Analyst Articles

#-ad_banner-#The twin pillars of global population growth and economic development are leading to concerns about water scarcity. In the inaugural article of this three-part series, I painted the issue in broad strokes. Part two delved into the world of irrigation technology and how outdated and inefficient methods are slowing being replaced with modern, conservation-oriented systems. Agriculture and irrigation currently account for a bulk of water usage and that is unlikely to change (for the better) any time soon. Over the course of coming decades, natural fresh water sources will be depleted in various regions across the world, and the only… Read More

#-ad_banner-#The twin pillars of global population growth and economic development are leading to concerns about water scarcity. In the inaugural article of this three-part series, I painted the issue in broad strokes. Part two delved into the world of irrigation technology and how outdated and inefficient methods are slowing being replaced with modern, conservation-oriented systems. Agriculture and irrigation currently account for a bulk of water usage and that is unlikely to change (for the better) any time soon. Over the course of coming decades, natural fresh water sources will be depleted in various regions across the world, and the only solution is to invest in efficient, renewable sources of potable water. However, at current spending levels, the world is ill prepared. In a 2009 report, the United Nations estimated that the annual global water infrastructure financing gap (between what is required and what is currently being spent each year) may be as high as $85 billion, with over a third of that attributed to developed Asia and China.  A Salty Problem Earth’s surface is dominated by water, 97% of which is salty. If even a fraction of that can be converted to drinkable water for municipal purposes and usable… Read More

With each passing year, access to clean, potable water is an increasingly contentious issue. In part one of this three-part series on water scarcity, I outlined the issue at hand. To recap, at current consumption rates, half the world’s population will be living in water-stressed areas within 15 years, and by 2050, water availability will fall by half. Farmers currently use roughly 70% of available fresh water, and more than half the water they use is lost to run-off and evaporation. #-ad_banner-#The only solution: Increased capital investment in water infrastructure, especially in agriculture. To understand which companies stand to benefit,… Read More

With each passing year, access to clean, potable water is an increasingly contentious issue. In part one of this three-part series on water scarcity, I outlined the issue at hand. To recap, at current consumption rates, half the world’s population will be living in water-stressed areas within 15 years, and by 2050, water availability will fall by half. Farmers currently use roughly 70% of available fresh water, and more than half the water they use is lost to run-off and evaporation. #-ad_banner-#The only solution: Increased capital investment in water infrastructure, especially in agriculture. To understand which companies stand to benefit, you must first analyze the current state of irrigation technology. Replacing The Old World The most common irrigation is gravity-based system, referred to as furrow irrigation, which involves water running down slight declines in canals. This process is inefficient and often leads to overwatering and wasted resources. Increasingly, this technique is being replaced by pivot, lateral and drip irrigation systems, which reduce weed growth and increase crop yields by providing optimal water levels to the plant’s roots. These systems are aided by automated wireless and GPS monitoring systems that release water at times of the day when less water… Read More

#-ad_banner-#Although the Earth has more water than land, only 1% of the vital liquid is actually potable. Across the globe, limited supplies of clean water are in danger as demand surges. The only solution: better management of existing fresh water and cheaper, more efficient methods of turning undrinkable water into pure H2O. Welcome to a three-part look at this vital issue. The problem will not be solved overnight (or any time soon), making this a long-term source of global concern, while generating serious profits for savvy investors. Today’s essay is an overview of the topic. Part two centers on companies… Read More

#-ad_banner-#Although the Earth has more water than land, only 1% of the vital liquid is actually potable. Across the globe, limited supplies of clean water are in danger as demand surges. The only solution: better management of existing fresh water and cheaper, more efficient methods of turning undrinkable water into pure H2O. Welcome to a three-part look at this vital issue. The problem will not be solved overnight (or any time soon), making this a long-term source of global concern, while generating serious profits for savvy investors. Today’s essay is an overview of the topic. Part two centers on companies working to improve irrigation techniques. The final piece focuses on desalination and the companies reducing costs and improving efficiency in the industry. Water, Water, Everywhere The ongoing drought in California has brought home a clear reality for many Americans. Although residents of the nation’s most populous state will never die of thirst, their ability to serve as one of the nation’s primary agricultural hubs has become imperiled. Pull back the lens to a global scale and the problem is more apparent: agriculture accounts for approximately 70% of total global water consumption.  Source: International Fund for… Read More