Water Europe (WE) has released a position paper calling for increased investments in water infrastructure, highlighting the strategic importance of water for Europe’s economy, security, and resilience. The paper urges the European Union (EU) to allocate significant funding to water-related initiatives in the upcoming Multiannual Financial Framework (MFF) for 2028-2034, aiming to secure the EU's future against rising water risks and ensure the long-term sustainability of its water systems.
Water, essential for economic activity, public health, and the environment, currently receives less than 3% of EU funding, a figure that falls short compared to other sectors like energy, transport, and defence. With water scarcity already affecting nearly 30% of the EU's territory, and global water demand projected to increase by 30% by 2050, the need for targeted investments is pressing. According to the position paper, Europe could face GDP losses of up to €500 billion by 2050 due to water stress if action is not taken.
The position paper outlines several recommendations for the next MFF, urging the EU to prioritize water investments that promote resilience, economic growth, and competitiveness. These include:
Investing in water resilience: Water Europe emphasizes the importance of blending public and private investments to close the financial gap for water-related infrastructure. The paper suggests using blended finance mechanisms and platforms like InvestEU to accelerate funding and stimulate private capital in water resilience projects.
Digitalization and innovation: The paper stresses the need for greater support in water sector digitalization, proposing dedicated funds to develop digital water governance. Investments in technologies like Digital Twins and the Water Data Management Ecosystem (WDME) would improve the monitoring of water systems, enhance risk anticipation, and boost compliance with EU water quality standards.
Dual-use infrastructure: Recognizing the rising need for water in industrial sectors, the paper calls for prioritizing investments in water-efficient industrial supply chains, particularly for sectors critical to the green transition, such as renewable hydrogen production and electric vehicle battery manufacturing.
Global water challenges: The paper also highlights the EU's role in addressing global water issues, urging the EU to dedicate funds under the "Global Europe" initiative to fulfill commitments made during the 2023 UN Water Conference. This includes ensuring access to safe drinking water and sanitation for the global population.
By aligning with the EU's broader goals of climate resilience, economic competitiveness, and defence preparedness, the paper argues that water investments are not a cost but a strategic investment in Europe's future. With an estimated €855 billion needed globally in water investments over the next decade, Water Europe calls on the EU to prioritize water in the MFF to safeguard against future water crises and enhance Europe’s leadership in global water innovation.
