The water crisis in Europe - How its waste "amplifies" climate challenges and costs millions of euros?
Water waste is “exacerbating” the climate crisis and undermining economic sustainability. A new report from Danfoss warns that energy consumption by the water sector is expected to double by 2040, while water demand from the power sector could increase by almost 60 percent.
Global demand for water could also exceed supply by 40 percent within the next five years, in addition to the 3.6 billion people who already lack sufficient access year-round. Every stage of the water cycle requires energy: from extraction and treatment to distribution and use. Currently, the energy sector is responsible for about 14 percent of global fresh water use.
Most of it is used in food and products, while only a small part is cleaned and returned to nature. This mutual dependence means that the load on one system directly affects the other. For example, power shortages can limit water supply operations, while droughts and heat waves can hamper energy production. Experts argue that Europe can no longer treat these systems in isolation.
Neglecting water and energy use problems could lead to high costs and reduce Gross Domestic Product by up to 8 percent in high-income countries or 10-15 percent in low-income countries by 2050. So far, global water-related challenges have added an estimated $9.6 billion to energy sector spending.
Data centers are one of the largest consumers, with around 560 billion liters of water per year, and this could double to 1,200 billion liters by 2030, six times the total water used by the EU in 2022.
In Europe, most of the bloc's member states will have to spend between 500 and 1,000 euros more per person by 2030 on water supply and sanitation services, just to comply with existing water regulations.
In addition to the financial impacts, the water crisis threatens public health, infrastructure stability, and geopolitical security. However, existing technological solutions can help strengthen water and energy efficiency. This requires ambitious regulations, water efficiency targets, and investments in proven technologies such as leak detection, smart meters, and pressure management.
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