©2005 Cola-Cola Company. All rights Reserved 1
Global Water Stewardship and The Coca-Cola Company
GEF International Waters ConferenceSalvador, BrazilJune 24, 2005
Dr.Daniel VermeerDirector, Global Water Initiative
The Coca-Cola Company
©2005 Cola-Cola Company. All rights Reserved2
The Coca-Cola Company
200
300
400
900
1,500,000,000
Countries we operate in
Servings per day
Manufacturing plants
Franchise bottling partners
Number of brands
3
Water Crisis Hits Africa the HardestApril 1, 2005
Business’ Thirst for Water Is UnsatedAugust 23, 2004
Nine million Chinese Face Drinking-Water Shortage
April 3, 2005
On World Water Day, One Billion People Still Lack a Clean Supply
March 23, 2005
Water Scarcity: a looming crisis?December 19, 2004
Bottled Water Plant Runs into Opposition
April 7, 2005January 31, 2005
India: Fluid State of Water Battles
-Central Coast, Australia
Headlines to the Bottom Line
Coca-Cola Leaves Chennai
Thirsty
April 25, 2005
Times of India
©2005 Cola-Cola Company. All rights Reserved4
Extreme Scarcity<500
Scarcity500-1,000
Stress1,000-1,700
Adequate1,700-4,000
Abundant4,000-10,000
Surplus>10,000
Ocean/Inland Water
No Data
m3/person/year
Water Availability: 1975Water Availability: 1975Water Availability: 2000Water Availability: 2000Water Availability: 2025Water Availability: 2025Sub-national Water Availability: 2003
©2005 Cola-Cola Company. All rights Reserved5
“As we enter the Twenty-First Century a global water crisis is threatening the security, stability and environmental sustainability of all nations, particularly those in the developing world.”- UN World Water Development Report, 2003.
Freshwater in Crisis
“Water is the main ingredient in every product… and is also a limited natural resource facing unprecedented challenges from over-exploitation, increasing
pollution and poor management.”- The Coca Cola Company SEC 10-K Report, 2004.
©2005 Cola-Cola Company. All rights Reserved6
Our Global Water Initiative
Assess and mitigate current system risks
Build collaborative water strategy for the system
Design & implement solutions
Establish platforms for leadership
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3 kinds of outputs– Customized maps
– Risk profiles
– Risk Reports
Risk Assessment methodology
3 lines of analysis– Geo-spatial analysis
– Comprehensive water survey and quantitative risk modelling
– Holistic assessment
Division bottling plants - risk profile
0.0
0.5
1.0
1.5
2.0
2.5
3.0
Han
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Gua
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ou/H
uang
pu-n
ew
Tia
njin
(Te
da)
Any
ang
Mac
au
Pud
ong
Xia
n
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-Min
hang
Don
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aiw
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Sw
ire B
ottli
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Hon
g K
ong)
Tai
-Hua
(Tai
wan
)
Tia
njin
Hav
est
Han
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Hai
kou
Bei
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(new
pla
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Nan
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BC
Gua
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nyan
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Hun
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y
Sha
tin
Suz
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Hon
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lu
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n R
ongs
Zhe
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ou F
ullti
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Cha
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Zhu
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Xia
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Kun
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Nan
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(Puk
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Gua
ngzh
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uang
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Zhe
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Tao
yuan
Che
ngdu Jilin
Tai
yuan
Har
bin
Nan
ning
Wuh
an
Kao
hsiu
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Hef
ei
Dal
ian
Qin
gdao
Ris
k Q
uotie
nt
High Risk
Moderate Risk
Low Risk
Short-term target
Medium-term target
02468101214
©2005 Cola-Cola Company. All rights Reserved8
Geospatial Analysis – E.g. Africa Divisions Plant Locations, Production, and Water Use Ratio Relative toAnnual Renewable Freshwater Supply Per Capita
Sources: ISciences, LLC; University of New Hampshire; and, Oak Ridge National Laboratory
SouthAfrica
NamibiaBotswana
AngolaZambia
Mozambique
Madagascar
Zimbabwe
Comoros
Tanzania
Dem. Rep.of theCongoRep of
the Congo
Kenya
Ethiopia
Sudan
Egypt
C. A. R.
Chad
Niger
Nigeria
Cameroon
Gabon
Mali
GhanaCôte D’Ivoire
Liberia
SierraLeone
Guinea
Mauritania
Morocco
Algeria
Tunisia
Libya
SenegalEritrea
Djibouti
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Process inputs - 2005 Water Risk Survey
Survey – Table of Contents
1.0 Production Facility Location and Management
2.0 Water Supply
3.0 Water Infrastructure Issues
4.0 Water Use and Production
5.0 Water Quality and Treatment
6.0 Wastewater
7.0 Environment and Social Context
8.0 Conclusion and Feedback
©2005 Cola-Cola Company. All rights Reserved10
Background on risk categories• Watershed –sustainability and quality of water resources for
the region.
• Supply Reliability – region’s institutional capacity to provide water to the industrial, agricultural, and domestic users.
• Efficiency – ability to sufficiently maximize the available water resources in meeting the needs of all users.
• Supply Economics – direct costs of water, including municipal water cost, fees, taxes, treatment, penalties, and related loss of production/revenue. Trends in water pricing are noted where readily identifiable.
• Compliance –compliance with Company and external standards and regulations are analyzed. Trends in water regulation and key legislation are noted where readily available.
• Social/Competitive – awareness of and conflict regarding water issues in a specified region, including the likelihood of targeted TCCC activity.
- RISK MODELRISK MODEL
SOCIAL & SOCIAL & COMPETITIVE COMPETITIVE
CONTEXTCONTEXT
EFFICIENCYEFFICIENCY
SUPPLY SUPPLY ECONOMICSECONOMICS
COMPLIANCECOMPLIANCE
SUPPLY SUPPLY RELIABILITYRELIABILITY
WATERSHEDWATERSHED
©2005 Cola-Cola Company. All rights Reserved11
Division #1 Risk Profile – risk contributors
Sample Output – to be validated
©2005 Cola-Cola Company. All rights Reserved12
Our Water Stewardship Destination
Improve PlantPerformance
Launch Community Initiatives
Help Protect Watersheds
Make a Global
Difference
Support the protection of watersheds in water-stressed regions where we operate.
Help enable access to clean drinking water in underserved communities where we operate.
Be the most efficient industrial water user
in our peer class.
Work with others to mobilize the International Community.
©2005 Cola-Cola Company. All rights Reserved13
SBUs WATERSHED EFFICIENCY/ CONSERVATION
EDUCATION/ AWARENESS
HEALTH/ SANITATION
ACCESS/ INFRA-STRUCTURE
WATER RESOURCE
MGMT.
AFRICA Mau Forest reforestation –WWF (Kenya)WWF Zambezi Nairobi River Basin – UNEP (Kenya)
Safe Water System & community health & sanitation (Kenya)
Roundabouts (SA)GDA/TCCC projects (Mali; Egypt)Water, sanitation, sustainable agriculture (Kenya)
Water resource mgmt. (Nigeria)
ASIA Mekong - WWF Rainwater harvesting (India)
Bawadi restoration (India)Community Access (Vietnam)
Water efficient technologies (India - proposed)
EEME Danube Mediterranean (incl Spanish Valencia)
oX-list E/A
WaterSavers - WWF Awareness campaign (Spain)
LA BoliviaAmazon (proposed)Brazil Eco-region - WWFGuatemala Watershed - WWF
NA SE Rivers/River NetworkGinnie Springs watershed model
GLOBAL WWF Freshwater Map
Water Supply CD-ROM - WWF
Illustrative Community & Watershed Projects
African Devt Bank/TCCC projects (TBD)
USAID/GDA - Global Partnership
©2005 Cola-Cola Company. All rights Reserved14
TSUNAMI RECOVERY - WATER SYSTEM DEVELOPMENT & REHABILITATION Indonesia/Maldives/Sri Lanka/Thailand
PARTNERS: UN Foundation
UN Agencies (UNDP, UNICEF)
Coca-Cola Divisions and Bottlers
Local/National Governments Local Communities and Stakeholders
PILOT PROJECTS (Under development):– Thailand: Water Resources Management on Lanta Island
• Construction of check dams and irrigation ponds
• Household wastewater treatment
• Upgrade reservoir to distribute potable metered water
– Indonesia: Hydrological survey of freshwater resources followed by holistic water/sanitation initiatives in select communities
– Sri Lanka: Water/sanitation initiatives in Sustainable Communities program in conflict north and eastern regions affected by tsunami
– Maldives: Water/sanitation projects as part of Adopt an Island program
©2005 Cola-Cola Company. All rights Reserved15
RAINWATER HARVESTING
India
PARTNERS: Central & State Groundwater AuthorityLocal Municipal governmentVillage CommitteesLocal NGOs
PROGRAM ELEMENTS:– Rainwater harvesting – NGO specialists execute project– Surface runoff: Check dams, Johads (ponds), Wells,
Roads, storm water drains etc– Rooftop runoff: with or without catching surface run offs
BENEFICIARIES: – Over 100,000 people benefit by either increased
availability of ground water or reduced decline in ground water level. Many villagers/ community also benefit from awareness campaigns
Rainwater Harvesting
©2005 Cola-Cola Company. All rights Reserved16
BAWADI RECONSTRUCTION (Step Well, Surface Water Reservoir)
India
PARTNERS: Rajasthan Ground Water Dept.
Village CommitteeLocal community
NGOsPROGRAM ELEMENTS:
– Repairing embankments– Reworking catchments– Restoring civil structures– Desilting over 4 underground floors
BENEFICIARIES: – 3000 local villagers directly benefit from
using water for daily needs– Thousands more indirectly benefit
Before
After
Baawdi Reconstruction
During
©2005 Cola-Cola Company. All rights Reserved17
COMMUNITY WATER & SANITATION
Mali
PARTNERS: USAID
Local BottlerMinister for Environment & SanitationWest Africa Water InitiativeLocal community
PROGRAM ELEMENTS:– System investment in wastewater treatment– Provision of community access to clean water for drinking
and household garden irrigation– Education and awareness raising programs on water,
hygiene, sanitation, health
BENEFICIARIES:– Residents of Bamako, Mali
©2005 Cola-Cola Company. All rights Reserved18
WATERSHED PROTECTION
Bolivia
PARTNERS: USAID
Coca-Cola Bottling partners
Protección del Medio Ambiente Tarija
Centrode Promocion de Tacnologias Sostenibles
Local community
PROGRAM ELEMENTS:– Support local conservation efforts– Introduce best management practices in agriculture and clean
production options in industry– Develop new local policy initiatives– Increase stakeholder participation
BENEFICIARIES:– City of Tarija and nearby communities serviced by the Sama
Biological Reserve (~145,000 people)
©2005 Cola-Cola Company. All rights Reserved19
Potential Partnership Opportunities
• Get to know each other and build trust.
• Identify and evaluate specific regional projects for collaboration.
• Understand and leverage each other’s assets around shared objectives.
©2005 Cola-Cola Company. All rights Reserved20
Aspiring to be a responsible global citizen that makes a difference
