Natural Capitalism

This report chapter argues that the solution to global freshwater scarcity is not increasing supply through costly and environmentally damaging infrastructure, but radically increasing water productivity through efficiency and demand-side management across agriculture, landscaping, buildings, and industry.

• Freshwater scarcity is a global crisis driven by pollution and the depletion of nonrenewable supplies, with water tables retreating on every continent. The document notes that 70 percent of groundwater pumping is used to irrigate crops, and climate change may intensify droughts in subcontinental areas.
• Traditional supply-side strategies, such as building large dams, are insufficient and ecologically harmful. The United States lost over 60 percent of its inland wetlands and polluted half its stream-miles during the era of water-capturing projects. The report asserts that the only practical large-scale solution is to use existing water more efficiently.
• Agriculture is the largest consumer of water, accounting for 81 percent of all 1995 consumptive use in the U.S. Efficiency gains can be achieved through soil moisture sensors, which can save one-third to two-thirds of water, and subsurface-drip irrigation, which can reach 95 percent efficiency. Converting half of the world's flood-irrigated acres to drip and sprinkler systems could provide enough water to feed an additional 2.6 billion people by 2025.
• In buildings, significant water savings are possible through fixture upgrades and behavioral changes. High-performance showerheads (1.0–1.5 gpm) and faucet aerators can reduce use, while waterless urinals can save 40,000 to 60,000 gallons per unit annually. The report highlights Swedish separating toilets, which separate urine from feces to eliminate water use and provide fertilizer, as a superior alternative to the traditional flush toilet.
• Industrial water intensity has decreased significantly; nonagricultural U.S. businesses withdrew 38 percent less water in 1995 than in 1970 while increasing real output by 69 percent. Examples include Pacific Coca-Cola reducing rinsewater by 79 percent using air, and the GST Steel Plant recycling water at least 16 times.
• Urban water management can be improved by capturing rainwater and graywater. In Los Angeles, implementing citywide rainwater harvesting could cut water imports by 50–60 percent. Graywater reuse for subsurface irrigation can cut total household water use by approximately half.
• The report advocates for decentralized, biological wastewater treatment over large, centralized chemical plants. 'Living Machines' use engineered ecosystems of bacteria, algae, plants, and fish to treat wastewater as food, producing higher effluent quality and valuable fertilizers without using chlorine or aluminum salts.

APA

RMI (n.d.). Natural Capitalism. https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_NCchapter11.pdf

Chicago

RMI. Natural Capitalism. n.d. https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_NCchapter11.pdf.

Wikipedia

{{cite report |author=RMI |title=Natural Capitalism |url=https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_NCchapter11.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{rmindnatural, author = {{RMI}}, title = {{Natural Capitalism}}, institution = {RMI}, url = {https://rmi.org/app/uploads/2017/05/RMI_Document_Repository_Public-Reprts_NCchapter11.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }