Major Corporations Struggle to Meet Water Sustainability Targets, Ceres Analysis Finds

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ICARO Media Group
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25/10/2023 23h32

WASHINGTON (AP) - A recent analysis by sustainability nonprofit Ceres revealed that major corporations in water-intensive industries, including clothing, food, beverage, and technology, are falling short in achieving their 2030 water sustainability targets. As climate change exacerbates extreme weather events, such as droughts and floods, which pose a severe threat to their supply chains, these companies are under pressure to become better stewards of freshwater resources.

Ceres evaluated a total of 72 companies from the four sectors based on factors such as size and their impact on water. The assessment involved measuring their commitment to protect the quantity and quality of water they use, as well as the ecosystems that support it. Additionally, the companies were evaluated on their efforts to improve access to water and sanitation in the local communities where they operate. The analysis was based on publicly available information, including filings and voluntary disclosures made by the companies through March.

Unfortunately, none of the assessed companies managed to score above 70% of the available points. Only eleven companies showed enough progress to be considered "On Track" to meeting their goals, having scored at least 50%. Notable companies among them were Coca-Cola, General Mills, and Amazon.

Coca-Cola, for instance, reported that its water use in 2022 was 10% more efficient compared to 2015. The company aims to achieve 100% circular water use, where every drop of water is used and eventually returned to the watersheds it was sourced from, at 175 locations by 2030. However, Coca-Cola did not provide details on the likelihood of reaching this target or the progress made thus far. It clarified that most of its water footprint is not from manufacturing processes but rather from the agricultural ingredients used in its products.

On the other hand, companies in the technology sector, such as Amazon and Apple, faced significant challenges in meeting their targets due to their heavy reliance on water for cooling their data centers. Both companies showed progress below 20% toward their goals. While Amazon stated that it had not yet had the opportunity to review the report or its main findings, Apple has not responded to the inquiry.

Among the assessed companies, food company General Mills showcased one of the highest levels of progress, reaching 65% of its water-related targets for 2030. General Mills highlighted that 85% of its water usage is in agriculture, a sector particularly vulnerable to extreme weather events. The company reported difficulties in sourcing ingredients due to freezing and thawing affecting sugar beet cultivation and drought impacting its oats supply.

Experts in the field emphasize the importance of companies reporting on their water-related sustainability targets and mapping their water usage across supply chains. Michael Kiparsky, director of the Wheeler Water Institute at the University of California, Berkeley, believes that corporations' self-interest in protecting their operations from water vulnerability could motivate them to take further steps in safeguarding freshwater resources.

Ceres intends to update its findings every two years, hoping to encourage companies to improve their sustainability efforts.

The analysis was conducted with support from the Coca-Cola Foundation, an independent entity from The Coca-Cola Company. Ceres assured that the funding did not influence the evaluation process.

The Associated Press received assistance from the Walton Family Foundation to cover water and environmental policy. All content is the sole responsibility of the AP.

For more in-depth coverage of environmental topics, please visit the AP's environmental coverage section.

The views expressed in this article do not reflect the opinion of ICARO, or any of its affiliates.

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