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Multi-front Actions on the War on Pollution: The State of Environmental Report in 2014 was officially “average” but a closer look reveals groundwater quality has worsened four years running and rivers in the Southwest are showing signs of deterioration for the first time. Is the war on pollution effective? There is hope ... MSCI's Chew & Wang on pollution violations & corruption crackdowns while Ceres’ Freyman says that water - or the lack of it, means investors can no longer ignore water risks. This month's edicts and polices have focused on safe drinking water, the circular economy and lowering carbon emissions, so we have Li Ling share some cost effective rural drinking water solutions while WaterHubs' Saraf tells us how urban slums can go circular and Veolia's Cambadelis tackles the water-energy nexus. The apparel sector also needs to go circular and we are glad to see the industry recognising this in the Global Leadership Awards in Sustainable Apparel (GLASA) by focusing on water in 2015. We are also pleased to announce that we have been nominated and selected as a finalist for the 2015 GLASA Awards which will take place in Stockholm, to coincide with World Water Week where we will also co-convene a seminar with HSBC on "Rethinking Water for Growth: Balancing trade, resource allocation & economy". See you in Stockholm! 
   
July Newsletter
 
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Multi-front Actions on the War on Pollution: The State of Environmental Report in 2014 was officially “average” but a closer look reveals groundwater quality has worsened four years running and rivers in the Southwest are showing signs of deterioration for the first time. Can the war on pollution be effective when polluters are tampering with monitoring?

There is hope ... 2015 should mark the turning point with the new environmental protection law in force. Recent action include higher violation fines, more litigation and a continuing anti-corruption crackdown (see "Tapping In" column). Violations resulting in penalties and stop production orders have already doubled between 2011-2014 and corruption controversies are expected to double in 2015 - MSCI's Chew & Wang further expand on their findings. With a multi-front war on pollution, it is important not to ignore the associated risks - already Ceres’ Freyman is saying that water - or the lack of it, is becoming a bigger financial issue for investors.

Aside from fighting to lower carbon emissions, edicts and polices this month have also pushed safe drinking water to reach 60 million more Chinese and circular economy pilots in industry parks. We therefore have Li Ling share some cost effective rural drinking water solutions while WaterHubs' Saraf tells us how urban slums can go circular with modular water & sanitation infrastructure and Veolia's Cambadelis tackles the water-energy nexus by turning wastewater into energy in Urumqi. 

Another industry that needs to go circular due to limited water resources is the apparel sector. We are glad to see the industry recognising this in the Global Leadership Awards in Sustainable Apparel (GLASA) by focusing on water in 2015. We are also pleased to announce that we have been nominated and selected as a finalist for the 2015 GLASA Awards which will take place in Stockholm, to coincide with World Water Week where we will co-convene a seminar with HSBC on "Rethinking Water for Growth: Balancing trade, resource allocation & economy" (see events). 

See you in Stockholm! 
 

2014 State of Environment Report Review
The overall environmental quality in 2014 was "average", but with polluters tampering with monitoring, can we believe this data? We take a closer look at  the mixed news
  Read this article
   
A New Era of ESG in China
China’s economy is slowing with challenges arising from ESG factors. MSCI's Chew & Wang on pollution fines and anti-corruption crackdowns from their recent report. Investors need to be prepared & look into these new factors
  Read this article →
   
Investors Can No Longer Ignore Water Risks 
Ceres warns that water – or lack of it – is becoming a bigger financial issue for investors. Monika Freyman shares key points from their report on how to integrate water analysis into investment decisions
  Read this article
   
Rural Drinking Water Solutions
783 million people in rural areas still lack safe drinking water due to diseases coursing through waterways. Ling Li on why a traditional water distribution system is not necessarily the best answer & shares cheaper alternatives
  Read this article →
   
WaterHubs: Infrastructure for Urban Slums
523 million or 61% of the urban slum population in developing countries is in Asia. Saurabh Saraf, WaterHubs CEO, outlines how WaterHubs can deliver holistic & fiscally viable water & sanitation solutions for slums
  Read this article
   
Wastewater to Energy in Urumqi  
In Urumqi, China water & energy demand has increased due to rapid growth. Veolia's Nina Cambadelis on how a wastewater treatment plant can be upgraded to produce biogas from the digestion of sewage sludge
  Read this article
   
GLASA Awards 2015 - China Water Risk is a Finalist
The GLASA Award celebrates bold & courageous leadership in the apparel sector and promising ideas/practices that can increase the sustainability performance of sector. This year's focus is water
  More here
   
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Events Government Reports Interest
  • Xie Zhenhua, NDRC: China's climate change plan to cost RMB41 trn
  • Supreme Court: 13 pilot projects to start public interest litigation for cases on environ & resource protection and food safety
  • MoF: RMB25bn for water projects; 29 existing & 143 new
  • MEP: RMB2.8bn central budget set to tackle heavy metal pollution
  • Over 2,100 officials investigated for environ-related crimes
  • 2,080 criminal cases handed to the police by environ protection depts in 2014; 2x than in previous decade
  • Coca-Cola China: 2020 water replenishment goal met in 2014
Hot on Weibo:
  • More than 1mn people evacuated due to Typhoon Chan-hom around the Yangtze River Delta
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