{"id":1182,"date":"2022-08-29T12:52:00","date_gmt":"2022-08-29T12:52:00","guid":{"rendered":"https:\/\/jenoa.com\/?post_type=insights&#038;p=1182"},"modified":"2023-03-13T06:36:10","modified_gmt":"2023-03-13T06:36:10","slug":"solving-the-problem-of-water-scarcity","status":"publish","type":"insights","link":"https:\/\/jenoa.com\/en\/insights\/solving-the-problem-of-water-scarcity\/","title":{"rendered":"Solving the problem of water scarcity . . ."},"content":{"rendered":"\n<p>The Middle East and North Africa (MENA) region is facing a water crisis. &nbsp;With demand rising and supply dwindling, the most water-scarce region on the planet is in danger of running dry.<\/p>\n\n\n\n<p>Governments are investing in solutions to increase water supply and safety, including a range of desalination technologies, water and waste-water treatment and recycling, and with this large-scale investment, and its inherent risk, comes a key role for reinsurance.<\/p>\n\n\n\n<p>In this JENOA insights article, we look at the scale of the problem and the projects being developed to solve it.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span style=\"color:#9594D2\" class=\"color\">A worsening crisis?<\/span><\/h2>\n\n\n\n<p><a href=\"https:\/\/alj.com\/en\/perspective\/waters-of-life\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span style=\"color:#CC99FF\" class=\"color\">Water <\/span><\/a>\u2013 not oil \u2013 is undoubtedly our most <a href=\"https:\/\/alj.com\/en\/perspective\/oceans-of-opportunity-managing-our-most-prized-resource\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span style=\"color:#CC99FF\" class=\"color\">precious resource<\/span><\/a>.&nbsp; The MENA region includes 12 of the world\u2019s 15 water-scarce countries \u2013 those with an average of less than 1,000 cubic metres of water per person, per year (other geographical regions average 7,000).<a id=\"_ftnref1\" href=\"#_ftn1\"><span style=\"color:#CC99FF\" class=\"color\">[1]<\/span><\/a><a id=\"_ftnref2\" href=\"#_ftn2\"><span style=\"color:#CC99FF\" class=\"color\">[2]<\/span><\/a> &nbsp;It is home to 6.3% of the world\u2019s population, yet only accounts for 1.4% of its renewable freshwater.<a id=\"_ftnref3\" href=\"#_ftn3\"><span style=\"color:#CC99FF\" class=\"color\">[3]<\/span><\/a><\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"920\" height=\"800\" src=\"https:\/\/jenoa.com\/wp-content\/uploads\/2022\/08\/JENOA-Insights-11-Water-resource-management_MAP-IMAGE.jpg\" alt=\"A World Map Showing the Average Exposure of Water Users in Each Country to Water Stress\" class=\"wp-image-1186\" srcset=\"https:\/\/jenoa.com\/wp-content\/uploads\/2022\/08\/JENOA-Insights-11-Water-resource-management_MAP-IMAGE.jpg 920w, https:\/\/jenoa.com\/wp-content\/uploads\/2022\/08\/JENOA-Insights-11-Water-resource-management_MAP-IMAGE-300x261.jpg 300w, https:\/\/jenoa.com\/wp-content\/uploads\/2022\/08\/JENOA-Insights-11-Water-resource-management_MAP-IMAGE-768x668.jpg 768w, https:\/\/jenoa.com\/wp-content\/uploads\/2022\/08\/JENOA-Insights-11-Water-resource-management_MAP-IMAGE-250x217.jpg 250w\" sizes=\"auto, (max-width: 920px) 100vw, 920px\" \/><\/figure>\n\n\n\n<p>The region also has the world\u2019s highest per capita freshwater extraction rate of 804 cubic metres per year<a id=\"_ftnref4\" href=\"#_ftn4\"><span style=\"color:#CC99FF\" class=\"color\">[4]<\/span><\/a> and uses more than 75% of its renewable water resources. &nbsp;And, with availability expected to dramatically reduce in future years, two-thirds of MENA countries could have less than 200 cubic metres of renewable water resources per capita per year by 2050.<\/p>\n\n\n\n<p>The shortage is being driven by a surge in demand from MENA\u2019s ever-growing population which has grown from 173.4 million in 1970, and is expected to reach 568 million by 2025,<a id=\"_ftnref5\" href=\"#_ftn5\"><span style=\"color:#CC99FF\" class=\"color\">[5]<\/span><\/a> as birth rates rise and the migration from rural to urban areas increases due to the impact of climate change. &nbsp;More frequent and severe weather events, such as droughts and flash floods, have destroyed property, crops, and livelihoods, adding to the pressure on water supply.<\/p>\n\n\n\n<p>With the region\u2019s average temperature rising 1.5 degrees Celsius since 1990<a id=\"_ftnref6\" href=\"#_ftn6\"><span style=\"color:#CC99FF\" class=\"color\">[6]<\/span><\/a> &#8211; more than twice the global average &#8211; the problem is only going to get worse, with shorter and warmer winters and hotter and drier summers. &nbsp;Furthermore, with rainfall declining and evaporation rising, the region\u2019s internal renewable water is forecast to reduce by around four percent by 2050, with between 80-90 million residents experiencing water insecurity by 2025.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"790\" height=\"600\" src=\"https:\/\/jenoa.com\/wp-content\/uploads\/2022\/08\/JENOA-Insights-11-Water-resource-management_GRAPH-IMAGE.jpg\" alt=\"A Line Chart Climate Trends from 1951-2019\" class=\"wp-image-1189\" srcset=\"https:\/\/jenoa.com\/wp-content\/uploads\/2022\/08\/JENOA-Insights-11-Water-resource-management_GRAPH-IMAGE.jpg 790w, https:\/\/jenoa.com\/wp-content\/uploads\/2022\/08\/JENOA-Insights-11-Water-resource-management_GRAPH-IMAGE-300x228.jpg 300w, https:\/\/jenoa.com\/wp-content\/uploads\/2022\/08\/JENOA-Insights-11-Water-resource-management_GRAPH-IMAGE-768x583.jpg 768w, https:\/\/jenoa.com\/wp-content\/uploads\/2022\/08\/JENOA-Insights-11-Water-resource-management_GRAPH-IMAGE-250x190.jpg 250w\" sizes=\"auto, (max-width: 790px) 100vw, 790px\" \/><\/figure>\n\n\n\n<p>Such is the extent of the problem that 120 disasters were recorded in the region in the last five years alone,<a id=\"_ftnref7\" href=\"#_ftn7\"><span style=\"color:#CC99FF\" class=\"color\">[7]<\/span><\/a> resulting in an annual average of US$ 1 billion of damages and losses. Reflecting this, water and extreme weather and natural resource crisis were cited among the top 10 global risks by the World Economic Forum.<a id=\"_ftnref8\" href=\"#_ftn8\"><span style=\"color:#CC99FF\" class=\"color\">[8]<\/span><\/a><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span style=\"color:#9594D2\" class=\"color\">What is being done about the problem?<\/span><\/h2>\n\n\n\n<p>Governments are working with businesses and non-governmental organisations, in <a href=\"https:\/\/alj.com\/en\/spotlight-by-fady-jameel\/investing-in-tomorrows-potential-why-climate-and-water-demand-a-more-holistic-approach\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span style=\"color:#CC99FF\" class=\"color\">public-private partnerships<\/span><\/a>, to develop strategies to increase access to water, while improving the management of existing supplies. &nbsp;The <a href=\"https:\/\/www.arabwatercouncil.org\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span style=\"color:#CC99FF\" class=\"color\">Arab Water Counc<\/span><\/a><a href=\"https:\/\/www.arabwatercouncil.org\/\"><span style=\"color:#CC99FF\" class=\"color\">il<\/span><\/a>, for example, has developed six policy briefs for non-conventional water resources (NCWR), including enhanced policy framework; a legal and institutional enabling environment; technical capacity building; social consideration, and economic and financial measures towards NCWR development and management in the region.<\/p>\n\n\n\n<p>Desalination has become one of the fastest adopted methods for increasing supply. &nbsp;Extracting salts and other materials, from seawater, provides a clean, reliable and, at least practically speaking, potentially <a href=\"https:\/\/alj.com\/en\/spotlight-by-fady-jameel\/past-the-salt-the-future-of-water-desalination\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span style=\"color:#CC99FF\" class=\"color\">infinite water source<\/span><\/a><span style=\"color:#CC99FF\" class=\"color\">.<\/span> &nbsp;With the increasing adoption of renewable energy sources in the region, in particular, solar and wind power, together with utility-scale battery energy storage solutions, desalination can become a <a href=\"https:\/\/alj.com\/en\/perspective\/fresh-water-fresh-ideas-can-renewable-energy-be-the-future-of-desalination\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span style=\"color:#CC99FF\" class=\"color\">wholly sustainable and renewable water solution<\/span><\/a>.<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"627\" height=\"418\" src=\"https:\/\/jenoa.com\/wp-content\/uploads\/2022\/08\/Shuqaiq-3-IWP.png\" alt=\"Shuqaiq 3 a Desalination Plant, on the Red Sea Coast of Saudi Arabia\" class=\"wp-image-1192\" srcset=\"https:\/\/jenoa.com\/wp-content\/uploads\/2022\/08\/Shuqaiq-3-IWP.png 627w, https:\/\/jenoa.com\/wp-content\/uploads\/2022\/08\/Shuqaiq-3-IWP-300x200.png 300w, https:\/\/jenoa.com\/wp-content\/uploads\/2022\/08\/Shuqaiq-3-IWP-250x167.png 250w\" sizes=\"auto, (max-width: 627px) 100vw, 627px\" \/><figcaption class=\"wp-element-caption\">Shuqaiq 3 IWP, on the Red Sea Coast of Saudi Arabia\u2019s Jizan Province, an US$ 800m investment providing 450m3\/day.<\/figcaption><\/figure><\/div>\n\n\n<p>MENA has already established itself as a global leader in the process, with seawater desalination contributing to more than 90% of the Gulf Cooperation Council\u2019s daily water requirements. &nbsp;The Gulf States account for 60 per cent of the world\u2019s desalination capacity, with half of that in Saudi Arabia alone, thanks to its facilities on the Red Sea and the Gulf of Aden. &nbsp;One of the most notable of these, the <a href=\"https:\/\/alj.com\/en\/perspective\/shuqaiq-3-a-pipeline-full-of-potential\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span style=\"color:#CC99FF\" class=\"color\">Shuqaiq 3<\/span><\/a> desalination <span style=\"color:#CC99FF\" class=\"color\"><a href=\"https:\/\/alj.com\/en\/perspective\/shuqaiq-3-an-oasis-of-opportunity\/\" target=\"_blank\" rel=\"noreferrer noopener\">plant<\/a>,<\/span> has a nominal daily <a href=\"https:\/\/alj.com\/en\/perspective\/shuqaiq-3-pushing-the-boundaries-of-innovation\/\"><span style=\"color:#CC99FF\" class=\"color\">p<\/span><\/a><a href=\"https:\/\/alj.com\/en\/perspective\/shuqaiq-3-pushing-the-boundaries-of-innovation\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span style=\"color:#CC99FF\" class=\"color\">roduction<\/span><\/a> capacity of 450,000 cubic metres.<\/p>\n\n\n\n<p>Saudi Arabia has recently announced more than 60 water projects worth some US$ 9.3 billion.<a id=\"_ftnref9\" href=\"#_ftn9\"><span style=\"color:#CC99FF\" class=\"color\">[9]<\/span><\/a> These will triple daily desalination capacity from 2.54 million cubic metres of water in 2021, to over 7.5 million by 2027. &nbsp;In line with the Country\u2019s <span style=\"color:#CC99FF\" class=\"color\"><a href=\"https:\/\/www.mewa.gov.sa\/en\/Ministry\/Agencies\/TheWaterAgency\/Topics\/Pages\/Strategy.aspx\" target=\"_blank\" rel=\"noreferrer noopener\">National Water Strategy 2030<\/a>,<\/span> published in 2018, it is also developing a network of 147 small sewage treatment plants to recycle wastewater.<\/p>\n\n\n\n<p>Alternative water production techniques include qanats and rainwater harvesting, sequential water use, and water trading. &nbsp;Qanats, which are predominantly used in Iran, consist of a series of tunnels bored into a cliff or mountain, which collect water. &nbsp;Elsewhere, rainwater is diverted from roofs, cisterns and other sources into ponds and reservoirs.<\/p>\n\n\n\n<p>Sequential water use involves capturing and treating water that has been used in one sector for consumption in another. &nbsp;For example, urban wastewater can be treated and channeled from urban areas onto nearby farms. &nbsp;Water can also be transported between different regions by boat, pipeline and trucks.<\/p>\n\n\n\n<p>Protecting these new resources and the people who rely on them against the risk of climate induced catastrophe and\/or breakdown will require tailor-made insurance and reinsurance solutions. &nbsp;Parametric Insurance, which triggers a pre-specified payout based on the magnitude of any specific event, and microinsurance are emerging as popular products.<\/p>\n\n\n\n<p>They have been particularly effective for farmers and small businesses, enabling them to recover quicker losses caused by the increase in extreme weather events. &nbsp;Risk modelling has also improved the prediction of such events, enabling re\/insurers to work more effectively with governments and businesses to develop robust risk management and prevention strategies to address the problem.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span style=\"color:#9594D2\" class=\"color\">More efficient use<\/span><\/h2>\n\n\n\n<p>With 85% of MENA\u2019s water used for irrigation in agriculture,<a id=\"_ftnref10\" href=\"#_ftn10\"><span style=\"color:#CC99FF\" class=\"color\">[10]<\/span><\/a> where its average use efficiency is only 50-60%, big improvements are required. &nbsp;<a href=\"https:\/\/alj.com\/en\/news\/almar-water-solutions-becomes-a-shareholder-of-digital-transformation-company-datakorum\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span style=\"color:#CC99FF\" class=\"color\">Smart technology<\/span><\/a>, such as drip systems, can be used to control the amount of water used and where it\u2019s allocated. &nbsp;Growing crops using hydroponics, focusing on less water-intensive crops and adding fertiliser to the water can also free up water to be used in other areas.<\/p>\n\n\n\n<p>Building codes that mandate water conservation as part of the design and construction must also be introduced, while faulty or leaking distribution systems need to be repaired or replaced.<\/p>\n\n\n\n<p>On a wider scale, authorities will need to implement new <a href=\"https:\/\/alj.com\/en\/perspective\/water-reuse-is-a-big-opportunity-just-going-to-waste\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span style=\"color:#CC99FF\" class=\"color\">legislative and regulatory policies<\/span><\/a> governing how water is used and managed, following in the footsteps of pioneers such as Egypt, Jordan and Palestine, which have all approved national water resources plans.<\/p>\n\n\n\n<p>Concerted government education programmes on water conservation in schools and public centres can also encourage people to be more environmentally responsible and proactively reduce their daily water consumption. This can be backed up with the installation of smart meters and technology in homes and offices to monitor and optimise usage.<\/p>\n\n\n\n<p>Governments are recognising the need to work together to address the issue. &nbsp;In November 2021, Jordan, Israel and the Palestinian Authority formed the Water-Energy Nexus, a regional water and energy pact aimed at maximising natural resources usage.<\/p>\n\n\n\n<p>With MENA hosting the next two COP climate summits, in Egypt\u2019s <a href=\"https:\/\/cop27.eg\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span style=\"color:#CC99FF\" class=\"color\">Sharm El-Sheikh<\/span><\/a> this year and the <span style=\"color:#CC99FF\" class=\"color\"><a href=\"https:\/\/english.alarabiya.net\/News\/gulf\/2022\/06\/22\/UAE-to-host-COP28-Climate-Summit-at-Dubai-Expo-City\" target=\"_blank\" rel=\"noreferrer noopener\">UAE<\/a> <\/span>in 2023, the region has a golden opportunity to set the agenda for water conservation and management worldwide \u2013 and ultimately help to sustainably safeguard its future<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Middle East and North Africa (MENA) region is facing a water crisis.  With demand rising and supply dwindling, the most water-scarce region on the planet is in danger of running dry.  In this JENOA insights article, we look at the scale of the problem and the projects being developed to solve it.<\/p>\n","protected":false},"featured_media":1195,"template":"","class_list":["post-1182","insights","type-insights","status-publish","has-post-thumbnail","hentry"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.9 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Solving the problem of water scarcity . . . - JENOA\u00ae<\/title>\n<meta name=\"description\" content=\"The Middle East and North Africa (MENA) region is facing a water crisis. With demand rising and supply dwindling, the most water-scarce region on the planet is in danger of running dry. 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With demand rising and supply dwindling, the most water-scarce region on the planet is in danger of running dry. 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