Water-literate individuals and communities expect the businesses they support to show water-valuing behaviours and attitudes.
To allow the community to engage with businesses they support, and shareholders with businesses they own, the coverage of water in Australian environment, social and governance reporting requires greater emphasis.
Organisations that operate in water-intensive industries should be encouraged to meet the expectations of water-literate customers and shareholders through greater accountability of their water consumption and water efficiency practices. This may include information on water consumption and water reduction and efficiency activities, where water is sourced or extracted, how it is used, including any recycling or reuse, and details on water disposal.
Industry reports suggest that only around one-third of Australian companies have water efficiency policies, with Just 11% holding specific targets.24
Lack of shareholder and market interest is a key barrier to improving water efficiency policies and reporting.25 To overcome these barriers, companies, including superannuation and public investors, should engage with shareholders in contextualising water risks to their business and disclose meaningful water data in environmental, social and governance reporting.26