About Destination Water Risk Index
The Destination Water Risk Index provides key data for hotel companies about local water conditions and risks in key hotel development areas, and how this risk will impact the cost of water for hotels operating in the 68 largest markets in the world.
What is included?
By collating data on global water risk and water pricing with hotel room supply and industry performance, it identifies:
- the highest water risk locations in the world
- how this risk will impact water price increases
- existing solutions and best practices to manage water use
This index identifies twelve locations across six countries with the highest overall risk when factoring water stress (WRI Aqueduct), future water cost increase risk (Ecolab Water Risk Monetizer), water usage intensity per occupied room, hotel supply (of rooms), and hotel pipeline growth
- Indonesia: Bali, Jakarta, Surabaya
- India: Mumbai, Delhi
- Thailand: Bangkok
- China: Beijing, Qingdao, Hangzhou, Xian
- United Arab Emirates: Dubai
- Philippines: Manila
The index reveals key trends in how hotels are affected by water stress, both currently and in the future, and found that countries forecast with the highest water stress in the coming years are also among those with the greatest tourism growth. This highlights the need for the industry to prioritise action in these regions.
Who is it for?
This research is designed to encourage the hotel industry to take collective action to reduce the impact of large scale tourism development on water resources in destinations with the highest water risk, and ensure long-term water security for the communities in which they operate.
It can be used by:
- Hotel companies to prioritise the delivery of their water stewardship strategy in their hotel developments and operations in destinations that are of the highest risk.
- Hotel developers to better evaluate the risks and financial implications of water scarcity when development planning
- General managers and engineering teams when upgrading water management practices and infrastructure
How was it created?
The Destination Water Risk Index was created through collaboration with Ecolab and Greenview. We worked together to identify 68 destinations based on the size of their hotel markets and availability of relevant data. The overall analysis was generated by combining several factors in a weighted, composite score and using five risk tiers, from one (lowest risk) to five (highest risk). These factors include water stress, future water cost increase risk, water usage intensity per occupied room, hotel supply, and hotel pipeline growth.
Ecolab is a global leader in water, hygiene and energy technologies and services that protect people and vital resources. Greenview is a boutique sustainability firm that provides hospitality organisations with consulting and advisory services.
