Water crisis looming
China’s demand for clean water is projected to rise to 585 billion cubic metres per day by 2010. That is equivalent of 1,000 times the volume of water approaching Niagara Falls’ during peak flow season each day..
Amongst the BRIC developing countries, India’s and China’s water resources are very much below what will be needed to adequately support their populations.
Growing water scarcity and greater willingness by China’s central and local governments to utilize market-based mechanisms to resolve the problem are good news for Chinese water treatment firms such as China Everbright, China Water Affairs Group, Guangdong Investment, Beijing Capital Company and Tianjin Capital Environmental Protection Company. Opportunities also exist for foreign firms such as Véolia Water, Suez and Berlin Water, as they collaborate with municipalities in building or upgrading water treatment facilities.
Demand-based solutions that better manage demand and improve resource efficiency such as recycling and reclamation technologies or multi-tier pricing, will be in vogue. Supply-based solutions, such as desalinization (salt to fresh water conversion) or reallocation schemes (South-to-North Water Diversion) will continue apace.
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