valerie issumo
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TBLI CONFERENCE™ EUROPE 2011- London - United Kingdom TBLI CONFERENCE™ is the prime annual global networking and learning event on Environment, Social, Governance (ESG) and Impact Investing.TRANSCRIPT
Ethical Water ExchangePrivate and confidential solution designed by
Prana Sustainable Water, Valérie Issumo, picture: Mbandaka 20111
Sanitation global pricing for betterenvironment, conflict prevention & water
procurement security
Valérie Issumo, Economist (MBA)
Challenges
Prana Sustainable Water, Valérie Issumo 2
Waste & polluted water jeopardizing our life
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*2,6 bnpeople withoutaccess to sanitation* 90% waste water without treatment, balance not enough treated
Trans-boundarypollution
U$D 180 bn/a
neededfor the next 20 years
for water
utilities (World Bank)
Climatechanges
Innovative solution
Prana Sustainable Water, Valérie Issumo 4
Wastewater priced
resource > incentive to produce with commoditized treated water
Financing, pollution and procurementconstraints
> New revenues
> Ecosystem & public health protection,
> Reused water for security
Prana Sustainable Water, Valérie Issumo, All rights reserved5
• Treatedwater buyers
• Treatedwater sellers
• Investors
Trading of EthicalWater Titles
(futures contracts)
• Matching & pricing offers&demands of treated water
• Monitoring,
EthicalWater
Exchange
• Supplies of standard treated H20
• Int’l supplies of treated water footprints
Prana Sustainable Water, All rights reserved6
Clearing house
Hedging > Time > Deliveries execution
Global pricing benefit
Commoditized treated water
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Ethical Water Titles BUYERS Ethical Water Titles SELLERS
Prana Sustainable Water, Valérie Issumo, All Rights reserved8
Water procurement & pricesecurity,
To produce what + where + how it makes sense
Internalizing & insuringexternalities (environmental
exposures)
Benefiting public utility & incentivized productions
effects
Conflict prevention, Accountability,
Branding & Sustainability
- Certified wastewater purchaser and treatment capacity- “PLANET CLEANING SHARE” security to collect & treat storms/floods water & sell part of it as treated water
Current situation : Environmental Fines
Financing Capacity of States
Higher prices or less sales
or lost jobs
Treated water (footprint) purchase
commitment
Sustainable production & No public debt for
sanitation
Green jobs & new
business, hydro-diplomacy
New taxes, forec
asting & welfare
Prana Sustainable Water, Valérie Issumo, All rights reserved9
Commoditized treated water: benefit for a State
Sanitation via Ethical Water Titles e.g. export licenses if water
footprint hedged
PracticalitiesGlobal solution, local execution
Discount/Premiums to global price
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Phase III: Deliveries &
reporting
Phase II: Matching& trading Ethical
Water Titlesfor our security
Phase I : H20 assessment
Input & ownership
* Paid & used water
* Soil & water measured impact water footprint
* Storm water : potential victims of damages leaving theirrights to wastewaterinfrastructure
Waste water
Water Volumes & Quality
commitments
Cap& tradewaste/pollutants
removals
International via water footprints of
goods produced withtreated water
Local certifiedtreatments and/or
treated water supplies
Human rights :3000 liters/capita/day incl. food water footprint
Philanthropy incl. environment fundand water banks
Prana Sustainable Water, Valérie Issumo, All rights reserved11
Prana Sustainable Water, Valérie Issumo, All rights reserved 12
Output: treated wastewater reusers
to produce What, Where & How it makes sense(-) discount if only cleaning
compensation, WAREX Water Reclamation Exchange
(+) premium REWEX Reclaimed Water Exchange via treated water used in products/services
Bid&Ask of treated standard water with philanthropy via EWT trading
Input: sellers of wastewaterhousehold ≠ heavy industrial wastewater
(-) Wastewater purchase discount if heavier pollution
(+) Premium rewarding non-polluting production ways and/or pre-treatment
Monitoring & supervision
Monitoring & supervision
Water banks
Physical flows // Trading flows
Reuse water
- Nature (e.g. groundwater recharge)
- Irrigation & fish farming
- Energy
- Industry
- CRS, SRI & sustainability
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Prana Sustainable Water, Valérie Issumo, All rights reserved 14
EthicalWater
Exchange with
clearing
MatchingEthical Water
Titles Commitmentto sell treated
wastewater
Commitment to buy treated
water
Demand of ethical productsor investments
SanitationWater procurement security
EXAMPLE: traded water footprints from water-rich regions, to water-poor regions incentivizing food & energy productions
Biogas electricity
About 50% more energy needed in the world by 2030
(International Energy Agency): Water-Energy nexus
• Ethical Water Exchange facilitating the
wastewater collection to produce energy: e.g. growing algaes forbiofuels, hydroelectricity, sludge gas
• Reducing interdependence of water & energy consumed topump groundwater and use potable water thanks to directsupplies of treated water for irrigation, mining …
• Treated water => clean nature absorbing CO2 emission
• Gas from sewage and agri-activities generated by traded waterfootprints to de-carbonize the energy supply
Prana Sustainable Water, Valérie Issumo, All rights reserved15
Measured CSR
> Hotel guests benefiting leverage effects : new consumers, safer global environment & geopolitics
>Hotel: image + sustainable growth beneficiary
System replicable for increasing water projects synergies
e.g. – fair trade chocolate including sanitation part
- Ethical Water Titles bought by cooperation/int’l agencies Prana Sustainable Water, Valérie Issumo, All rights reserved
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Hotels
willing to
concretize
their
Corporate
Social
Responsibility
Consumptions > 200 l/guest/day
hedged by Ethical Water Titles
Every hotel resident enabling
access to sanitation to
disadvantaged persons
Eco/philanthropic consumers
« 5P » Impacts
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PEOPLEDIGNITY FOR ALL
Access to sanitation & equal chances to sell wastewater
PROFIT
* Leverage effects as per WHO * New jobs* New reuse+depollution markets* Accounted waterfootprintincentivizing productions* Full costs recovery
PEACE
Hydro-diplomacy,
Conflict prevention
PHILANTHROPY
Water Banks
«5P» Ethical Water Exchange IMPACT VALUE CHAIN
Governing is foreseeing
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02468
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Pri
ces/
Val
ue
PLANET
Biodiversity
Environment
Ethical water titles
Prana Sustainable Water, Valérie Issumo 19ALL RIGHTS RESERVED
Catalyst for global governance, clean technologies, dignity, health, jobs creation &
nature protection
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Prana Sustainable Water, Valérie Issumo, ALL RIGHTS RESERVED
Valérie Issumo, Laureate of the Prize of the Belgian Ministry of Foreign Trade, 15 yearsexperience as soft commodities trader