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Harmony Analytics

Analyzing Water Withdrawal’s Implications

Water Withdrawal represents the entirety of water sourced by an organization within a given reporting timeframe. While this metric may have once held a secondary role, it has now taken center stage in strategic deliberations within corporate boardrooms.

Companies are confronted with the realization that scarcity of this vital resource can halt production, leading to disruptions in revenue generation. Simultaneously, evolving regulatory landscapes in different regions are imposing stricter controls on water usage, potentially creating barriers to market entry for businesses. Meeting these stringent regulations often compels them to make substation investments in cutting-edge equipment designed to minimize water consumption. Beyond these adaptive measures, the growing demand for water, contrasted by its diminishing supply, signals an inevitable rise in its costs.

Navigating challenges centered around water becomes essential in crafting a forward-looking investment roadmap.

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European Union

European Union

2019 – Regulation (EU) 2019/2088 (Sustainability)
2021 – Regulation (EU) 2021/1119 (European Climate Law)
2021 – Regulation (EU) 2019/2088 SFDR
2022 – Regulation (EU) 2020/852 (EU Taxonomy)
2024 – Corporate Sustainability Reporting Directive (CSRD)
2024 – European Green Deal
2024 – Corporate Sustainability Due Diligence Directive (CSDDD)

2020 – Guide on climate-related and environmental risks (Voluntary)

2019 – ESMA Guidelines on Disclosure Requirements Applicable to Credit Ratings (Voluntary)

United States of America

Securities and Exchange Commission (SEC)

2022 – The Enhancement and Standardization of Climate-Related Disclosures for Investors

2022 – Public Company Cybersecurity
2022 – Pay versus Performance
2024 – US SEC Climate Guidance

2012 – The California Transparency in Supply Chains Act

2018 – SB 826 Corporate Board and Gender Diversity (Voluntary)
2023 – SB 253 and SB 261: California Climate Disclosure Rules

2021 – NASDAQ’S BOARD DIVERSITY RULE

2024 – New York’s SB S897C and SB 5437-  climate-related financial disclosure (proposed)

2024 -Washington’s SB 6092 Environment, Energy & Technology disclosure (proposed)

2024 – Illinois’ HB 4268 (proposed)

2024 – Minnesota’s SF 2744 (proposed)

1972 – Clean Water Act

1966 – Civil Rights Act of 1964 (EEO 1 Component 1 report)