Waterscan has become the UK’s only accredited water consultancy partner to the CDP in a move which addresses the growing importance and complexity of reporting on water.

The CDP's newly published report A Wave of Change is warning that the cost of water risks to business could be more than five times greater than the cost of taking action now to tackle them - and investors are calling for greater transparency and action from companies to address the risks.

The report finds that the companies disclosing through CDP’s water security questionnaire in 2020 risk losing up to a combined US$301 billion in business value if they fail to address them.

The not-for-profit's work over the last two decades has resulted in unparalleled engagement on environmental issues worldwide.

Primarily, this is achieved through its global environmental disclosure system which has driven action on climate change, forest and water security for nearly 10,000 businesses. In 2020 106 companies made the CDP’s water security A list, including: Anheuser Busch InBev, AstraZeneca, Colgate Palmolive, Diageo, General Mills, GlaxoSmithKline, Mondi and Unilever.

Paul Robins, CDP Head of Partnerships commented:

“It is our pleasure to welcome Waterscan on board as our accredited water consultancy provider in the UK. With over 25 years of experience in the water industry and services covering the full range of water management, we are confident its services will be of great value to companies looking to improve their water stewardship.”

Disclosure is regarded by investors and other stakeholders as the critical first step towards positive action on the environment. There is, therefore, a growing demand for companies to report on their performance annually using a robust scheme such as CDP.

Several Waterscan customers, including Coca-Cola European Partners, Morrison’s, Sainsbury’s and Whitbread, already disclose on water.

Carbon emissions and waste tends to be prioritised when setting corporate social responsibility agendas. However, in the UK, businesses consume 30% of all available water. Water is becoming an increasingly important business risk that investors and regulators want to see addressed through CDP disclosure.

Anastasia Sousanoglou, Waterscan’s Water Strategy Manager explained some of the challenges involved in water reporting:

“We know that many leading organisations are well used to disclosing on carbon, but water reporting is very different because there are more variables to consider. A tonne of carbon has the same impact no matter where on the planet it is emitted, but the environmental impact of consuming a cubic meter of water can vary dramatically. Consider, for example, water use at a time and in an area with full reservoirs and low demand versus the same consumption in a water scarce area in the middle of a drought.”

“It’s specialised and requires a unique data set, which is why relatively few companies disclose their water footprint and performance. At the same time, accountability and action on water has never been so critical. Our accreditation by CDP, along with our unrivalled experience, insight and intelligent data mapping, will help UK businesses accelerate their journey towards environmental leadership.”