Source: EURLEX
Language: en
Format: md

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| European flag | Official Journal  of the European Union | EN  C series |

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|  | C/2024/4659 | 9.8.2024 |

Opinion of the European Economic and Social Committee

Industrial and technological approaches and best practices supporting a water-resilient society

(exploratory opinion requested by the European Commission)

(C/2024/4659)

Rapporteur:

Florian MARIN

Co-rapporteur:

John BRYAN

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| Advisor | Kevin KINSELLA (to the Cat. 3 rapporteur)  Josef SCHNAITL (to the Group I rapporteur) |
| Referral | 11.12.2023 |
| Legal basis | Article 304 of the Treaty on the Functioning of the European Union |
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| Section responsible | Consultative Commission on Industrial Change |
| Adopted in section | 15.5.2024 |
| Adopted at plenary session | 30.5.2024 |
| Plenary session No | 588 |
| Outcome of vote (for/against/abstentions) | 215/2/2 |

1.   Conclusions and recommendations

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|  | 1.1. | A stand-alone strategy and an action plan on water is needed in order to ensure water resilience, security and sustainability. This requires the proper implementation of an EU Blue Deal in the future, which will complement the EU Green Deal. This opinion responds to a request from the European Commission to adopt an exploratory opinion to deepen the analysis conducted in CCMI/208 [(1)](#ntr1-C_202404659EN.000101-E0001) focusing on the implementation of the Blue Deal guiding principles (7, 9, 10, 11 and 12) and actions (7, 8, 9, 10; and 14 to 17) relating to industry [(2)](#ntr2-C_202404659EN.000101-E0002). |

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|  | 1.2. | Industrial and technological approaches and best practices supporting a water-smart society must be firmly structured around a comprehensive sustainable water management policy for an industry based on reducing, reusing and recycling water; increasing storage; decreasing water pollution; and including the incremental introduction and use of water-efficient technologies [(3)](#ntr3-C_202404659EN.000101-E0003), while also ensuring a just transition that safeguards industrial competitiveness. |

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|  | 1.3. | In order to integrate water in a revised industrial policy and in the transition pathways, we need to:  |  |  | | --- | --- | | — | adopt a revised industrial strategic framework, including a modified funding framework for infrastructure, skills (human dimension roadmap), technologies and research, aimed at addressing water challenges in parallel with the decarbonisation policy (e.g. Blue Transition Fund) and supporting industrial competitiveness. This revision should offer the opportunity to propose a new industrial deal to offer European industry a consolidated strategy that responds to the multiple challenges it faces (on water, energy, critical raw materials, digitalisation and strategic autonomy) within four years, and develop water plans at water basin, local, national and European level; |  |  |  | | --- | --- | | — | include a human (skills, lifelong learning) dimension roadmap in the revised industrial strategy to ensure the availability of the human resources needed to master the industrial changes at stake; |  |  |  | | --- | --- | | — | protect quality jobs and decent working conditions in situations of water scarcity; |  |  |  | | --- | --- | | — | adopt a sectoral approach through the revision within two years of the industrial transitional pathways; |  |  |  | | --- | --- | | — | identify water-intensive industries and devise tailored action plans to assist them to become incrementally water-sustainable; |  |  |  | | --- | --- | | — | review and classify industries, taking into account their importance for society in order to ensure water access for the most critical industries during crisis situations; |  |  |  | | --- | --- | | — | prioritise food sovereignty and food security and protect jobs and working conditions in situations of water scarcity; |  |  |  | | --- | --- | | — | respect a specific net extraction target for fresh water in any given water basin; |  |  |  | | --- | --- | | — | explore and develop a non-bureaucratic European water quota mechanism similar to the emissions trading system (ETS) and based on sectoral supply and demand, and a water border mechanism, as well as a more prominent role for water under EMAS certification and in eco-design schemes. | |

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|  | 1.4. | In order for an industry to become water-efficient, reducing water consumption and treating and recycling water, it must:  |  |  | | --- | --- | | — | develop a European water data management ecosystem; |  |  |  | | --- | --- | | — | measure water consumption throughout production processes; |  |  |  | | --- | --- | | — | minimise the use of drinking water for industrial purposes; |  |  |  | | --- | --- | | — | map the actual state of the EU sewage infrastructures and develop a modernisation plan; |  |  |  | | --- | --- | | — | define standards and SMART [(4)](#ntr4-C_202404659EN.000101-E0004) performance objectives concerning water use at sector and company level; |  |  |  | | --- | --- | | — | designate a trained team of people (management and personnel) responsible for water efficiency in industrial plants, ensure regular communication with employees and provide water literacy training; |  |  |  | | --- | --- | | — | share best industrial practices and technological approaches using the Blue Deal stakeholder platform to encourage their uptake. | |

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|  | 1.5. | Proposals to promote a European water-efficient technology sector include:  |  |  | | --- | --- | | — | mapping out existing water-efficient technologies; |  |  |  | | --- | --- | | — | devising a transitional pathway to develop the clean and water-efficient tech sector, including a human dimension roadmap to ensure the availability of the required skills, quality jobs and decent working conditions. | |

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|  | 1.6. | Implementing the EU Blue Deal transition fund in the industrial field will require:  |  |  | | --- | --- | | — | the provision of multiannual and multifund EU and national, public and private funds, including grants and loans; |  |  |  | | --- | --- | | — | the water knowledge and innovation community (KIC) funded by the European Institute of Innovation and Technology (EIT), which is under preparation and which should be instrumental in addressing the gaps in education, research, innovation and entrepreneurship; |  |  |  | | --- | --- | | — | financially supporting the transition towards sustainable and resilient water infrastructures and water management; research and uptake of water-efficient technologies; and measures to provide access to high-quality and affordable water and sanitation. | |

2.   Embedding water in a revised industrial policy and industrial transition pathways

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|  | 2.1. | Water resilience can be defined as society’s ability to adapt and respond to changes in the availability of water resources forced by socio-ecological factors. Water resilience should be one of the objectives of a revised industrial strategy and of the EU Blue Deal. |

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|  | 2.2. | Principles 9 and 10 of the EU Blue Deal Declaration state that water should be a fundamental element of the EU industrial strategy. This should be adopted within a two-year timeframe. The Green Deal Industrial Plan mentions water only sporadically, while the Net Zero Industry Act does not mention it at all. A revised strategic framework is needed, including a dedicated multiannual investment plan and an adapted funding framework for water infrastructure, skills, technologies and research, aimed at addressing water challenges in parallel with the decarbonisation policy (action 10). This revised framework that would introduce a water dimension into industrial policy could provide an opportunity to propose a new industrial deal, offering European industry a consolidated strategy that responds to the challenges it faces concerning water, energy, critical raw materials, digitalisation and strategic autonomy. |

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|  | 2.3. | This industrial deal should include a human and social dimension, mapping the skills needed by industry to succeed in addressing water challenges. This human dimension roadmap should take into account the age pyramid. The ability to anticipate change through rigorous impact assessments and by developing adaptation measures (such as job-to-job transitions pathways) should be developed at national and local levels. |

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|  | 2.4. | The revision of the industrial transition pathways within two years should offer a sectoral approach to becoming water-efficient. Some industrial ecosystems could rapidly become water-efficient, given the existing technologies, whereas an incremental medium- to long-term approach will need to be adopted for other sectors that need more time to adapt. While ‘brown’ sectors such as aviation have sometimes struggled to obtain financial aid to decarbonise (especially during the COVID-19 pandemic), here it is crucial that the most water-consuming industries receive aid to gradually reduce their water consumption, through both financial support and strong support for research into clean technologies, taking into account the consumption of water, energy and critical raw materials. |

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|  | 2.5. | The European Economic and Social Committee (EESC) proposes identifying water-intensive industries within the resource- and energy-intensive industries, including the textile, steel, hotel, catering and tourism, garments, agriculture and food production, chemical, paper, energy, construction, mining, data centre and automotive industries. Given the particular challenges they will face with increasing water scarcity, water-intensive industries should benefit from tailored sectoral action plans coupled with financial support. This will help them to become incrementally more water sustainable through the introduction of the appropriate practices and technologies, provided they also have the required human resources. Past experiences have shown that when a proper strategy is put in place, even water-intensive sectors can improve their water efficiency. For instance, in one tourist resort in the Aegean Sea in Greece, rainwater is captured along with vapour through condensation units, which is then used for drinking. Wastewater generated by tourists is treated through constructed wetlands. This reclaimed water is then used to irrigate an organic permaculture garden to provide food for the guests [(5)](#ntr5-C_202404659EN.000101-E0005). |

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|  | 2.6. | Organised civil society should be consulted and participate, both at national and local levels, in developing the revised transition pathways, given their granular knowledge of the industrial constraints of a given sector. Sectoral social dialogue committees at European level should discuss the issue of water and sectoral action plans. Industrial sectors should define water performance indicators that they would commit to achieving gradually over time. These indicators should be traceable, progressive and reachable at the sectoral level. |

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|  | 2.7. | In a context of water scarcity, industries have to adapt their production in a way that prioritises human life and essential needs. Analysing and classifying industries, taking into account their importance for society, should be considered to ensure access to water for the most critical sectors during crisis situations. However, shortening the water supply to some industries in case of a water crisis is important for protecting the environment. Such decisions must be taken at the basin level, while considering the diversity of each sub-level basin. |

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|  | 2.8. | Water plans that include climate scenarios, population growth and risks (such as water pollution or overextraction) should be developed for all river basins. Critical water resources and water allocation regimes should be defined to effectively protect biodiversity while allowing economic activities to develop. In some regions, if limits in water supply need to be set, this must be done in an equitable and sustainable way. Decisions need to be taken on how water is shared between multiple uses and users, e.g. between consumers, farmers, food production and industry. Water rights will need to be established. Permits and licences should respect a specific net extraction target for fresh water based on water availability. It is important that we use the same approach for authorisation and permits in licensing the water use infrastructure. The EESC suggests that special focus be put on challenges related to freshwater. A common methodology based on general principles and applied at EU level should be put in place. Territorial and industrial factors should be transversally integrated into spatial and industrial planning. Special attention needs to be given to rural areas due to increased inequalities between urban and rural areas. |

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|  | 2.9. | National water plans should be made mandatory within four years so that a strategy can be devised that takes into account the need to ensure sustainable, secure and resilient access to water, while also safeguarding industrial competitiveness and giving industries the possibility to develop, grow and progress. Collaborative business models and a shared management approach between governments and industries are required. Collective involvement and support for businesses, consumers and employees are critical for the progression of the strategy for water resilience. |

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|  | 2.10. | At a broader scale, transboundary cooperation between industries, states and local authorities is important for improving planning activities and water allocation. The same goes for transparency concerning resources at EU level and ensuring more cooperation between Member States. A European water quota mechanism similar to the ETS and based on sectoral supply and demand, and a water border mechanism similar to the carbon border adjustment mechanism (CBAM) should be developed. Consideration should also be given to promoting a more prominent role for water under EMAS certification. The importance of water in various eco-design schemes should be consolidated by also adopting a water footprint for products and promoting the ‘virtual water’ concept. |

3.   Becoming a water-efficient industry thanks to water treatment, water recycling and reduced water consumption

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|  | 3.1. | In Spain, one paper mill had no choice but to become water-efficient in order to continue to operate, given the water scarcity in the region. As part of its sustainable water management efforts, the company invested in optimising processes and in internal treatments, enabling it to recycle water 13 times in its production processes [(6)](#ntr6-C_202404659EN.000101-E0006). Moreover, an investment in a multibarrier membrane system at the local municipal wastewater treatment plant allowed the paper mill to start using reclaimed water for its processes instead of fresh water, saving 10 500 m3 of drinking water per day. |

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|  | 3.2. | Provided a plant knows its water consumption and provided the sewage treatment facility can provide the requested quality of water, this solution can be exported, with the necessary adaptations, to other industrial sectors. Another good example of reducing the use of drinkable water is an automotive sector plant located in Belgium, where a connection to the nearby municipal wastewater treatment plant delivering grey water enabled the automaker to reduce its consumption of drinkable water on site by around 80 %. Industrial planning and production processes should take into account the need to ensure a clear match between the different qualities of water needed and received. |

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|  | 3.3. | The systematic improvement of water infrastructure is key to improving (industrial) water efficiency. In Ireland, the national regulated utility has implemented a programme for fixing leaks and replacing pipes with the goal to reduce the national leakage rate to 25 % by the end of 2030, which would save 200 000 m3 of water daily. Significant progress has already been made since 2018, with the rate of leakage reduced from 46 % to 37 % [(7)](#ntr7-C_202404659EN.000101-E0007). As stated in principle 7 of the Declaration, there should be a clear mapping of the current situation of the infrastructure (including pipe distribution) to avoid leaks, while modernisation should enable different qualities of water to be distributed. Water treatment plants should be able to deliver the appropriate quality of water to a range of users and uses (agriculture, industry, households and public bodies). Delivering quality or drinking water for industrial purposes should be minimised (principle 10), except in industries where water is a raw material or is needed for a product’s health and safety criteria, such as in the food, tourism and aquaculture industries. |

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|  | 3.4. | Reusing and recycling water and using less fresh water should become the norm in industry (action 9). Good practices exist and already deliver positive results. In Murcia, one of the driest regions in Spain, which generates 20 % of the country’s agricultural output, the water treatment authority reuses all wastewater for irrigation, providing 121 hm3 of reclaimed water to farmers and the agricultural sector in 2023 alone [(8)](#ntr8-C_202404659EN.000101-E0008). |

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|  | 3.5. | Industrial water efficiency will become a social pressure in the near future. There is a clear need for an integrated water management system, including a variety of water use facilities with the capacity to accommodate various industries. Standardised, harmonised data collection needs to be carried out consistently throughout the production process, starting at plant level. A specific methodology used at EU level should be developed to maximise the use of data collected. A common set of indicators monitored at the company and sectoral level, such as litres per unit of product, per employee, per process, per cycle, per unit of energy consumption and per time period should be considered, as should a water use and water dependence index. Standards, performance measures and objectives concerning water use at the sectoral level should also be defined, in order to track progress achieved towards water efficiency. |

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|  | 3.6. | The EESC is concerned about the fact that water bills were not included in the recently concluded revision of European Environmental Accounts Regulation (EU) No 691/2011 [(9)](#ntr9-C_202404659EN.000101-E0009) due to the widespread lack of data among Member States. We urge the Commission to set up appropriate data collection structures before Member States have to collect and share data on water use. A European water data space should be developed to include this data, and also include available water resources and aggregated ongoing investments. Water companies, utility companies, industry and households should all be part of the data stream providing essential data on water availability and use to create a more water-efficient society. |

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|  | 3.7. | Technology alone cannot solve the water problem. We need to create a water culture and raise awareness of water in European society, taking into account the importance of water for development and growth. Dedicated water labels should be established for water-efficient products, as proposed by action 8 of the EESC Blue Deal Declaration. A common definition for low water impact products or services should also be developed at EU level. In 2023, the UK Government introduced a new eco-label system for products that use or are used for water, such as toilets, bathroom taps, shower outlet devices, dishwashers, washing machines and washer-dryers. The target is to reduce water use by 20 % by 2038, saving consumers an estimated EUR 147 million on water over 10 years [(10)](#ntr10-C_202404659EN.000101-E0010). Another good example is the voluntary Unified Water Label – a smart tool that allows consumers to identify products that use or are used for water with a common label that offers clear, concise and easy-to-understand messages about water and energy consumption [(11)](#ntr11-C_202404659EN.000101-E0011). |

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|  | 3.8. | Water should be part of industrial organisational culture, including the social model and social partnership. Water must be considered a scarce resource. A good example of an EU project on water saving and reuse in the tourism sector is the Life Wat’Savereuse project based in the Mediterranean basin, which highlights the benefits of saving and reusing water and promotes the circular economy through reduced water consumption [(12)](#ntr12-C_202404659EN.000101-E0012). |

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|  | 3.9. | Since water efficiency starts at plant level, a designated team of people (management and personnel) in charge of water efficiency should be appointed and a clear water efficiency plan adopted to reduce fresh water consumption, to ensure leaks are detected and repaired through frequent routine checks, to adopt smart meters and clean technologies (water- and energy-efficient), to clean water after use and to reuse and reduce industrial pollution (principle 10). |

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|  | 3.10. | In order to gain support from employees, it is essential to inform and consult workplace representatives and employees in the implementation of the water efficiency plan (focusing on water and cost savings), and to understand the importance of their commitment to water efficiency. Incentives for workers to achieve water-efficiency targets should be considered. A dedicated infrastructure similar to the Network of European Blue Schools for ocean literacy should be created and promoted. In a broader context, the role of women and young people needs to be carefully considered (principle 11). |

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|  | 3.11. | The EU Blue Deal advisory stakeholder platform (action 2 of the EESC Declaration) should play an important role in sharing best practices, developing specific standards and promoting sectoral water partnerships that allow sectors to move from a plant base approach to an industrial sectoral approach to build common capacity. Water partnerships for improving investments, access to water and sustainable water use between various communities should be put in place, and involve public and private actors and address issues such as research, technology, skills and infrastructure. Technical assistance should be provided to enable these exchanges of best practices at sector and ecosystem level. |

4.   Promoting a water-efficient sector through the uptake of water-efficient technologies

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|  | 4.1. | Existing technologies can deliver outstanding results. The EESC would like to present some examples of success stories from various industrial sectors. |

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|  | 4.2. | Services such as water banks or water rental markets should be developed, as should facilities for increased water storage (for rainfall and rain flood) without affecting biodiversity. Building flood refilling systems instead of protection systems could represent a paradigm change in the way we approach water infrastructure. Flood water can be used for irrigation and for recharging aquifers, and sponge cities have huge potential. The cascadic use of water should also be considered. By using closed-circuit reverse osmosis technology, one Danish brewery has managed to recycle 90 % of all water used for cleaning and other industrial processes, and reduced water consumption by 58,8 % (or 500 000 m3 per year), virtually eliminating wastewater from the water-intensive brewing process. |

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|  | 4.3. | In another example, one major Irish dairy cooperative processes 11 million m3 of milk annually, and extracts about 11 000 m3 of water per day from the local river and boreholes at its main processing plant. Through water treatment technologies, the plant actually returns around 14 500 m3 of clean water every day to the local river. This means the dairy plant regenerates an extra 30 % of clean, high-quality water back into the local river. |

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|  | 4.4. | In the construction sector, the use of nanotechnology (where ultra-thin coating imparts self-cleaning properties to glass) significantly reduces window cleaning costs and water use, especially in tall buildings [(13)](#ntr13-C_202404659EN.000101-E0013). |

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|  | 4.5. | Hybrid cooling systems which combine water and air-cooling technologies can reduce water consumption by up to 80 %, while maintaining the energy performance of power plants. |

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|  | 4.6. | Technology which pressures dye into fabric using CO2 uses no water and reduces chemical and energy use by 50 % compared to traditional methods [(14)](#ntr14-C_202404659EN.000101-E0014). |

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|  | 4.7. | All these examples illustrate the enormous potential of existing technologies and the opportunities that European industry can offer if it decides to invest heavily in research and development. Developing a specific transitional pathway for the clean tech sector, also covering the availability of the required workforce, is of utmost importance, as is developing or updating new innovative technologies through various funding options that are adapted to water challenges. Efforts to transfer best practices in water efficiency and recycling among regions, companies and industries need to be increased, through instruments such as the future EU Blue Deal stakeholder platform. |

5.   Implementing the blue transition fund in the industrial field and launching an EIT KIC

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|  | 5.1. | The Organisation for Economic Cooperation and Development (OECD) [(15)](#ntr15-C_202404659EN.000101-E0015) estimates that all EU countries together spend on average EUR 100 billion per year on water supply and sanitation. However, this is not enough to meet compliance with the Urban Waste Water Treatment Directive [(16)](#ntr16-C_202404659EN.000101-E0016) and the Drinking Water Directive [(17)](#ntr17-C_202404659EN.000101-E0017), or cover needed investments to renew infrastructure. It is also not enough to ensure compliance with the Water Framework Directive [(18)](#ntr18-C_202404659EN.000101-E0018) and the Floods Directive [(19)](#ntr19-C_202404659EN.000101-E0019) [(20)](#ntr20-C_202404659EN.000101-E0020). |

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|  | 5.2. | If the EU considers water one of its priorities for the next legislative mandate, addressing this financing gap that cannot be met by public funding and tariffs alone will be key, hence the need to blend public and private financing in a common financial support. According to principle 12 and actions 14 to 17 of the EESC’s EU Blue Deal Declaration, the blue transition fund should:  |  |  | | --- | --- | | — | constitute a single entry point for water financing at EU level via a dedicated online portal that includes cohesion policy, the Strategic Technologies for Europe Platform and the common agricultural policy, as well as additional funds supporting water-intensive industries to become more water sustainable, combined with private funds (including crowd funding); |  |  |  | | --- | --- | | — | be based on a governance structure that includes civil society; |  |  |  | | --- | --- | | — | adopt an integrated approach based on thematic concentrations at the operational programme level; |  |  |  | | --- | --- | | — | incorporate key performance indicators concerning water within the EU strategic framework, transversal thematic objectives among the various relevant funds, and cyclical monitoring within the European Semester. Social conditionalities should also be attached; |  |  |  | | --- | --- | | — | reflect the sectoral water indicators defined for specific industries in various funds, in addition to principle 10 and adopting water conditionalities for calls for proposal; |  |  |  | | --- | --- | | — | adopt a sectoral and a regional approach, where water-intensive sectors benefit from special allocations and have priority in accessing the funds; |  |  |  | | --- | --- | | — | adopt a multiannual and multifund approach that is in synergy with the different programming periods; |  |  |  | | --- | --- | | — | include a transnational call for proposals, taking into account the river basin approach; |  |  |  | | --- | --- | | — | closely coordinate the financing of water investments between the European Commission, the European Investment Bank and the European Bank for Reconstruction and Development. | |

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|  | 5.3. | Clarification and future guidance in the public tender procedures is also required, in order to avoid using the lowest price criteria when public authorities are buying water technologies, and to integrate water conditionalities in the public tender procedures. |

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|  | 5.4. | Water infrastructure investments should be taken out of the Stability and Growth Pact and treated as a common good. It is also important to closely monitor the implementation of environmental, social and governance (ESG) standards (which include water) and adopt an entire supply chain approach. |

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|  | 5.5. | Developing industrial water clusters and linking them with Horizon Europe projects and other EU instruments for servicing industries should continue. The framework research program should also have a chapter on water. |

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|  | 5.6. | The work carried out by the EIT’s Climate knowledge and innovation community (KIC) is an excellent example of developing a knowledge and innovation community for water, tackling solutions for water scarcity in southern Europe. The EIT enhances knowledge through innovation, entrepreneurship, education and communication by supporting scale-ups and SMEs, offering solutions, creating a strong expert community and sharing knowledge [(21)](#ntr21-C_202404659EN.000101-E0021). Building on this positive impact demonstrated by the EIT innovation model, the EIT will launch a call for Proposals for a new KIC on water [(22)](#ntr22-C_202404659EN.000101-E0022). This new KIC should be instrumental in addressing the major economic, environmental and societal challenges on fresh water, droughts and floods through e.g., deploying innovation ecosystems for a water-efficient society together with addressing the gaps in education, research, innovation and entrepreneurship [(23)](#ntr23-C_202404659EN.000101-E0023). As freshwater challenges have been to date insufficiently addressed at regional, national and European level, the KIC on water should focus on strengthening this aspect. It should benefit from synergies with other initiatives, such as accelerated and easy access to the Blue Transition Fund, which could either grant finance or serve as a guarantee to access public or private funding. |

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|  | 5.7. | The EESC calls to promote the creation of Water-Oriented Living Labs to develop, validate and scale-up innovations and embrace innovative technologies, governance, business models and advance innovative policies. |

Brussels, 30 May 2024.

The President

of the European Economic and Social Committee

Oliver RÖPKE

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ELI: http://data.europa.eu/eli/C/2024/4659/oj

ISSN 1977-091X (electronic edition)

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