⁠⁠Water Neutrality: Securing the Future of Indian Industries

Water scarcity is becoming a serious concern for industries across India. With groundwater levels falling and monsoons becoming unpredictable, securing water resources is no longer just about environmental responsibility—it’s now essential for business survival. To address this, NITI Aayog has released the “Guidelines on Achieving Water Neutrality for Indian Industry,” offering a clear framework to help industries balance their water consumption through sustainable practices.

CII Water Institute, CII’s Centre of Excellence on Water, played a key role in developing these guidelines. The institute is now supporting industries in adopting water neutrality to safeguard their operations and ensure long-term resilience.

What is Water Neutrality?

Water neutrality means that the total freshwater used by an industry—both directly and indirectly including its supply chains—is balanced by measurable water savings. These savings come from improved operational efficiency, water reuse, and efforts to replenish and rejuvenate water sources within the same watershed or those of major supply chains. The goal is to ensure that industries use water responsibly and contribute to replenishing the water they consume.

To achieve this, industries can follow the 3M-7R approach outlined in the guidelines:

• 3M: Measure, Manage, and Mitigate water use.
• 7R: Reduce, Reuse, Recycle, Recharge, Replenish, Report, and Respect water resources.

Why Water Neutrality Matters for Industries

Water neutrality is not just about protecting the environment. It also offers significant benefits to industries:

• Reduces Risks: Minimizes disruptions caused by water shortages, ensuring continuous operations.
• Ensures Compliance: Helps industries meet regulatory requirements and enhances their Corporate Social Responsibility (CSR) profile.
• Strengthens Supply Chains: Reduces water-related risks across the supply chain, improving overall business resilience.

How Industries Can Achieve Water Neutrality

CII Water Institute offers a Water Neutrality Study to help industries assess their water use, identify gaps, and adopt sustainable practices. The study follows a 3-step approach:

 Aspiring Water Neutral/Positive Company (Scope 1):
Focuses on reducing direct water use and implementing immediate offset strategies.

Rising Water Neutral/Positive Company (Scope 2):
Extends efforts to the supply chain by considering virtual water use and offsetting it.

Achieved Water Neutral/Positive Company (Scope 3):
Establishes systems for long-term monitoring, verification, and improvement.

Steps to Begin the Journey

Industries can start by:

• Evaluating Water Use: Identifying direct and indirect water consumption.
• Improving Efficiency: Implementing technologies and processes to reduce water consumption.
• Offsetting Water Use: Engaging in water conservation efforts like rainwater harvesting, lake rejuvenation, and watershed management.

Impacts of Water Neutrality: Real-World Success
Water neutrality efforts are already showing positive results. CII Water Institute has certified 16 industrial plants as “Aspiring” Water Neutral/Positive companies, while over 100 water neutrality assessments are in progress. Infosys Limited, Bengaluru Campus, became the first to achieve water positivity across all three scopes, earning the Achieved (Scope 3) Certification.

The Way Forward: A Sustainable Future

Water neutrality is gaining momentum across various sectors in India, with CII Water Institute conducting neutrality studies for industries such as:

Cement, FMCG, Infrastructure, IT, Steel, Automotive, and Renewable Energy.

These sectors, which are highly water-intensive, are taking proactive steps to secure their operations and demonstrate environmental leadership.

Water neutrality is more than just a sustainability goal—it’s a strategy for securing industrial growth while ensuring environmental balance. As climate challenges intensify, industries that embrace water neutrality will be better prepared to adapt and thrive.

By adopting NITI Aayog’s guidelines and leveraging the expertise of CII Water Institute, industries can take meaningful steps toward becoming water-neutral. This journey not only protects business operations but also contributes to a water-secure future for India.

The time to act is now. By taking small but significant steps, industries can protect their operations and contribute to building a sustainable tomorrow.