Sesión Ecosistemas. 7 Foro Mundial del Agua.

1. Innovative financial mechanisms and water related
collective action for watershed conservation: The role of
the private sector
April 13, 2015
• Greg Koch, Senior Director, Global Water Stewardship
• gkoch@coca-cola.com
• @gregjkoch1

2. 2
Water is Biggest Part of Our Supply Chain, Under Growing
Stress, and Vital to Our Business Model
 Physical availability and
sustainability -- surface
and especially groundwater
 Infrastructure – nonexistent,
crumbling, financing
 Pricing -- too cheap, too
expensive
 Changing climate – droughts,
floods
 Competing use and increased
demand -- more people and
increased GDP
 Policy – nonexistent, conflicting,
Nexus challenges
Water Risks in Manufacturing Locations
Water Risks in Agricultural Supply Chain

3. 3
Global Risk Assessment

4. © Copyright 2010 The Coca-Cola Company. Confidential
Global Water Stewardship Strategic Framework
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5. 5
Partners and Progress
Reduce – Efficiency and Reuse
• Met our 2012 water efficiency goal of a 20% improvement, versus
2004
• On track to meet a further 25% improvement by 2020, versus 2010
Recycle – Wastewater Treatment and Stormwater
Management
• US$1 billion+ invested
• Full treatment onsite and reuse on- and off-site for productive
purposes
Replenish – To Communities and Nature
• We are replenishing 68% of production volume towards 100% by
2020, 509 hundred projects in over 100 countries
• Watershed protection, WaSH, reforestation, agri water efficiency,
aquifer recharge, leak management, policy, PES/water funds
Risk Management
• Plant-level and community source vulnerability assessments and
source protection plans
• Drives collective action at the local level
Including:

6. 6
Project Financing
Direct, business planning
• In-plant water efficiency and reuse
• Stormwater management and wastewater treatment
• Source water protection
• Agriculture supply chain sustainability
Foundation
• Support for WaSH, water for productive use, and conservation
• More easily allows for multi-year projects
• Facilitates co-funding by private foundations and donors
Leverage
• Can be a part of direct or foundation projects
• Amplifies resources and beneficial impact
• Donor community (e.g., USAID, UNDP)
• Governments and peer industry
• Example for RAIN: $30MM leveraged $45MM
Policy
• Investments in advocacy and multi-lateral engagement
• Beneficial impacts of policy reform
Water Funds

7. 7
Water Funds
Water Funds are financial and governance mechanisms that enable long term,
efficient, and sustained watershed restoration and conservation

8. Replenish Coalition: Balance of Consumptive Water Use
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Bottling Plant
Reduce
Water Use Ratio
[Improve 25% by 2020]
Replenish
Product Volume =
136 Billion liters
[Balance 100% by 2020]
Recycle
Wastewater Treatment
Volume = 177 Billion liters
[100% Compliance]
Total Water
Total:
313 Billion Liters

9. Replenish Project Selection & Implementation
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Identify Water Risks Identify Ecosystem Issues
Relate to Water Issues
Collect Data
Identify Locally Relevant
Activities
Seek Funding &
Implementing Partners
Implement Project Quantify Benefits

10. 1. Agricultural land practice changes
2. Storm water management
3. Land use alterations
4. Hydraulic/hydrologic water
body alterations
5. Recaptured leakage from water
systems
6. Wastewater treatment
7. Biologic management
8. Water reuse
9. Rainwater harvesting and
aquifer recharge
10. Safe water and sanitation access for
communities
Potential Replenish Activities
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Water
Quantity
Impact
Water
Quality
Impact
Water
Quality
Benefits
Water
Quantity
Benefits