At least one in five multinationals in the most water-intensive sectors is already experiencing damage to their business from drought and other shortages, flooding, and rising prices. This is one of the findings in a new report released by the Carbon Disclosure Project (CDP). Nearly 150 companies responded to a survey conducted by the CDP Water Disclosure programme, of which 39% said they are “already experiencing detrimental impacts relating to water including disruption to operations from drought or flooding, declining water quality necessitating costly on-site pre-treatment, and increases in water prices, as well as fines and litigation relating to pollution incidents”.
Companies most at risk are in the food and drink, tobacco, and metals and mining sectors.
Water security is already high on the corporate agenda with 67% reporting responsibility for water-related issues at the board or executive committee level. The majority of companies (89%) have already developed specific water policies, strategies and plans, and 60% have set water-related performance targets.
Although most of the companies surveyed were from developed countries, several were based in emerging markets such as China, India, South Africa and Colombia.
 Environmental Resource Management (ERM) (2010). CDP Water Disclosure 2010 global report : On behalf of 137 investors with assets of US$16 trillion. London, UK, Carbon Disclosure Project. 50 p.
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Related web site: Carbon Disclosure Project – CDP Water Disclosure