India’s biggest bottled water company has proposed developing a framework for establishing water credits to make the beverage industry accountable for its water use.

Mumbai-headquartered Bisleri International – a name synonymous with bottled water in India – has proposed bringing in a water credit system for the beverage industry in the South Asian country, according to news outlet Mint.

It has partnered with New Delhi-based The Energy and Resources Institute (TERI) School of Advanced Studies to conduct a study which will evaluate the overall water footprint of businesses across their entire value chain.

Angelo George, CEO of Bisleri International told Mint in an interview that the report focused on proposing a model to the government that can be used for crafting the water credit system.

“We are requesting the government to set up a platform as quickly as possible, similar to carbon credits, using this as a template,” George said.

He added the water sector can create credits under the government’s green credit programme through water conservation, water harvesting, and water use efficiency, including treatment and reuse of wastewater.

Water credits could be used akin to carbon credits, which can be used by companies to offset their emissions, he said.

The report, published last month, establishes a baseline for the beverage industry, reviewed national and international practices and policies in water trading, water credits, and fiscal instruments and develop a methodological framework to estimate water footprint of a production unit.

It also tested and estimated the water footprint of two production units of Bisleri in two distinctly different terrains.

Large beverage makers have often been criticised for extracting water from water stressed areas, though several companies are now reporting initiatives to replenish water used during their manufacturing process, according to Mint.

“Bisleri takes immense pride in being a water-positive company, replenishing more water than we extract,” George said on social media platform LinkedIn, adding that given India’s strained water resources, water credits have been purposed as one of the key areas in LiFE initiative launched by Indian Prime Minister Narendra Modi last year.

“Unlike carbon emissions, water savings have a localised context, considering factors like rainfall and consumption at a watershed level,” George added.

India launched the Green Credit Programme in June 2023, listing eight activities qualifying for green credits including tree plantation, water conservation, sustainable agriculture, waste management, air pollution reduction, mangrove conservation and restoration, ecomark labelling, and sustainable building and infrastructure.

In its initial phase, the green credit scheme will focus on two key activities – tree planting and water conservation.

There is currently no official platform for the trading of green credits.

The tree planting part of the scheme has gained a lot of traction, despite many environmental experts terming the scheme disastrous, as it incentivises planting trees in landscapes where they don’t belong.

Meanwhile, development of projects and regulations under other categories, including water conservation, has been quite slow.

The news comes at a time when northern parts of India are facing an acute water shortage amid rising temperatures.

According to WWF, two-thirds of the world’s population may face water shortage by 2025, with demand for water exceeding supply by 40% by 2030.

By Nikita Pandey – nikita@carbon-pulse.com

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