Water shortage could damage business 'more than oil scarcity'
A water shortage could hurt businesses more than the threat of oil running out, according to a new report released today.
Companies that use a high volume of water to manufacture products, such as silicon chips, and electricity suppliers that use water for cooling purposes could see their ability to perform their businesses go down. Other sectors that could be in trouble include beverage companies, clothing, pharmaceuticals and forest companies.
"Water is one of our most critical resources – even more important than oil," says the report, published today . "The impact of water scarcity and declining water on businesses will be far-reaching. We've already seen decreases in companies' water allotments, more stringent regulations [and] higher costs for water."
Droughts around the world are already contributing to the decline of some industries and as pressure for supplies increase, they will not be able to keep up.
"It is increasingly clear that the era of cheap and easy access to water is ending, posing a potentially greater threat to businesses than the loss of any other natural resource, including fossil fuel resources," it adds. "This is because there are various alternatives for oil, but for many industrial processes, and for human survival itself, there is no substitute for water."