During this time, PUB was restructured and expanded its duties from simply providing drinking water to also treating all municipal wastewater and managing water infrastructure. PUB manages Singapore’s 15 reservoirs, six water reclamation plants and nine water treatment plants . The PUB administers the federally funded Active Beautiful Clean Waters program, a planning project intended to beautify the island’s drains, canals and reservoirs. Meanwhile, the separate NEA serves as the regulatory enforcement arm of the MOEWR. Commensurate with its investment in water, Singapore has also embarked on an aggressive economic development strategy of building an internationally renowned water technology industry. Singapore set up the Environment and Water Industry Program Office in 2006 and the government committed S$330 million to fund research and workforce development in the water industry. In 2011, the government added another S$140 million, bringing the total amount committed to S$470 million, or US$400 million. The bulk of this money supports research at the two major water research centers, but individual grants such as the innovative technology challenge are also available. EWI also provides PhD Scholarships for both national and international students to study water technologies.
These scholarships are redeemable at not only both national institutions, but also international centers,ebb and flow trays although only native Singaporean are eligible for international scholarships. Complementing the government’s efforts, is the regional trade association, the Singapore Water Association . SWA aggressively markets Singapore as a one-stop center for all water related services and as a water technology hub. The SWA is a government and business partnership with over 220 local members . Many members are local representatives of international water services and technology firms such as MWH Global, Suez, Mitsubishi, CDMH, etc. Singapore budgets S$50 million a year in government subsidies to entice water innovation companies to locate and maintain operations there. The small country also has over 70 local firms . The SWA is active at every scale all the way from the huge annual international conference to small local workforce development workshops. The association holds multiple monthly meetings, produces a monthly newsletter, conducts biweekly workforce development events, provides industry certifications, and even hosts a monthly casual “Singapore Water Industry Nite” . Singapore desires to be more than simply a gateway to neighboring international markets. Singapore’s strategy has been to develop local expertise through its infrastructure investment and research. Towards this aim, it has established numerous partnerships, notably through joint venture agreements used for the construction of the NEW water plants.
Singapore has recently signed a partnership agreement with Siemens Water Technologies, to build a new water treatment plant that uses half the energy of existing technologies . It should be noted that Siemens Water Technologies global research and development center is now in Singapore. Singapore’s PUB has also recently inked a new partnership with the famous Dutch water consulting agency, Delft Hydraulics, to develop a regional center of excellence for water knowledge . Singapore has agreements with the Dutch Kiwa water research center, and the important American trade industry group, American Water Works Association. as well as several others .Vying with Singapore and Israel for the world’s best branded water industry cluster is Australia. Since 2002, the already world’s driest continent, has been in the grips of a severe drought, which some have even called a thousand year drought. A few Australian economists have even estimated that the drought has shaved a percentage point of GDP growth annually . Water governance reforms begun in 1994 have created a more commercial industry and led to major improvements in water productivity and efficiency and growth in the domestic industry . The government’s National Water Initiative program is a partnership among local, state, and federal government that continues the reforms intended to develop a more efficient industry. In 2008, the government created a $13 billion ‘Water for the Future’ investment program to provide funding for water purchases, irrigation modernization, desalination, recycling, and storm water capture. Knowledge creation is a central goal of the efforts and two new research centers dedicated to water technology have been created, the Center of Excellence for Water Recycling and Center of Excellence for Desalination .
Since the turn of the millennium, Australia has experienced major growth in water technology patents . Desalination plants and city-wide wastewater recycling systems are also being pursed. In Australia, the use of recycled water is increasing, and now totals 5% of total consumption . In 2006, the government also implemented a new certification standard, the Watermark, for water supply, sewerage, plumbing and drainage goods . Government entities and the private sector have together recognized the economic growth potential of an export oriented water industry and are working hard to bolster Australian water technology and engineering firms, most actively in neighboring southeast Asian countries. Today Australia is widely recognized for its progressive water management practices. The last decade has seen the rise of multiple industry associations such as Australian Water Association , Water Australia, Water Supply Advocate, and the Australia Water Industry Alliance . For example, Water Australia aims to triple exports of Australian water technologies by 2015 . These various agencies are now working closely with governmental departments such as the department of Innovation, Industry, Science and Research and Australian trade commission to promote Australian water industry expertise throughout the world. That trade promotion has begun to pay off, for example,4×8 flood tray the Australian Water Industry Alliance claims to have grown annual exports of South Australian water technology products and water management services from less than $30 million in 1998 to over $550 million in 2011, over $3 billion in total export revenues . Australian firms such as engineering giant Whorly Parsons, Earth Systems, or SMEC have parlayed their mining and water engineering expertise into a global presence. Smaller and midsize firms with niche products such as specialized pump technologies, have also seen growth in exports . In 1994, well before the current crisis and growing public cognition of the countries vulnerability to global climate change, the Council of Australia Governments agreed to a significant water reform framework. The reforms were intended to make the industry more commercially oriented and responsive to change. Operational and regulatory responsibilities were separated throughout the country and are now administered through state or local bodies. Local utilities were reformed into large integrated state-owned corporate water service providers. Australia has over 300 utilities, but 71% percent of the population is served by the 22 largest ones centered around the major urban centers . Despite its vast size, Australia is heavily urbanized with over 90% of the population connected to a main water supply. Local competition in the procurement of capital items and facility management services was strongly encouraged and has resulted in more economic development . Significantly, water price subsidies were removed from Australia, which has been credited by industry as resulting in much higher investments in efficiency improvements. Water rights were also reformed and today, users purchase entitlements that can be bought and sold, with the result of a water market arising with rural to urban water transfers . The trading market has been very successful for farmers, particularly during dry years. For example in 2009, there were transfers of over $220 million in the south Murray Basin alone. As a result of these reforms, Australia’s water productivity has increased over 50%, and urban efficiency has improved over 25% . Water knowledge creation, at least as measured by Australia water technology patent production, has thrived since the reforms. Australian inventors filed 1,475 patents between 2004-2006, over one third of all water technology patents filed in the country . A large portion of the patents is for residential or one off uses, such as rain collection, rather than industrially oriented products . This is expected to change as industrial producers have rapidly embraced conservation technologies and many water intensive industries are incorporating direct water reuse technologies .
Large investments in desalination and water recycling will also increase research and development opportunities and capabilities. For example, the city of Melbourne is currently building the world’s largest desalination plant which will complement the country’s existing plants at Sydney, Perth, and the Gold Coast. One significant barrier to innovation, however, is the relatively conservative financial sector. Australia has a developed conventional financial industry, but historically it has not been a major source of capital for small technology startups . Nor is there an overly large venture capital presence. Surveys of inventors find that lack of resources is a major impediment to commercialization . Similarly, surveys of the renewable energy sector have also found that financial tools are an impediment to industry growth. The federal government has developed grant and loan programs aimed at overcoming this gap but potentially more is needed . Additionally, various federal and state governments have developed business incubators aimed at connecting innovative start ups with capital. Several niche start ups have prospered, particularly in wastewater products. For example, Biogill Environmental, invented an innovative membrane technology; Aqua Diagnostics, pioneered a wastewater sensor; Environstream Solutions created a new filter technology . As the water reuse industry grows internationally, these firms are well positioned to thrive. Another significant development brought about by the 1994 reforms, is that the federal government’s Bureau of Meteorology now prepares the annual report, the National Water Account, which details volumes of rainfall, water stocks and current flows, water use, water rights, and water market trades . This public information is used to plan water management accordingly. The government has also created the “Water for a Healthy Country Flagship Program” a long-term water urban planning program with a goal of developing integrated urban water resources management approaches that utilize the full water cycle from storm water capture to effluent discharge . This is a very important governance goal that is similar to Singapore and Israel’s strategies of comprehensive water resource management. The Netherlands has also moved decisively in this direction with water management now handled under central ministry of infrastructure and the environment. In Australia, however, implementation of integrated management practices has been somewhat spotty in practice. For example, Benetini and Brown’s study of the drought stricken western Australia city of Perth, found major institutional barriers despite the overwhelming compelling logic of integrated management. As most parts of the water process are managed separately from one another, each player is only focused on their role rather than the complete picture. Information was not easily shared, single use infrastructure continued to be the preferred method, and incentives were misaligned . Findings such as these have potential ramifications for continued reforms. Many water resource managers recognize the logic of integrated water management, particularly as a cost effective new source, yet are cognizant of the structural tension that currently exists. Therefore, many have concerns about additional reforms. In a policy paper on additional possible reforms, the Australia Water Alliance explicitly cautioned that planning must continue to be integrated with service delivery. The AWA further warns that unplanned “disaggregation of the industry” could diminish institutional knowledge capacity and aggravate the problem. . The United States water and wastewater industries are the world’s largest and most developed. In 2011, sales topped $136 billion—over a quarter of the global total. Since 1994 the industry has nearly doubled in size, growing an average of 4.1% every year. . There are hundreds of thousands of water businesses in the United States. Accordingly, there are also numerous regional centers of water technologies. I do not intend to get into a detailed explanation of the workings of the United States water technology innovation system here as I discuss that in much more detail in my analysis of southern California in the chapters that follow. Instead I wish to briefly discuss three regional centers here. Again I would like to note that a case could be made for other regional water technology centers. For example, the Tristate New York, Pennsylvania, New Jersey region is a very strong player in water technologies with US headquarters of Siemens Water Technologies, Dow Chemical, Pall, and the newly water focused ITT spin off Xylem .