Energy firms pay least attention to their water management despite reporting the highest level of risk from them, according to a major poll of global firms including utilities, energy firms, IT, industrial and healthcare organisations. Just 36% of energy firms said that someone had oversight for water strategies on their board.
The report released by the Carbon Disclosure Project suggested the high risks of ignoring water issues. One example given was the $200 million that US electricity firm The Southern Company had to pay out in compensation for reduced hydroelectricity production during a drought.
The CDP Water Disclosure Global Report 2011 by Deloitte analysts, which included responses from Big Six energy firms E.ON, EDF and npower’s parent company RWE, also found the utilities sector has a relatively low percentage of firms with concrete targets for water use compared with other sectors.