MULTI DIMENSION IMPACT ACCOUNTING File: MDIA-p3-04-32-WATER-150620.odp Peter Burgess (c) All rights reserved MDIA WATER A COMPONENT OF NATURAL CAPITAL
MULTI DIMENSION IMPACT ACCOUNTING
File: MDIA-p3-04-32-WATER-150620.odp Peter Burgess (c) All rights reserved
MDIAWATER
A COMPONENT OF NATURAL CAPITAL
MULTI DIMENSION IMPACT ACCOUNTING
WORK-IN-PROGRESS.SLIDESET STILL IN DEVELOPMENT.UPDATES WILL BE POSTED OVER
THE NEXT SEVERAL WEEKS
The IMPORTANCE of WATER
Without WATER, a person is dead in less than three days. In a major drought, plants die, then animals and then people.
Huge amounts of water are needed to grow almost everything.
Huge amounts of water are needed to make almost everything.
MULTI DIMENSION IMPACT ACCOUNTING
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun
DROUGHTCrops fail
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun
DROUGHTWater shortage in New Mexico
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun
DROUGHTCamel carcass … Horn of Africa
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun
DROUGHTDead animals … Horn of Africa
The CHALLENGESTo use water in a more efficient way so that:
● We have water we need for people;● We have water to grow what we need;● We have water to produce what we need
To end water pollution from human activities: ● Runoff from agriculture;● Effluent from urban areas;● Wastewater from industrial activities.
MULTI DIMENSION IMPACT ACCOUNTING
WATER, a product of NATURE● Purified by natural systems;● Historically a 'free' good;● Now, increasingly there are shortages; ● Essential for all forms of life;
● People die after 3 days with no water;● Huge amounts used in agriculture;● Huge amounts used in industrial operations;● And lots of wastewater and pollution issues to be addressed
MULTI DIMENSION IMPACT ACCOUNTING
The next slide:
WATER …
Perhaps the most VALUABLE substance on the planet.
MULTI DIMENSION IMPACT ACCOUNTING
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun
WATER
DRINKING WATER
The next 2 slides:
BOTTLED WATER …
One of the most PROFITABLE products on the planet …
… as long as external negative IMPACTS are ignored
MULTI DIMENSION IMPACT ACCOUNTING
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun
WATER
BOTTLED WATER
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun
WATER
BOTTLED WATER
The next slides:
Freshwater ...● Lakes;● Rivers;● Rain.
Saltwater ...● Oceans
MULTI DIMENSION IMPACT ACCOUNTING
“Water, water, everywhere … and not a drop to drink”
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun
WATER - LAKES
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun
WATER – RIVERS / STREAMS
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun
WATER – RIVERS / STREAMS
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun
WATER - RAIN
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun
WATER - RAIN
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun
WATER - OCEAN
The next slides:
Water Shortages● Dry river in Pakistan;● Nearly empty reservoir in California● Collecting water in North Kenya;● Waiting for water in Myanmar.
MULTI DIMENSION IMPACT ACCOUNTING
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun
WATER
WATER SHORTAGE
Pakistan … 2009
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun
WATER
WATER SHORTAGE
California … 2014
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun
WATER
COLLECTING WATER
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun
WATER
COLLECTING WATER
Myanmar … 2011
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun
WATER
FLOODS
Myanmar … 2011
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun
WATER
FLOODS
The next slides:
Flood control measures● River Thames in London;● Dam in China;● Dam in USA.
MULTI DIMENSION IMPACT ACCOUNTING
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun
WATER
FLOOD CONTROL
Thames barrage
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun
WATER
FLOOD CONTROL
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun
WATER
FLOOD CONTROL
WATER is an amazing solvent … and this is a huge problem because water dissolves both good things and very bad things.
MULTI DIMENSION IMPACT ACCOUNTING
WATER POLLUTION comes from:Personal use … gray water;Storm water run off;Agriculture run off;Industrial process effluents;Industrial process leakages;Abandoned mines; Seepage from land fill (waste).
MULTI DIMENSION IMPACT ACCOUNTING
The next slides:
Water Pollution● Polluted rivers … solid waste;● Industrial waste water;● Abandoned mines runoff;● Deforestation;● Sediment laden river in China
MULTI DIMENSION IMPACT ACCOUNTING
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun
WATER
RIVER POLLUTION … SOLID WASTE
River Ganges in India
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun
WATER
INDUSTRIAL WATER POLLUTION
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun
WATER
ABANDONED MINE POLLUTION
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun
WATER
DEFORESTATION
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun
WATER
SEDIMENT LADEN RIVER
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun
NATURAL WATER TREATMENT
REMEDIATING ABANDONED MINE DRAINAGE
Pennsylvania
MULTI DIMENSION IMPACT ACCOUNTING
Sun
BOP
Sun
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun SunSun
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun
EOPWater enters a stream … but is this clean water?
The WATER dimension of the socio-enviro-economic system depends on the characteristics of the water sources in the PLACE
MULTI DIMENSION IMPACT ACCOUNTING
PROCESSES that use WATER should be efficient in the context of the PLACE.
Post PROCESS water should not pollute the environment.
MULTI DIMENSION IMPACT ACCOUNTING
MULTI DIMENSION IMPACT ACCOUNTING
SunSun
BOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun SunSun
EOP
FinancialCapital
HumanCapital
Man BuiltStructures& Systems
NaturalCapital
Sun
WATER
WATER FLOW
The main uses for WATER:Personal use … hydration;Personal use … washing, cooking, etc;Personal use … landscaping, etc;Agriculture … irrigation;Agriculture … livestock husbandry;Industrial process … manufacturing;Natural process support;Water transport losses;
MULTI DIMENSION IMPACT ACCOUNTING
The main sources of WATER:Rain, rivers and surface reservoirs;Underground aquifers;Deep old water aquifers;Desalination systems.
MULTI DIMENSION IMPACT ACCOUNTING
Unlike oil and gas, there is no global system of logistics to move water around the world.
MULTI DIMENSION IMPACT ACCOUNTING
Transport is readily justified based on value … but not easily justified with the cost / pricing construct that has prevailed for a long time*
MULTI DIMENSION IMPACT ACCOUNTING
* See MDIA discussion on Bottled Water
The amount paid for water is in the financial accounts.
It is likely that the quantity of water going into the process is also recorded as a 'memo' item.
MULTI DIMENSION IMPACT ACCOUNTING
It is less likely that the quantity of water leaving the process is recorded.
Both the quantity of the water leaving the process and the quality of the water is required.
MULTI DIMENSION IMPACT ACCOUNTING
The IMPACT is a function of these PROCESS parameters: the consumption of fresh water … i.e. fresh water in less water out;
and,
the quantity and quality of the water out.
MULTI DIMENSION IMPACT ACCOUNTING
The IMPACT is also a function of water sources in the PLACE: The availability of water from sources that are replenished naturally (local rain, rivers etc.)
The stocks of ancient water that may be mined
MULTI DIMENSION IMPACT ACCOUNTING
And the IMPACT is also a function of water needs in the PLACE: The need for PEOPLE use – essential needs;
The need for PEOPLE use – less-essential;
The needs of AGRICULTURE;
The needs of INDUSTRY.
MULTI DIMENSION IMPACT ACCOUNTING
… the next slide is a graphic that puts much of this into the MDIA framework …
MULTI DIMENSION IMPACT ACCOUNTING
MULTI DIMENSION IMPACT ACCOUNTING
Sun
BOP
Sun
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun SunSun
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun
Rain
WATER EOP
River
Reservoir
Old water
IndustrialIrrigated
Agriculture
PeopleUse
FreshWater
MinedFreshWater
TotalFreshWaterIntoUse
IN
IN
Polluted
Polluted Water
Rain
River
Reservoir
Old water
Replenishment Rain / Water Flows
ResourceDepletion
EnvironmentalDegradation
Polluted
Polluted Water
Polluted Water
Fresh
Mining &Industry
Fresh
Polluted Water
The valuation of RESOURCE DEPLETION associated with the mining of old water that does not replenish has to be quantified ...
MULTI DIMENSION IMPACT ACCOUNTING
… and the reason for the agriculture and the industrial production is so that PEOPLE have the food and 'stuff' they need to maintain their lifestyle.
MULTI DIMENSION IMPACT ACCOUNTING
MULTI DIMENSION IMPACT ACCOUNTING
Sun
BOP
Sun
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun SunSun
FinancialCapital
HumanCapital
Man BuiltCapital
NaturalCapital
Sun
WATER EOP
IndustrialIrrigated
Agriculture
PeopleUse
Polluted
Polluted Water
Rain
River
Reservoir
Replenishment Rain / Water Flows
ResourceDepletion
EnvironmentalDegradation
Polluted
Polluted Water
Polluted Water
Fresh
Mining &Industry
Fresh
Polluted Water
Waterfrom
regular flows
PeopleUse
DrivesEverything
NetWaterUse
Minedold
water
BOPOld water
EOPOld water
Moving forward … Request for collaborationMoney is part of a complex socio-enviro-economic system. While it works … it does not work as well as it should, nor as well as it could. The work of MDIA is to enable this complex system to work better.
MDIA needs to be a team effort. Join in and help to make the world a better place. Please get in touch.
Peter Burgess … [email protected]
MULTI DIMENSION IMPACT ACCOUNTING
Some links and contact information: Peter Burgess … [email protected]
Peter Burgess LinkedIn profilehttps://www.linkedin.com/in/peterburgess1
Link to TrueValueMetrics.org websitehttp://www.truevaluemetrics.org/
Link to navigation for MDIA slidesetshttp://www.truevaluemetrics.org/DBadmin/DBtxt001.php?vv1=list0200-Burgess-p3-Slidesets
MULTI DIMENSION IMPACT ACCOUNTING