Driving water-enabled growth in Karnataka: Agriculture sector

Driving water-enabled growth in KarnatakaKarnataka, one of India’s most water-scarce states, has a major challenge at hand. Its agricultural and economic growth aspirations will lead to an estimated 60% increase in water demand by 2030. Karnataka will be unable to meet this demand unless it focuses on a state-driven comprehensive transformation of its water and agriculture sectors. This report outlines seven initiatives, supported by five enablers, and an effective process leading to the implementation of this plan to drive this transformation.

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Water Resources Group: A new model for water sector transformation

By Ramya Krishnaswamy

The World Economic Forum Annual Meeting 2012 kicked off yesterday exploring the most pressing challenges that our world faces today. A strong green thread runs across Davos this year, where many discussions are focused on realizing growth in a sustainable manner. Given their importance to economic growth and social development aspirations of countries and societies around the world, water issues are among the most pressing we face and must tackle without delay. Today at Davos, the Water Resources Group (WRG) – a new global partnership on water – emerges as a new model of collaboration to manage water resources for long-term growth and sustainability.

True – many noteworthy partnerships already exist in the water sector. WRG aspires to complement and support such initiatives, drawing in new actors to come together in constructive dialogue and develop joint solutions to ensure that water enhances growth, not constrains it. The extensive WRG network of expertise contributes to developing a holistic approach, considering water issues alongside energy, food security and environmental issues for integrated solutions. But what is the value of a good idea if not tested in practice?

To date, WRG partners with five governments – Karnataka State of India, Jordan, Mexico, South Africa and Mongolia. Two short years of activity are already yielding results. Insight developed by WRG is being used to shape national water strategies (Mexico’s 2030 Water Agenda and the revision of Jordan’s national water strategy). WRG is also supporting the formation of new stakeholder collaborations (South Africa’s Strategic Water Partners Network and Jordan’s vision to create a National Water Council).

An emerging new model that has demonstrated initial success, the WRG has yet many new partnerships to form and lessons to learn. Driven by the spirit of innovation and continuous improvement at its core, reinforced by the support of multistakeholder champions globally, it is an important step towards securing access to water for human and economic development in water-scarce countries. More fundamentally, WRG can prove to be a truly new model for impact-orientated development.

Today, WRG moves to a new home at the International Finance Corporation (IFC), on behalf of the World Bank Group. Water expert Anders Berntell has been appointed Executive Director, to take WRG to its next stage and continued success.

Water at Davos 2012: launching a new model for partnership

By Dominic Waughray 

As the issue of freshwater scarcity becomes ever more pressing, a new partnership aims to help governments change their business as usual approach to water management

Awareness of risks from water scarcity is growing globally and driving innovation to find solutions. Photograph: AFP

Awareness of risks from water scarcity is growing globally and driving innovation to find solutions. Photograph: AFP

While much of the focus in Davos is on the macro-economic fault lines that are holding back global growth and job creation and promoting inequality, there is also a green thread addressing sustainability and natural resource issues running through the annual meeting. Indeed, since Davos 2008, the World Economic Forum has sustained a focus on one of the most immediate and pressing natural resource risks to delivering the growth we will need: sustainable access to freshwater.

According to the Water Resources Group (WRG), there may be a 40% gap between the required demand for, and the safe available supply of freshwater, by 2030 under business as usual practices.

The WRG is a pioneering partnership that the World Economic Forum has been helping to develop with the International Finance Corporation for the past two years. The scheme involves development institutions such as the World Bank Group; bilateral development agencies such as USAID, large water using companies from the food, beverage, construction and mining sectors and expert organisations, NGOs and think tanks.

The WRG helps governments of water scarce countries to accelerate their water reform agenda. It does so by bringing together influential people from government, civil society and business with global water experts. The organisation works with these experts to develop water resources analysis in formats that are digestible for politicians and business leaders.

For example, the WRG will help governments to see how, for growth to happen and for enough water to be available to meet society’s needs, business as usual water practices in thirsty economic sectors such as agriculture, energy and industry cannot continue. In many cases, agriculture utilises over 70% of the freshwater withdrawals of a country. If food production and energy demands are to increase, then trade-offs must be made to avoid acute water scarcity derailing growth. Adapting to less water under potential climate change scenarios also needs to be factored in.

This sort of national analysis often illustrates to a government that there is a difference between the water that is safely available for a country, and the quantity of water it would need to meet its economic growth aspirations by 2030 under business as usual water management approaches. Consequently, a strategy is required to close this gap.

An important feature in these strategies is often to manage the connections between water, food and energy. Related to the work of the WRG, the World Economic Forum published a book on the Water-Food-Energy-Nexus in 2011. It is safe to say that the nexus has now become a broadly adopted framework for looking at the interconnected natural resource management challenges of food, energy and water.

With government, civil society and business in agreement that an integrated plan is required, cost effective options need to be considered. Key political and economic figures, as well as water specialists, now recognise that a water reform plan is important to both a country’s economic growth and its social and environmental wellbeing.

The WRG has provided support to the governments of Mexico, India (the State Government of Karnataka) and Jordan. Substantive and well supported reform programs have been developed and are underway in each location. The multi-sector expertise on offer from the WRG partnership helps the governments to deliver best practice approaches, drawn from NGO projects, research organisations and business solutions.

Discussions in Davos will hear from the governments who have been engaged in the work so far. A next stage in the development of this new water partnership will also be launched. The International Finance Corporation, on behalf of the World Bank Group, will host the next stage of development of the WRG.

It will become a new global entity aiming to help developing countries who are challenged by water scarcity. Aid agencies and leading global companies are coming together to support it. The ambition is to have the WRG help the governments of eight to 10 developing countries over the next two years, representing a variety of geographies and economic contexts. If successful then this could be a new model for development that can be replicated in other areas.

Dominic Waughray is senior director at the World Economic Forum, where he is also head of environmental initiatives