1. WATER STEWARDSHIP
Engaging business in delivering SDGs
Michael Spencer, Chair, Alliance for Water Stewardship (AWS)
Water Footprint Network side event Zaragoza UN-Water Conference
14 January 2015

2. © AWS. All Proprietary Rights Reserved and Enforced
“The use of water that is socially equitable,
environmentally sustainable and economically
beneficial, achieved through a stakeholder-
inclusive process that involves site and
catchment-based actions.” (AWS 2011)
Photo: K. Auty
Water Stewardship Definition

3. 3/02/2015 3
Voluntary
Collaborative
Bottom-up
Outcomes focus
Photo: K. Auty

4. Private interest alone drives over-
exploitation
“Each man is locked into a
system that compels him to
increase his herd without limit
– in a world that is limited.”
“Ruin is the destination
toward which all men rush,
each pursuing his own best
interest in a society that
believes in the freedom of
the commons”
Herder’s Dilemma
Garret Hardin Tragedy of the
Commons, 1968
Each herder adds more
and more animals because
he receives direct benefit
but bears only a share of
the costs of overgrazing.
+
E. Ostrom: Common Pool
Resources (1990)
Lloyd, W.F. (1832)

5. Building a stewardship system
55
Standard-Setting
Verification
Traceability
Capacity Building
Organisations

Stakeholders
Standard-Setter
Accreditation Body
Certification Body
Traceability System
Brand
Producer/
Enterprise
Manufacturer Retailer
Consumer
Capacity Building
Communications
Multi-stakeholder governance

6. Understand impacts and potential actions
IMPACTS INFLUENCES ACTIONS
Governance
Engagement
Manage Impact
on Sites &
Values
Manage Impact
on Water
Quality
Manage Impact
on Flow Regime
Water Flow
Regime
Water Quality
Human Health
Catchment
Governance
Ecosystems &
Biodiversity
Economic
Activity
Important Sites
& Values
Social &
Cultural Life
Photo: K. Auty

7. Standard Development Committee
77

8. Goal: Address catchment impacts
through site action
Scope of Standard
 Water using site
 Group of similar sites
Intent of Standard
• Understand catchment
• Tailored site action plan
• Encourage collaboration
• Transparency
Address impacts
• Site/catchment indicators

9. AWS Standard: Intended outcomes
99
© Shirley Plowright
GOOD WATER QUALITYHEALTHY IMPORTANT WATER-RELATED AREASGOOD WATER GOVERNANCESUSTAINABLE WATER BALANCE

10. Water Standard Structure – 6 steps

11. Step-wise approach to engagement
1111
Information
Training
Self-
assessment
Verification
Certification
Reward pull
Risk push
PromotersConveningRole

12. Water Stewardship promoters
Natural Resource Managers
• Catchment Managers
• State & Federal NRM Agencies
Retailers
• Supply chain managers
• Brand & reputation mangers
Supply chain leaders
• Global multi-nationals (aggregators)
• Trusted brands (domestic & international)
Aid and Development Agencies
• Better water management
• Sustainable development & production
Opportunities:
• Engage major water users
• Promote BMPs
• Bottom-up solutions
• Sustainable supply chain
• Protect brand
• Build market position
• As for retailers
• Sustainable development
• High impact solutions
• Avoid perverse impacts

13. © AWS. All Proprietary Rights Reserved and Enforced
Implementers: major water users
Business risks:
• Physical risks
• Regulatory risks
• Financial risks
• Reputational risks
Business opportunity:
• Enhanced license to
operate
• Market access
• Brand strength
Primary production
• Agribusiness
• Miners
Industrial
• Processors
• Manufacturers
• Energy
Commercial
• Retail
• Office
• Hospitality, recreation
Institutional
• Education, Hospitals
• Public facilities
• Water, sewerage services

14. Case study: Poultry Industry
Australia
3/02/2015
1
4
Context
• Leading producer of largest source of
protein
• Water significant input in both production
and processing
• Significant business risk
Benefits
• Context for defining sustainable water use
• Framework for stakeholder engagement
• Built internal capacity to manage water risks
• Identified cost reduction opportunities
• Helped communicate sustainability ethos and
credentials to customers
• Recognised by major customer McDonalds as
global leader on water in their supply chain.

15. Case study: Agriculture in Peru
1515
CONTEXT
 Asparagus production in
Peru’s dry coastal belt
 Peru is the world’s largest
fresh asparagus exporter
CATCHMENT ISSUES
 Balancing demand, export
earnings and catchment
sustainability
BENEFITS
 Framework for engaging water stakeholders
 Improved capacity to understand & manage water risk
 Replication amongst other growers & crops (e.g. avocado)
 Staying ahead of buyer expectations/demands (e.g.
European retailers)

16. 1616
Case study: Mining in South Africa
BENEFITS
 Framework for engaging water stakeholders
 Improved capacity to understand & manage water risk
 Replication amongst other growers & crops (e.g.
avocado)
 Staying ahead of buyer expectations/demands (e.g.
European retailers)
CONTEXT
 Mining site with sever environmental
degradation
 Impacts Orange &Limpopo Basins
 Urbanisation - close to Jo’burg
SITE CHALLENGES
 Water quality: contaminated run-
off tailings dams
 Stakeholder relations: Moving
from conflict to cooperation in a
highly contested political setting

17. Africa – Horticulture Supply Chain
3/02/2015
1
7

18. Case study: Cleaner production China
1818
CONTEXT
 Chemical production
 Taicang Industrial Estate (Yangtze
River – lakes including Lake Taihu)
CATCHMENT ISSUES
 Water quality: cumulative industrial
impacts
EXPECTED BENEFITS
 Heightened engagement with water challenges
 Improved efficiencies in a new production facility
 Reduced reputation risk through improved stakeholder relations
 Contributions to natural infrastructure
SITE CHALLENGES
 Water balance: Data availability
 Stakeholder relations

19. © AWS. All Proprietary Rights Reserved and Enforced
AWS Founding Partners
19

20. Further information
2020
Adrian Sym
Executive Director
Alliance for Water Stewardship
adrian@allianceforwaterstewardship.org
Michael Spencer
Chair
Alliance for Water Stewardship
michael@waterstewardship.org.au
Thank you