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Global water crisis may influence drastically world food production

A new report released by the Global Commission on the Economics of Water (GCEW) states that the water cycle is increasingly out of balance on a global scale, having critical consequences for the world economy and humanity. The global water crisis could endanger more than half of food production worldwide by 2050, the authors warn.

von | 28.10.24

Transform agriculture by reducing reliance on water and nitrogen-based fertilizers is part of one of the five missions recommended by the report.
Source: Jan Amiss / Pixabay

Redefining the way we value water is necessary

This could result in a global median gross domestic product (GDP) decline of about 8 %. Lower-income countries may even face a decline in GDP of 10 to 15 %. The Commission argues in favor of a new economics of water, which must redefine the way we value water.

According to the researchers, the ongoing wasteful use of water is due to the fact that the resource is underpriced. So far, economic approaches have focused primarily on “blue water” in rivers, lakes and aquifers. The role of “green water” in soils and plant life has been neglected. The latter enters the atmosphere and plays a significant role in the water supply, in the form of precipitation. The importance of green water, when it comes to storing carbon dioxide in the soil, is also underestimated.

The urgency of the water crisis

The document highlights the urgency of the water crisis. To ensure a decent quality of life, it is essential to have access to at least 4,000 liters of water per person per day, accounting for food and other daily needs.

How to counteract the existing water crisis

The report recommends five missions:

  1. A revolution of food systems: Transform agriculture by reducing reliance on water and nitrogen-based fertilizers, scaling up micro-irrigation, adopting regenerative agriculture, and reducing dependence on water-intensive foods.
  2. Conserve and restore natural green water habitats: By 2030, conserve 30 % of forests and restore 30 % of degraded ecosystems, especially those that contribute to a stable water cycle.
  3. Establish a circular water economy: treating and reusing wastewater, reducing distribution inefficiencies and recovering valuable resources.
  4. Enable clean energy with more efficient water use: Reduce waste of water by scaling up water-efficient clean energy solutions and the use of energy-efficient technologies and artificial intelligence.
  5. Ensuring access to clean water for all, including hard-to-reach communities, by 2030: Investing in decentralized water treatment systems.

Action required on an international level

As a prerequisite, the authors emphasize the necessity of establishing a cross-sectoral global water pact. This pact should foster international partnerships and develop a stable global water data infrastructure. This framework should encompass not only blue water but also green water, recognizing both as vital components of natural capital.

The GCEW was convened in May 2022 to co-host the 2023 UN Water Conference, with the aim of redefining water as a global common good. The report on a new economy of water complements other two documents: one on the economics of climate change and one on the economics of biodiversity.

Text Source: Potsdam Institute for Climate Impact Research (PIK)

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