Sustainable Investing

Water pollution

Water pollution is the contamination of an open freshwater or saltwater watercourses with non-indigenous organic or man-made material.

It is a major threat to water quality worldwide and to marine life in rivers, lakes, seas and oceans.

Agricultural methods and industrial production are the main threats to fresh watercourses. Pesticides and manures used by farms are eventually washed by rain into the water cycle, polluting rivers and lakes. Some of it is captured by the hydrological cycle, falling as acid rain, and completing a vicious circle.

A survey of US water quality by the Environmental Protection Agency showed that nearly half of American rivers and streams and more than one-third of lakes were polluted and unfit for swimming, fishing, and drinking. The primary cause was nitrates from farming.1

Human effluent is another cause of water pollution. Modern sewerage systems in developed nations are usually able to capture human waste and treat it so that it doesn’t enter watercourses untreated. However, in emerging markets, between 80% and 95% of wastewater flows back into the environment without being treated or reused, according to the UN.2

Creating returns that benefit the world we live in

Industrial discharges

Industrial discharges of chemicals, byproducts or water that became contaminated when it was used in the manufacturing process is another cause of pollution. The Rhine was once so polluted due to discharges from Germany’s chemical plants that it was possible to develop film in the river. Lakes close to industrial facilities in Siberia were similarly so polluted that they didn’t freeze during winter.

Mining has been a major source of pollution due to slurries created through coal production or mineral extraction. This has led to several Robeco engagement campaigns, particularly regarding the threat posed by the tailings dams that hold the waste products which leak into watercourses when not managed properly.

Oil leaks have been high profile when tankers ran aground or were damaged, spilling crude oil into the sea, but such leaks remain relatively rare. Almost half of the estimated 1 million tons of oil found in the sea each year comes from land-based sources such as car engine oil. One liter of motor oil poured down the drain is enough to pollute 60,00 liters of water.3

Radioactive leaks are also rare, though contaminated water has been found close to nuclear plants, and during uranium production. Water discharges contaminated by the Fukushima nuclear disaster in Japan contains radioactive isotopes with a half life of 5,730 years, meaning they pose a cancer threat to human and marine life for thousands of years

Industrial discharges

Marine debris

Marine debris is an increasing threat. Discarded consumer products such as plastic bags, cotton buds and drinks tins is responsible for harming more than 200 different species of marine life, while fishing lines and nets dumped in rivers or ocean can strangle or choke animals such as turtles.

Plastic waste is one of the biggest problems due to the millions of single-use bottles that are dumped annually. A report by the Ellen MacArthur Foundation predicted that if the world continues to dump 9.1 million tons of plastic in the ocean each year, there will be 850-950 million tons of it floating in the sea by 2050, compared to estimated fish stocks of 812-900 million tons, meaning there will be more plastic in the ocean than fish.4

Another issue is the fact that many plastics break down in salt water into tiny fragments. A study by the Ocean Rescue science group calculated that there are now 5 trillion microplastics floating on the ocean's surface. Much of this is ingested by sea creatures which means it goes into the food chain when fish and squid are caught for human consumption.

Finally, global warming forms part of the threat due to the fact that up to 90% of all greenhouse gases have been absorbed by the oceans, causing greater acidity which is destroying coral reefs and poisoning some species of fish.

See also:

Food sustainability Health and nutrition Sustainable supply chains Global warming

Creating returns that benefit the world we live in

Let's keep the conversation going

Keep track of fast-moving events in sustainable and quantitative investing, trends and credits with our newsletters.

Stay updated
Robeco

Robeco aims to enable its clients to achieve their financial and sustainability goals by providing superior investment returns and solutions.

Important information This disclaimer applies to any documents and the verbal or written comments of any person in presentations or webinars on this website and taken together is referred to herein as the “Information”. The services to which the Information relate are NOT FOR RETAIL CLIENTS - The information contained in the Website is solely intended for professional investors, defined as investors which (1) qualify as professional clients within the meaning of the Markets in Financial Instruments Directive (MiFID), (2) have requested to be treated as professional clients within the meaning of the MiFID or (3) are authorized to receive such information under any other applicable laws and must not be relied or acted upon by any other persons. This Information does not constitute an offer to sell, or a solicitation of an offer to buy, any financial product, and may not be relied upon in connection with the purchase or sale of any financial product. You are cautioned against using this Information as the basis for making a decision to purchase any financial product. To the extent that you rely on the Information in connection with any investment decision, you do so at your own risk. The Information does not purport to be complete on any topic addressed. The Information may contain data or analysis prepared by third parties and no representation or warranty about the accuracy of such data or analysis is provided.

In all cases where historical performance is presented, please note that past performance is not a reliable indicator of future results and should not be relied upon as the basis for making an investment decision. Investors may not get back the amount originally invested. Neither Robeco Institutional Asset Management B.V. nor any of its affiliates guarantees the performance or the future returns of any investments. If the currency in which the past performance is displayed differs from the currency of the country in which you reside, then you should be aware that due to exchange rate fluctuations the performance shown may increase or decrease if converted into your local currency. Robeco Institutional Asset Management B.V. (“Robeco”) expressly prohibits any redistribution of the Information without the prior written consent of Robeco. The Information is not intended for distribution to, or use by, any person or entity in any jurisdiction or country where such distribution or use is contrary to law, rule or regulation. Certain information contained in the Information includes calculations or figures that have been prepared internally and have not been audited or verified by a third party. Use of different methods for preparing, calculating or presenting information may lead to different results. Robeco Institutional Asset Management B.V. is authorised as a manager of UCITS and AIFs by the Netherlands Authority for the Financial Markets and subject to limited regulation in the UK by the Financial Conduct Authority. Details about the extent of our regulation by the Financial Conduct Authority are available from us on request.