Benchmarking Water Use in a High-Stakes Business Climate

New index helps companies measure and improve water efficiency

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As global water systems strain under demand that’s set to outpace supply by over 50% by 2030, operational water efficiency is becoming non-negotiable for industries that rely on high-volume usage. This shift is especially urgent for sectors like food and beverage, agriculture, power generation, and data infrastructure—where performance is increasingly constrained by water access.

This urgency is the context for the launch of the Water Use Efficiency Index, a new benchmarking tool developed by Ecolab and CDP, introduced during the World Economic Forum in Davos. The Index gives companies a clearer view of where they sit on the spectrum of water efficiency—by comparing facility and enterprise-level performance to industry-specific benchmarks.

The core idea: efficiency metrics grounded in operational data, not aspirational reporting. Where previous tools often stopped at disclosure, the Index is designed to connect data to action—pinpointing how far a company is from best-in-class performance and identifying where investment in reuse or process optimization can close that gap.

From Data to Direction: Defining What 'Good' Looks Like

The Index pulls from a significant pool of industry-level data, combining CDP’s repository of over 10,000 corporate water disclosures with operational benchmarks from Ecolab’s global client base—spanning 40 industries and operations in 170 countries. Trade association figures round out the analysis, helping to validate sector-wide patterns.

In its pilot phase, the Index focuses on the Beverage and Brew segment, where water intensity is especially high. For carbonated beverages, benchmarks are now clearly defined—approximately 1.2 to 1.4 liters of water per liter of product at the facility level, and 1.5 to 1.8 liters at the enterprise level. Comparable ranges are established for other beverage categories in hectoliters.

Unlike previous frameworks that primarily highlighted risk exposure or total water use, this Index offers peer-based comparability, helping companies understand how their operational water footprint measures up—down to specific facilities and processes.

And in a time where energy costs and environmental risks are mounting, improved water efficiency isn’t just a sustainability win—it’s a cost control and business continuity strategy. In many industrial environments, up to three-quarters of energy use is tied to water-related processes. Efficiency directly translates into reduced energy demand, lower emissions, and higher resilience.

As data centers and AI infrastructure ramp up global water use further, the need for credible, actionable metrics is growing fast. The Water Use Efficiency Index gives business leaders a baseline for smarter investment and more defensible ESG performance—without over-promising or oversimplifying what real progress looks like.

Environment + Energy Leader