PepsiCo Achieves 100% Water Replenishment at High-Risk Manufacturing Sites
PepsiCo has reportedly attained the milestone of 100% water replenishment in all of the company’s manufacturing facilities in water-risk areas. This has been announced in the latest disclosures.
The company has reportedly expanded the implementation of the Alliance for Water Stewardship (AWS) Standard in these water-risk facilities. This is with the objective of improving water governance and water stewardship in these water-stressed regions.
Water replenishment is the process of replacing the equivalent volume of water withdrawn from the environment back into the local watershed through conservation, recharge, and community-based programs. This achievement is the result of the company’s previous success in replenishing 75% of water used in water-risk areas by 2024.
The company has stated that the figure of over 60 active projects has resulted in the replenishment of nearly 29 billion litres of water in 2025 alone.
The operations of PepsiCo are highly vulnerable to water risk. Over one-third of its manufacturing facilities are located in high-risk watersheds. This means that water availability is a key operational risk for the company because the facilities produce a significant portion of its output.
Besides replenishment, the company has also been expanding its water efficiency strategies in its manufacturing processes. This includes using technologies that reduce the amount of water used and those that recover and reuse water in their manufacturing processes. Researchers have argued that this has become essential in recent times due to the increase in industrial water consumption in regions that experience scarcity.
The implementation of the AWS Standard will ensure that the company's site-level practices are consistent with globally recognized best practices in water stewardship. This includes the use of water in a sustainable manner, improving water quality, and engaging stakeholders in the watersheds.
The water strategy of PepsiCo is in line with its overall objective of achieving a “net water positive” by replenishing more water than it uses in high-risk regions by the year 2030. This is in line with the general trend of large manufacturing companies to incorporate water risk into their business plans.
The issue of water scarcity has become a growing concern across the globe. This problem can be attributed to climate change, increased population, and industrial demands. Research suggests that companies operating in water-scarce regions are increasingly being asked to adopt water replenishment strategies to ensure business continuity.
The latest achievement by the company shows progress in its own operations. However, there are challenges associated with extending this to its supply chain. The success of replenishment strategies will depend on the ecosystem of the region and its partnership with local communities.
The achievement shows the growing importance of corporate water management in managing environmental risks associated with industrial activities.
