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Water resources

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Uses of fresh water Uses of fresh water can be categorized as consumptive and non-consumptive (sometimes called "renewable"). A use of water is consumptive if that water is not immediately available for another use. Losses to sub-surface seepage and evaporation are considered consumptive, as is water incorporated into a product (such as farm produce). Water that can be treated and returned as surface water, such as sewage, is generally considered non-consumptive if that water can be put to additional use.


Agricultural

A farm in OntarioIt is estimated that 69% of world-wide water use is for irrigation, with 15-35% of irrigation withdrawals being unsustainable .

In some areas of the world irrigation is necessary to grow any crop at all, in other areas it permits more profitable crops to be grown or enhances crop yield. Various irrigation methods involve different trade-offs between crop yield, water consumption and capital cost of equipment and structures. Irrigation methods such as most furrow and overhead sprinkler irrigation are usually less expensive but also less efficient, because much of the water evaporates or runs off. More efficient irrigation methods include drip or trickle irrigation, surge irrigation, and some types of sprinkler systems where the sprinklers are operated near ground level. These types of systems, while more expensive, can minimize runoff and evaporation. Any system that is improperly managed can be wasteful. Another trade-off that is often insufficiently considered is salinization of sub-surface water.

Aquaculture is a small but growing agricultural use of water. Freshwater commercial fisheries may also be considered as agricultural uses of water, but have generally been assigned a lower priority than irrigation (see Aral Sea and Pyramid Lake).

As global populations grow, and as demand for food increases in a world with a fixed water supply, there are efforts underway to learn how to produce more food with less water, through improvements in irrigation methods and technologies, agricultural water management, crop types, and water monitoring.


Industrial

A power plant in PolandIt is estimated that 15% of world-wide water use is industrial. Major industrial users include power plants, which use water for cooling or as a power source (i.e. hydroelectric plants), ore and oil refineries, which use water in chemical processes, and manufacturing plants, which use water as a solvent.

The portion of industrial water usage that is consumptive varies widely, but as a whole is lower than agricultural use.



Household

Drinking waterIt is estimated that 15% of world-wide water use is for household purposes. These include drinking water, bathing, cooking, sanitation, and gardening. Basic household water requirements have been estimated by Peter Gleick at around 50 liters per person per day, excluding water for gardens.


Recreation

Whitewater rapidsRecreational water use is usually a very small but growing percentage of total water use. Recreational water use is mostly tied to reservoirs. If a reservoir is kept fuller than it would otherwise be for recreation, then the water retained could be categorized as recreational usage. Release of water from a few reservoirs is also timed to enhance whitewater boating, which also could be considered a recreational usage. Other examples are anglers, water skiers, nature enthusiasts and swimmers.

Recreational usage is usually non-consumptive. Golf courses are often targeted as using excessive amounts of water, especially in drier regions. It is, however, unclear whether recreational irrigation (which would include private gardens) has a noticeable effect on water resources. This is largely due to the unavailability of reliable data. Some governments, including the Californian Government, have labelled golf course usage as agricultural in order to deflect environmentalists' charges of wasting water. However, using the above figures as a basis, the actual statistical effect of this reassignment is close to zero.

Additionally, recreational usage may reduce the availability of water for other users at specific times and places. For example, water retained in a reservoir to allow boating in the late summer is not available to farmers during the spring planting season. Water released for whitewater rafting may not be available for hydroelectric generation during the time of peak electrical demand.


Environmental

A natural wetlandExplicit environmental water use is also a very small but growing percentage of total water use. Environmental water usage includes artificial wetlands, artificial lakes intended to create wildlife habitat, fish ladders around dams, and water releases from reservoirs timed to help fish spawn.

Like recreational usage, environmental usage is non-consumptive but may reduce the availability of water for other users at specific times and places. For example, water release from a reservoir to help fish spawn may not be available to farms upstream.


World water supply and distribution Food and water are two basic human needs. However, global coverage figures from 2002 indicate that, of every 10 people:

roughly 5 have a connection to a piped water supply at home (in their dwelling, plot or yard); 3 make use of some other sort of improved water supply, such as a protected well or public standpipe; 2 are unserved; In addition, 4 out of every 10 people live without improved sanitation. At Earth Summit 2002 governments approved a Plan of Action to:

Halve by 2015 the proportion of people unable to reach or afford safe drinking water. The Global Water Supply and Sanitation Assessment 2000 Report (GWSSAR) defines "Reasonable access" to water as at least 20 liters per person per day from a source within one kilometer of the user’s home. Halve the proportion of people without access to basic sanitation. The GWSSR defines "Basic sanitation" as private or shared but not public disposal systems that separate waste from human contact.

Projected water distribution in 2025As the picture shows, in 2025, water shortages will be more prevalent among poorer countries where resources are limited and population growth is rapid, such as the Middle East, Africa, and parts of Asia. By 2025, large urban and peri-urban areas will require new infrastructure to provide safe water and adequate sanitation. This suggests growing conflicts with agricultural water users, who currently consume the majority of the water used by humans.

Generally speaking the more developed countries of North America, Europe and Russia will not see a serious threat to water supply by the year 2025, not only because of their relative wealth, but more importantly their populations will be better aligned with available water resources. North Africa, the Middle East, South Africa and northern China will face very severe water shortages due to physical scarcity and a condition of overpopulation relative to their carrying capacity with respect to water supply. Most of South America, Sub-Saharan Africa, Southern China and India will face water supply shortages by 2025; for these latter regions the causes of scarcity will be economic constraints to developing safe drinking water, as well as excessive population growth.


Economic considerations Water supply and sanitation require a huge amount of capital investment in infrastructure such as pipe networks, pumping stations and water treatment works. It is estimated that OECD nations need to invest at least USD 200 billion per year to replace aging water infrastructure to guarantee supply, reduce leakage rates and protect water quality.

International attention has focused upon the needs of the developing countries. To meet the Millennium Development Goals targets of halving the proportion of the population lacking access to safe drinking water and basic sanitation by 2015, current annual investment on the order of USD 10 to USD 15 billion would need to be roughly doubled. This does not include investments required for the maintenance of existing infrastructure.

Once infrastructure is in place, operating water supply and sanitation systems entails significant ongoing costs to cover personnel, energy, chemicals, maintenance and other expenses. The sources of money to meet these capital and operational costs are essentially either user fees, public funds or some combination of the two.

But this is where the economics of water management start to become extremely complex as they intersect with social and broader economic policy. Such policy questions are beyond the scope of this article, which has concentrated on basic information about water availability and water use. They are, nevertheless, highly relevant to understanding how critical water issues will affect business and industry in terms of both risks and opportunities.


Business response The World Business Council for Sustainable Development in its H2OScenarios engaged in a scenario building process to:

Clarify and enhance understanding by business of the key issues and drivers of change related to water. Promote mutual understanding between the business community and non-business stakeholders on water management issues. Support effective business action as part of the solution to sustainable water management. It concluded that

Business cannot survive in a society that thirsts You don’t have to be in the water business to have a water crisis. Business is part of the solution, and its potential is driven by its engagement. Growing water issues and complexity will drive up costs.