Previous Page / Table of Contents / Next Page

Benefits of Water Efficiency Labelling

One measure of the success of the water efficiency labelling scheme will be the extent to which consumers consider water efficiency information as part of their purchasing decisions. While the emphasis is on informed consumers rather than water conservation, we can reasonably expect that some consumers will be influenced by the water efficiency label, and will a make more sustainable choice than they otherwise would. A Cost Benefit Analysis (CBA) conducted by Covec has based its benefit calculations on a 1% shift in product purchases towards more efficient products. This is a conservative figure when one considers the UMR Research study into the effects of energy efficiency labelling. The CBA assumed that the regulations started in 2006 and operated until 2021.

There are two types of benefit to be derived from reducing water consumption: water saved and energy saved. The value of water savings is made up of savings in variable costs – such as energy costs for pumping and for chemicals for water treatment – and capital costs – largely the cost of the deferral of capital works to expand capacity, or a reduction in the additional capacity required.

Energy savings result from improvements in the water efficiency of the products that use hot water – washing machines, dishwashers, showerheads and taps. There are also capital cost savings in relation to the deferral of capital works to electricity generation. Energy savings are estimated to be in the order of 47.7TJ by 2020. These energy savings will also reduce CO₂ emissions by 7.1 kT over the same period.

Previous Page / Table of Contents / Next Page