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

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

3. 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

4. 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

5. 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

6. 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

7. 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

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

9. 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

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

11. 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

12. 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

13. 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

14. 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

15. 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

16. 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

17. 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

18. 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

19. 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