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Water is a Location Factor in Europe

The cost and availability of water will come to affect European economies much as the dependency on oil and gas imports does today. "Water will become a growing cost factor that will influence the competitiveness of trade and industry and burden households even more than it does today", forecasts Roger Radke of the Siemens Industrial Solutions and Services Group during 3rd Press Conference Infrastructure Water Technology Europe.

Indeed Europe boasts adequate renewable fresh water resources in the region of 3500 cubic kilometers, but availability and quality differ considerably from region to region. Increased water processing in southern and eastern Europe and water cycle management in industry in northern and western Europe offer solutions that can meet the growing needs and requirements of the water quality, reduce costs, and thus strengthen the competitiveness of the regions in Europe.

In North-West Europe the municipal sector consumes approximately 35 percent of the water supply. With a share of around 45 percent, industry is the largest water consumer, although the quality of the drinking water in many parts of Europe is far from adequate for the sensitive industrial sectors such as the food and pharmaceutical production. In many regions, potable water is contaminated by nitrates, pesticides, and heavy metals. Adequate water supplies are available in east European countries but the water is frequently contaminated by domestic, industrial, and agricultural wastewater containing pollutants. Expansion of the steppe regions by 20 percent since 1985 and the resulting water shortages means that, in southern Europe, water will have to be increasingly processed for reuse in order to satisfy demand. Not only is the entire Mediterranean region experiencing reduced precipitation and increased environmental pollution but it is also faced with urbanization. According to a UNEP study the population in the Mediterranean littoral states is set to grow by almost 100 million to 524 million by the year 2025. In the coming years, this development will increase the water requirement, which is hard to meet even today, by 25 percent.

Europe already has the highest water prices in the world. In England, France, Spain, Belgium, and Finland, water prices rose considerably faster than inflation between 2001 and 2002.



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