Comparative Economic and Life Cycle Analysis of Future Water Supply Mix Scenarios for Hong Kong – A Water Scarce City

Increasing urbanization and changes in climate have placed increasing stress on urban water supply systems. Policy makers have increasingly adopted alternative water supply sources, such as desalination and water reclamation to meet this challenge, however these technologies may increase the negative environmental impacts of the water supply system. These alternative sources are energy intensive, and more expensive to produce, which raises questions about their sustainability. In this study, a Life Cycle Assessment (LCA) and a economic portfolio choice model were used to determine the impacts of Hong Kong's long term water policy. The results of our study show that the current water policy will increase the carbon emissions of producing 1 m³ of freshwater by 11% to 1.65 kg CO2-Eq due to the addition of desalination. However, a fit-for-purpose water policy approach only increases emission by 4%, to 1.54 kg CO2-Eq, by instead relying on water reclamation to offset freshwater consumption. Impacts from increased energy consumption were mitigated by improved wastewater treatment, which reduced CH₄ emissions. Although, ozone layer impacts increased due to higher NOx and N₂O emissions, highlighting the need to consider emissions from wastewater treatment processes when evaluating water reclamation processes. Impacts to water prices were also minimized when reclaimed water was chosen over desalination, due to its lower unit production cost. By considering both cost and environmental impacts of such system level changes, decision makers can more accurately evaluate different water supply approaches for data-driven policymaking.