Water Use Efficiency and Jobs

Abstract

Los Angeles is a major net importer of water and relies on sources several hundred miles away in Northern California and Colorado for two-thirds of its supply. The ecosystems of these source regions are significantly impacted by decades of diverting water for agricultural, industrial and municipal use. Combined with the periodic droughts afflicting the Southwest U.S., these circumstances put Los Angeles under increasing pressure to reduce reliance on imported water by using what we have more efficiently.

Significant investments by public agencies that build on previous efforts are required to achieve needed gains in water use efficiency. These investments take the form of storm water capture and treatment infrastructure, groundwater treatment equipment and recharge systems, graywater systems for homes, sub-metering multi-family housing, water de-salting facilities, indoor appliance/fixture retrofit campaigns, ecosystem restoration, and irrigation system evaluation and repair.

We present information about water use efficiency investments and their subsequent multiplier effects in two ways. First we analyze Los Angeles’ water sector – the establishments that provide goods and services that directly build and maintain municipal water infrastructure, manufacture specialized water systems equipment, provide engineering consulting services, and provide support services for these direct providers. Second, we analyze over 50 recent water use efficiency projects in the Los Angeles region, detailing their supplier networks and multiplier effects.

Keywords: California, Conservation, Consumption, Direct, Drought, Economic, Efficiency, Gray, Ground, Impact, Indirect, Induced, Industry, Investment, Jobs, Labor Market, Los Angeles, Occupations, Opportunities, Planning, Public Costs, Recycled, Remediation, Sector, Storm, Sustainability, Water

JEL Classification: C81, J23, J24, J38, K32, L52, M53, O21, O22, Q25, Q32, Q48, R52