The critical importance of water is gaining recognition at the EU level. The EU Commission President Ursula von der Leyen included this vital topic in her Political Guidelines for 2024-2029 and water was also featured in the Mission Letter of the Commissioner for Environment, Water Resilience and Competitive Circular Economy.
As the EU Institutions begin to develop a European Water Resilience Strategy, they should take the below points into consideration. They are inspired from the energy sector. While water and energy are very different, some elements from existing EU energy policy can serve as food for thoughts.
1. Water Efficiency
A Water Efficiency First Principle should be developed (following the model of the Energy Efficiency First Principle) and enshrined in law. The principle should be supported by guidelines for its implementation across the whole water cycle.
Accompanying water efficiency standards should be developed either per sector or for key water intensive industries – the best approach should be defined through consultations and expert discussions.
2. Risk Preparedness Plans for Water
In the electricity sector, each Member State has developed comprehensive national risk preparedness plans based on local situations, risks, and how to address them proactively. Developing similar national risk preparedness and resilience plans for water by each Member State will be instrumental in managing current and future water-related risks.
3. Financing
A total of €255bn needs to be invested in the EU water supply and sanitation sector by 2030 to comply with EU legislation and for some climate mitigation measures.
In the next EU Multi-annual Financial Framework for 2028-2034 we need cross-cutting funds from existing funding streams to be grouped around the strategic priority of water, following the RePower EU model. These funds should be available to all EU Member States, to both public and private actors including municipalities, industry and buildings.
Tania Pentcheva
Director Europe Government and Industry Relations
Xylem
In a fast-changing political and economic environment, 2025 was a year of continued efforts to strengthen security, stability, and competitiveness for European businesses.
Throughout the year, our work demonstrated that energy efficiency is not only essential to achieving climate goals, but also a key driver of innovation, energy independence and sustainable long-term growth across Europe.
Strong engagement with policymakers, combined with the successful organisation of the 4th European Energy Efficiency Day, highlighted the importance of collaboration and dialogue in advancing shared objectives. Partnerships across sectors and institutions remained central to delivering impact and shaping effective energy policies.
Looking ahead to 2026, we will intensify our efforts to secure the regulatory certainty that can accelerate the energy transition, while providing businesses with the investment confidence they need and strengthening Europe’s competitiveness.
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