Thematic Process T.2.2.3
Putting the water-energy nexus into practice. Economic and policy incentives
- · Coordinator :
- International Water Association(IWA),International Union for the Conservation of Nature(IUCN) and United Nations Economic Commission for Europe(UNECE)
Energy supports water treatment and distribution, while water supports the production of energy such as hydropower and cooling of thermal power plants. Other sectors such as the extractives industry and food production require both energy and water. As populations increase and the climate becomes increasingly unpredictable, the demands on these finite resources threaten to push the limits of what the environment can sustain.
Governments, civil society as well as the private sector recognize that a longer-term view on managing water is needed, which means understanding the strategic and economic value of this limited resource. Good policies and incentives help to move towards more efficient, cost-effective and sustainable provision of water and energy services. The public sector can create an attractive enabling environment which mitigates risk and provides incentives for cross-sectoral collaboration, ensures participation and consideration of different interests, including maintaining a healthy environment; and the private sector needs to bring forward innovative approaches including financing mechanisms such as venture capital funds, eco-compensation and public-private partnerships.
This session explores how institutional arrangements and a process of collaboration can develop joint solutions leading to shared benefits across the water, energy, food sectors. Experiences and examples of reconciling different water uses from the local to transboundary level will be shared.
- Keywords :
- Agriculture & Irrigation, Energy & Hydropower, Governance, Nexus, Partnership & Cooperation, Water Industry
