Is our water future sustainable? Competition for scarce water resources Jeff Fulgham CSO Banyan...

Is our water future sustainable?Competition for scarce water resources

Jeff FulghamCSOBanyan Water

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TodayWater scarcity, bills, damage growing

Property owners underserved by fragmented vendors

TomorrowWater Steward: software & service for smart, remote mgmt.

Unique:• Team of industry leaders• Solution: 1st layer, smart grid for irrigation• Pipeline for rapid growth

“Water will become the single most important physical-commodity-based asset class” — Citigroup

GE to Banyan Water?

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Today’s focus

Global Water Challenges

Sustainability = risk mitigation

Water Sustainability Enablers

Sustainable Examples

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Assuring sustainable quantity

Improving water quality

Reducing energy consumption

Global water challenges

Can we change the outcome?

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Assuring sustainable quantity

Improving water quality

Reducing energy consumption

Global water challenges

Can we change the outcome?

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7

0

1,000

2,000

3,000

4,000

5,000

6,000

2010

4,500

Available supply

Billion m3

Global water withdrawals

2020

5,800

Gap

Demand >>> Supply

Decreasedemand

Increasesupply

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Assuring sustainable quantity

Improving water quality

Reducing energy consumption

Global water challenges

Can we change the outcome?

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Quality

TDS TSS

Hg

Se

As PN

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Assuring sustainable quantity

Improving water quality

Reducing energy consumption

Global water challenges

Can we change the outcome?

1111

Energy

UnconventionalGasOil Sands Mining

Power production

Energy production is thirsty!

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Alternate energy sources …carbon-water tradeoff?

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Public concern over environmental issues

Low High

Water availability

Frac water

Produced water

Truck traffic

Venting or flaring from completions/

workovers

Regional ozone

attainment

Quantity

Water rights

Land clearing

Wastewater treatment/

disposal

* Relative to conventional gas development

Water use

Air quality

Land disturbance

Related to frac process

Degree of public scrutiny*

Water issues take forefront of national debate

Chemical composition of

frac fluid

Source

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“Global water scarcity is one emerging risk that all companies should be focused on – and one about which investors need information. The combination of rising global populations, rapid economic growth in developing countries, and climate change is triggering enormous water availability challenges around the world. Electric power generators, food producers, and other water-intensive industries are especially vulnerable, both in their operations and their extensive supply chains.”

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Water risk factors

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Regulatory risks

Water rights

Tariffs

Discharge options

Stringent regulation

s

Ash ponds

Waste disposal

PermittingEmerging pollutants

• Wastewater reuse• Se, As, Hg removal• Zero Liquid Discharge• Cooling tower reuse• Water stewardship• Biological control

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Physical/Operational risks

Availability

Quality

Demand

Access/ Allocation

sEfficiency

Knowledge gaps

Outage impacts

Shift from air to water

• Alternate sources of supply

• Wastewater reuse• Desal … brackish,

seawater• Muni/industrial

wastewater reuse … BOO• Greywater expertise • Cooling water treatment

automation & control

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Reputational/Social risks

Brand impact

Media sensitivity

Supply chain

Compliance

violations

Employee impact

Long-term fate

• Site-specific water sustainability plan

• CSR support• Metrics & monitoring• Remote monitoring &

diagnostics• Environmental

stewardship• Aqueduct project

consortium • “Credit” for reuse

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Financial risks

Direct costs

Indirect costs

Energy costs

Water pricing

Bond rating

Waste treatment

“Next best”

alternative

Incentives

• Broader approach• Build, Own, Operate

options• Value Generation Process• Water reuse• Integrated Water Services• Alternate/renewable

energy• Waste to Value projects

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Water sustainability enablers

Technology

Economics

Policy

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Water sustainability enablers

Technology

Economics

Policy

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Human Hair(80 mm)

Removing contaminants from waterRelative particle size

1mm 10mm

H2O Na + Sucrose Hemoglobin Influenza Virus PseudomonasBacteria

StaphylococcusBacteria

100nm 10nm1nm0.1nm 10mm 100mm

ConventionalFiltration

Microfiltration

Ultrafiltration

ReverseOsmosis

1mm 10mm 100nm 10nm1nm0.1nm

Membrane technologies

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Extracting value from wastewater

Increasing Value for Recovery

• Water priced at true cost to supply, encouraging reuse

• Energy and materials cost expected to trend upward

What Drives Reuse?

Past: Water scarcity and environmental regulation

Future: Value recovery & continued regulation

Waste PondsDisposal Well

“Waste” stream

Efficient separations

MetalsEnergy

Water

Salts Nutrients

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Water recovery & energy reduction

Produced Water

70-85% Recovery 98% Recovery Beneficial Use

Membrane Based Systems

Thermal Evaporation,

Crystallization, Bio Polishing

Waste Water Recovery systems

Wastewater to value

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2003

Cost/m3

2010

RO processes

2012

New elements

2016

Waste heat water

recovery

2020

Nano high flux

membranes

Advanced desalination roadmap …

Continued cost reduction

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Water sustainability enablers

Technology

Economics

Policy

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Does the price of water reflect its true economic value?

Renew

able

wate

r re

sourc

es

per

capit

a

Total water + wastewater cost per m3 by country

High scarcity, low cost … where is the motivation to conserve?

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Water sustainability enablers

Technology

Economics

Policy

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Incentives & policy can drive change

Alberta: 70-90% reuse by 2012

Beijing: 100% reuse by 2015

Israel: 85% reuse today

90% by 2016

Saudi Arabia: 11% reuse today … 65% by 2016

Many countries taking action … US currently stalled

Spain: 11% reuse today … 40% by 2015

Water data source: GWIRenewables data source: REN21

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We never know the worth of water till the well is dry.

~Thomas Fuller

Jeff@banyanwater.com

Twitter: @H2OSustain