank Group, 2016).
faced by the Pacific Island countries. A perception survey
carried out in the Nadi catchment in Fiji found that Pacific The potential for benefit-sharing hinges on investments
Islanders employ traditional community-based approaches to in governance capacity and water allocation reforms, as
manage water resources. With further training and the right well as supporting information about water accounting,
tools, community managers can strengthen existing water water use and water rights. Achieving the potential for
resource management (Wilson et al., 2022). benefit-sharing requires investing in governance, not just
infrastructure (Schmeier, 2015; Whittington et al., 2013)
(Box 11).

The Arab Region Environmental co-benefits (e.g. biodiversity, flood &

pollution control) have been shown to motivate partners
Cooperation on water at all levels, including transboundary
to engage in more collaborative approaches to water
and cross-sectoral, is of crucial importance to the Arab
management (United Nations, 2023a) and can therefore
region, one of the most water-scarce regions in the world,
help guide and consolidate efforts to coordinate allocation
with 19 of the 22 states below the water scarcity threshold.
decisions at the river basin level.
Two thirds of the freshwater resources in the region are
transboundary, and the 43 transboundary aquifers cover 58%
of the area of the region (UNESCWA, 2022).

The Arab region is strongly impacted by conflict. In 2021,

seven Arab countries were in conflict, including protracted
conflict with wide-ranging implications for water supply and
infrastructure and for potential cooperation on water-related
issues (UNESCWA, 2023).

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).

and governance scales (Enqvist and Ziervogel, 2019;

Government agencies tasked with resource monitoring and
Jones et al., 2022). management often lack the capacity to collect data and
generate information required to address water-related
Cities are responding to these interdependencies in various
economic and social challenges (United Nations, 2023a).
ways. Historically, when Singapore gained independence
This represents a significant challenge globally (UNESCO/
in 1965, it relied heavily on its neighbour Malaysia for water UN-Water, 2020; Cantor et al., 2018; Stewart, 2015).
resources. Given the political tension between the two
countries, Singapore made water independence a priority. Data on water quantity and especially water quality remain
However, Singapore has limited natural water resources sparse, due in large part to weak monitoring and reporting
(no natural lakes, no groundwater, and limited streams), capacity. This is especially the case in many low-income
countries in Africa and Asia (United Nations, 2023a). It is
requiring innovative approaches to secure their water supply,
generally recognized that some of the most data-sparse
which in turn required steady, affordable and accessible
regions are also the most vulnerable to hydroclimatic hazards
energy sources (Tortajada and Wong, 2018). Secure energy
(Wilby, 2019). High-altitude regions and fragile states are
resources, along with extensive investment in research and
particularly under-monitored.
development, paved the way for large-scale water reuse
and desalination, allowing Singapore to increase its water Evidence suggests that at high elevation, sites are warming
independence and improve national peace and security by more rapidly than the global average (Pepin et al., 2015).
reducing the impact that political tensions with Malaysia Hydrological assessments are urgently required in mountain
regions (Wester et al., 2019; Immerzeel et al., 2010).
could have on its water resources. Looking to the future,
Cape Town has developed a Water Strategy, formulating the There is a need to increase the number of gauging stations,
city-wide priority to achieve water resilience and to become particularly in under-represented basins and environmentally
a water-sensitive city. This new strategy involves the direct vulnerable areas, to capture the full extent of hydrological
inclusion of agricultural stakeholders and the consideration variability and anthropogenic influences.
of agricultural water use for future water planning (City of
Citizen science represents an invaluable opportunity for both
Cape Town, 2019).
data collection and public participation in water-related projects
Singapore and Cape Town provide development pathways for (Hegarty et al., 2021). Beyond producing data, citizen science
water resources that contribute towards increased adaptive is also recognized to have broader environmental, social,
economic and political benefits (Hecker et al., 2018). These
capacity within the water sector and across various sectors
include strengthening participatory decision-making processes,
for peace and prosperity.
local leadership and capacity development (Njue et al., 2019).

Forthcoming and transparent sharing of data and information

is essential to promote effective water management.
However, the level of sharing varies significantly. Data
and information can be withheld or manipulated to serve
one actorʼs interest over that of others. There can also be
significant time lags between data collection and sharing,
which could hamper operational decision-making.

Facts, Figures and Action Examples 11

 Data-sharing is found to more likely to take place if it responds Cyber-attacks may affect services of critical infrastructure
to a particular operational need and serves practical uses, for drinking water, wastewater treatment and sewerage,
such as to minimize flood risks or to manage transboundary agricultural production and food systems, energy generation,
infrastructure (e.g. a reservoir) between riparians. navigation, and disaster management (including floods and
droughts) (Gleick, 2006; Amin et al., 2012; Copeland, 2010).
Artificial intelligence (AI) has been proposed to help address
challenges across water supply, sanitation and hygiene
Governments are developing cyber-security plans to
(WASH) systems, water use in agriculture and industry, and
safeguard critical water infrastructure. To mitigate risks,
water resources management. However, the performance of
personnel needs to be trained to assess and identify threats
any AI tool also requires data.
to water infrastructure (Bello et al., 2023; Moraitis et al.,
The benefits of AI are caveated with the warning that the 2020; Hassanzadeh et al., 2020; Adepu and Mathur, 2016).
impacts of this nascent technology remain largely unknown, Measures include regular cyber-security assessments and
with the potential to trigger serious and unexpected incident response plans, vigilant monitoring of water system
problems. These include system-wide compromise owing to treatment processes, along with access controls encryption,
design errors, malfunction and cyber-attacks, which in turn
firewalls, anti-virus measures, back-ups and multi-factor
could lead to critical infrastructure failure in a worst-case
authentication (Waterfall, 2023).
scenario (Box 12).

Water consumption by information technology companies a

The Internet of things describes devices with sensors, processing
has significantly increased in recent years, by up to a third. A ability, software and other technologies that connect and exchange
major share of this is attributed to the development of AI and data with other devices and systems over the Internet or other
related technologies. Large volumes of water are used in the communications networks.
liquid cooling systems of computers that run AI programmes,
in addition to the energy required to power the equipment.
The simulated training of GPT-3 in state-of-the-art data
centres in the USA consumes an estimated 700,000 l of water
(Li et al., 2023). Education and capacity development
Efforts to provide clean water and sanitation for all is falling
Action example behind, as the indicators of SDG 6 show clearly (United
Nations, 2023b). Education and capacity development are key
to addressing this challenge. In many parts of the world, and in
Box 12 Risks associated with cyber-attacks many developing countries in particular, water and sanitation
are not optimally managed. The lack of training and relevant
The number of reported cyber-attacks on critical water
skill sets is at the heart of this issue (UNESCO, 2014).
infrastructure – including drinking water supply, wastewater
and sewerage treatment, dams and canals – has increased This delays the adoption of new technologies for water
in recent years (Tuptuk et al., 2021). These risks are expected treatment, sanitation and integrated river basin management,
to rise owing to the development and increasing uptake of among others – which, in turn, leads to wasteful use of
cyber-physical water systems, that integrate computational water, avoidable contamination of freshwater resources, and
and physical capabilities in order to control and monitor inappropriate levels of access to safe and clean water.

processes. In the past, water system security was achieved

The rapidly increasing pressures on global water resources
largely through physical isolation, limiting access to control heighten the risks of competition at various scales in many
components. However, with the emergence of the Internet parts of the world. Avoiding and defusing water-related crises
of Things, a water systems are increasingly using a smart and conflicts will require new ways of thinking, as well as
systems philosophy, incorporating analytics into industrial innovative and often transdisciplinary solutions and governance
control systems to improve the sensing and control capacity arrangements. Education is the catalyst to uptake and
(Bello et al., 2023; Tuptuk et al., 2021). application of such new methods, technologies and behaviours.

“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.

Facts, Figures and Action Examples 13

 Action example

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.

Bernick, L. 2017. Why Companies and Investors Need to Value Water

To address concerns over the affordability of services to low-
Differently. S&P Dow Jones Indices website, 17 March 2017. www.
income households, the government introduced an individual indexologyblog.com/2017/03/17/why-companies-and-investors-
means-tested water consumption subsidy in the early 1990s. need-to-value-water-differently/.

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
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