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CDP Water Disclosure Global Report 2011

Raising corporate awareness of global water issues


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Water scarcity is an urgent problem in many parts of the world, but the risks and opportunities that this resource issue is creating have been slow to reach the boardroom. A new report – released by the Carbon Disclosure Project (CDP) and written by Deloitte – finds that just 57-percent of the 190 publicly listed organisations responding to the CDP Water Disclosure questionnaire report board-level responsibility for water policies, strategies or plans. With a low level of board oversight, businesses could be failing to capitalise on the considerable opportunities presented by water.

Natural disasters, finite water supplies and reputational damage comprise the greatest risks faced by over half of the responding companies. And the majority of these risks (64-percent in direct operations and 66-percent in the supply chain) are expected to make themselves felt within the next five years. Significantly, a significant percentage of respondents (38-percent) were not aware of whether they are exposed to water risk in their supply chains.

Companies and boards should take steps to be well informed about the current state of play with water, its use in production, and its availability (or scarcity) relative to location. Risk management is a concern, but the corresponding opportunities are also real: 63-percent of respondents to the report identify commercial opportunities, most of which (79-percent) are near term.

Read the second annual CDP Water Disclosure Global Report to gain an understanding of how companies are approaching the issues, challenges, and opportunities that water stewardship presents.

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