New survey finds increased commitment to water conservation among Irish SMEs

• Uisce Éireann survey finds seven in 10 Irish SMEs conserving water.

• Nine in 10 businesses will maintain or increase their investments in sustainable practices but rising costs remain a barrier for many.

• More than a quarter of companies say their employees are putting pressure on them to undertake sustainable measures.

The proportion of businesses taking measures to conserve water is at its highest level in three years, according to the latest bi-annual Uisce Éireann SME Sustainability Sentiment Survey. 

More than seven SMEs in 10 say they are conserving water - a 5% increase since 2022. There has also been a drop of 10% over the same period in the number who say it is ‘not on their radar’ from 31% in 2022 to 28% in Q2 '24.

The top three areas where SMEs are most actively tackling environmental issues are reducing their energy use, waste, and plastics.

More SMEs becoming aware of supports and grants

When surveyed on barriers to investing in sustainable practices, cost concerns remain the primary obstacle for almost 70% of SMEs. However, businesses citing a lack of information or Government supports has fallen considerably from 57% in 2023 to 43% in Q2 2024, indicating a desire to learn more about sustainability grants and supports, such as the Government’s Climate Toolkit 4 Business, an online tool providing SMEs with a pathway toward sustainable investment and practices.

Commenting on the survey results, Uisce Éireann’s Head of Customer Operations, Geoffrey Bourke, said:

“Despite ongoing challenges related to cost, SMEs are steadfast in their commitment to maintaining and improving sustainability measures. Uisce Éireann recognises the considerable effort businesses have made in improving their water conservation activities throughout the past 18 months and we want to support SMEs as the green transition accelerates.

“It is clear from the survey results that employees and customers alike still have real appetite for businesses to take an active role in contributing to conservation. We offer a wide range of supports to aid SMEs on this journey, from our world-leading Water Stewardship Programme, to our sector-specific water conservation tips on water.ie/business. In addition, our team is always on hand to help our business customers, whatever their size, in managing their water use and make lasting, impactful change.”

Employee and client appetite for sustainability

While seven in 10 SMEs responded that cost savings is the primary driver in decision making on sustainable investment, employees, customers and clients have shown a growing desire for businesses to remain active in their sustainability efforts. 

45% of SMEs surveyed see customer appetite as an influential driver of decision-making on sustainable investments, up from 31% Q2 2022. SME employees have shown a keen interest in their employers investing in sustainable measures, with over one in four SMEs citing employee interest as a driver in decision making, almost 25% up since the second quarter of 2023. This is the highest level to date since the survey commenced.

David Broderick, Director of the Small Firms Association (SFA), said: 

“Ireland’s small businesses are taking the issue of water conservation more seriously.  The five percent increase in SME’s stating they are implementing water preservation is testament to the sector’s commitment to innovation and environmental sustainability.  
“However, it’s worth noting that small businesses are still operating in a high inflation economy with 68% percent of SMEs claiming that costs remain a primary barrier to investment.  The SFA’s recent Cost of Business Survey, showed that business costs increased by 16% compared to last year, with one in three businesses stating a loss of liquidity within six months.”

Planned sustainable investment

While Uisce Éireann’s survey revealed that 9 in 10 businesses still intend to maintain or increase their investment in sustainable practices in the coming year, overall there has been a slowdown in the number of businesses planning sustainability investments, falling from 20% in 2023 to 15% in Q2 2024. Similarly the number of businesses who increased their investment in the past 12 months, at 11%, was down from 20% in 2023. Overall, 75% of companies surveyed intend to maintain levels of investment, with 15% planning to increase it.

Despite the significant number of SMEs maintaining their investments, only 11% have accessed external expertise in the past 12 months. This trend has been consistent throughout the past two years. However, the proportion is higher among larger businesses, at 27%. 

Uisce Éireann support

Uisce Éireann offers a suite of easy-to-access initiatives, helping SMEs reduce costs and become more sustainable when it comes to their use of water, including its world-first Water Stewardship Programme and Annual Membership Scheme.

Uisce Éireann also provides extensive real-time information on its website water.ie, including localised updates where business customers can enter their address and receive updates on their local water and wastewater services, including water quality, planned and unplanned works and relevant public health information.

Conducted by IPSOS Behaviour and Attitudes (B&A), the Uisce Éireann SME Sustainability Sentiment Survey interviewed the owners of more than 350 small- and medium-sized businesses, seeking their opinion on the importance of investing in sustainability for their businesses and customers and examining the barriers that currently exist to investment in the area.