Water-Energy-Food Nexus - Concept & Policy Framework- Professor Seungho Lee Graduate School of International Studies Korea University Korea International Water Week 21st September, 2017

Table of Contents Introduction Research Background & Definition Policy Framework Case Studies Conclusion

1. Introduction Research Purpose Rationale To evaluate the background and concept of the Water-Energy- Food Nexus To discuss policy framework with case studies Rationale Resource depletion, overuse & unsustainable management caused by population growth, urbanization, industrialization & climate change Water, energy, food issues interconnected & complex challenges triggered through interactions between them Difficulty resolving such challenges through ‘silo-based’ approaches An innovative approach needed  the water-energy-food nexus

2. Research Background & Definition Water-energy, energy-food, food-water connectivity 15% of global freshwater resources required for resource development & cooling water for power generation Corn, wheat, sugarcane needed for production of biofuels A lack of power in developing countries  food production lagging behind & aggravating desertification Dilapidated water & sanitation facilities, inefficient water management  less freshwater resources & low agricultural productivity Business-as-usual scenario Increase of cross-vulnerabilities between 3 sectors  inefficient & unsustainable policy failure expected at the global & local levels Inefficient use & conservation of invaluable resources for human development  a recipe for disaster

2. Research Background & Definition 2011 Water Energy Food Security Nexus Conference in Bonn Urbanization, population growth, climate change  the need for decision-making based on an understanding of interconnectivity between water, energy and food Financing, incentives & governance, consistent institutions & policy Enhancement of resource productivity & multi-purpose use of wastes Food Agricultural Organization (FAO) approach Food security-based nexus approach Balance between economy, society & environment with diverse development purposes, a pivotal role for sustainable development Decrease of trade-offs & increase of synergies  integrated approaches & multi-stakeholder dialogues required in various fields Analysis of related information, scenario development, a set-up & implementation of counter-measures

2. Research Background & Definition Interconnectivity between water, energy & food security Ensuring each sector security, good resource supply & distribution, sustainable consumption & management Water security Industrialization, urbanization, population growth leading to an increase of per capita water consumption & serious water pollution  Worsening water shortage in arid & semi-arid areas Change of rainfall pattern due to climate change  urban flashflood, concentrated rainfall & extreme drought Water environments damaged & often neglected

2. Research Background & Definition Energy Security Oil & gas available for 60 years, coal for 119 years in 2011  shale gas & oil available but supply unstable Nuclear power, safety issue unresolved after Fukushima 2011 & 180 plants built by the Chinese & safety concerns rising in East Asia Food Security FAO global grain safety stock level 17-18%  18.7% in 2013 Global grain price surged 2-3 times compared with 2000, population growth from 7 to 9.1 billion, food consumption increased 1.7 times Per capita arable land decreased, food production concentrated in a few countries, i.e. USA, Brazil, Argentina & China, developing countries importing more food Korea’s grain self-sufficiency, 22.6% in 2011, the lowest among the OECD countries  small-scale farms and farmers, ageing rural population & decrease of arable land problematic

Water-Energy-Food Security Nexus Source: FAO (2014) The Water-Energy-Food Nexus at FAO: concept note. FAO, May 2014.

2. Research Background & Definition Definition of Water-Energy-Food Nexus ‘A way of thinking about the interdependencies, tensions and trade- offs between water, energy and food security in the wider context of environmental change with a focus on the impact on social systems’ (Houses of Parliament, 2016) Technical aspects & major principles Understanding & quantification of inputs from the other resources in the process of producing and distributing a resource, and efficient management of production, supply and consumption of 3 resources Inclusion of the poor and the marginalized in the development of 3 resources, universal access to water, energy & food, increase of resource use efficiency, and guarantee of healthy & productive ecosystems

Water-Energy- Food Nexus Agricultural water Pumping Desalination Wastewater Treatment Water Transfer Resource development Cooling water Hydropower Biofuels Pumping, agricultural machines, Agricultural facilities

2. Research Background & Definition Special features in the Water-Energy-Food Nexus Interdependencies: cooling water for energy generation through coal, oil or natural gas, electricity required for water intake, treatment & distribution, additional water necessary for an increase of agricultural productivity in irrigation projects Trade-offs: more water intake for increasing food production led to less water for other sectors & industrial production & retarding economic growth, less power generation Synergies: increase of efficiency in resource use & conservation through nexus-based policy making & implementation, eventually achieving sustainable development

3. Policy Framework Prerequisites for the Nexus policy-making Institutional platform necessary for the nexus policy-making together with analyses of interactions between 3 sectors Policy & projects dealing with global, regional & national issues Common policy framework needed as to minimize negative impacts on water, the environment & society Least trade-offs & maximum synergies between 3 elements under the concept & policy framework of IWRM  a setup of the so called ‘Water-Energy-Food Nexus Council’ Recognizing that the nexus policy cannot completely remove trade-offs between 3 sectors  integrated policy to minimize trade-offs & maximize synergies

3. Policy Framework 4 steps for implementation of the nexus policy Analysis of the current water, energy & food security  investigation of interconnectivity & assessment of elements to impact upon current & future scenarios Future nexus scenarios  policy implementation measures for institutional platform Promotion of investment  previous outcomes & opinions from stakeholders for investment at the national & local levels Overall system transformation  putting strategies into practice, establishment of institutional framework & implementation, and feedback system for stakeholders

3. Policy Framework Value of the nexus approach faced with a severe drought Outbreak of a severe drought in the agricultural sector  reduced water supply for other sectors, more food import Trade-offs of water for the environment, household, industries, cooling for power generation & hydropower More pumping in pumping stations & for exploiting groundwater, diverting water from hydropower to agricultural purposes More electricity use when the drought intensifies Interdependencies between 3 sectors recognized based on the nexus approach & the need for an integrated management of 3 sectors Consideration & establishment of a council for integrated management Creation & operation of the water-energy-food governance through multi-stakeholder dialogues

Water Energy Food Water-Energy-Food Nexus in a severe drought More energy use for water More energy use for pumping More energy use for cooling water More water use for other sectors More water use for food production More energy use for food production Water-Energy-Food Nexus in a severe drought Source: Modified based on Lee, Sanghyun (2015) Water-Food-Energy & Agricultural Drought. Rural Resources 57(2), 49-55

3. Policy Framework Policy Framework Case - USA Energy & Water Research Integration Act in 2009 proposed  consideration of the amount of water required for energy research, development & pilot projects and advocating clean water supply & efficient & sustainable water supply Water-Energy Tech Team created in 2012 under the Ministry of Energy, aimed at coordinating subordinate offices & research centers and discussing relevant issues with other ministries & stakeholders Smart Energy & Water Efficiency Act in 2015 proposed  enhancement of energy efficiency in water supply, wastewater treatment & water reuse for local communities, and establishment of information system on water & energy

4. Case Studies Saudi Arabia California, USA Export of livestock & dairy products to other Middle Eastern countries  thanks to freshwater produced through desalination plants Water via desal plants possible thanks to revenues by oil & gas export Desal plants needing a 1.5 million barrel of oil per day, over 8 million barrel required until 2040  depletion of oil & gas reserves, increase of GHGs, increase of water-related disasters California, USA State Water Project aimed at providing water for 75 million people and a 3,000 km2 of irrigated areas in central & southern California The level of water in reservoirs plummeted and temporary suspension of water supply due to a severe drought in January 2014 Consideration of the introduction of desal plants in southern California  possible to reduce a 3 million m3 of water import from other regions but around 3 TWh of additional electricity needed

4. Case Studies Republic of Korea Approximately 7% of the total electricity in Korea needed for tap water supply related facilities Negligible amounts of energy & water required for operating small- scale desalination plants in islands & nuclear power plants & little amounts of biofuels produced Agricultural sector accounting for 49% of the total water available, domestic for 39%, industrial for 12% Out-of-date water supply pipes, sewers & agricultural reservoirs  the need for upgrading, making them ‘smart’ & adequate pricing in water & sanitation services for financing Removal of adverse subsidies for water & energy services, and removal of agricultural subsidies & increase of water & energy use efficiency

5. Conclusion The magnitude of the Water-Energy-Food Nexus Promotion of resource use efficiency, resource conservation & efficient management of resources, a key to achieving sustainable development Still an early period  at the stage of conceptualization & discussion on relevant policies & projects together with institutional framework The need for the nexus based policy framework Silo-based policy-making & implementation led to inefficient use of resources, resource waste & detrimental impacts on the environment Integrated policy, least trade-offs, maximum synergies More investment in R&D on the water-energy-food nexus Small-scale research needed to focus on pairing, i.e. water-energy, energy-food, water-food and then research expanded to look at the nexus between water, energy, and food