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Wassertropfen trifft auf ein stehendes Gewässer und erzeugt Wellen.
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Water Management

The increasing scarcity of water is also attracting increasing attention in Germany. We are already seeing the first signs of changing climatic conditions - through longer periods of drought or the accumulation of heavy rainfall or storms. We assume that these will become more frequent in the future. Even if there is no risk to our real estate portfolio in the foreseeable future, we are monitoring developments closely so that we can prepare our tenants and our buildings for any changes as early as possible.

Challenges, Opportunities and Risks

Opportunities

Water is a valuable resource. Using it sparingly is an investment in the future.  Increasing scarcity can lead to higher costs and reduce the living quality in the neighborhood.. Water-saving and water-storing measures offer the opportunity to ensure a constant water supply and save costs. The gradual switch to more climate-resilient plant species is also helping our neighborhoods to adapt to any changes in climatic conditions.

Risks

Water-related physical climate risks can arise from extreme weather conditions such as heavy rainfall with the potential for flooding and lengthy periods of drought with water shortages.   This can cause damage to vegetation and infrastructure failure, but also direct damage to buildings, resulting in an increase in (insurance) costs. 

Identifying such risks at an early stage is essential if we are to initiate mitigation measures in good time. However, our real estate portfolio is located in the metropolitan areas of Germany, Austria and Sweden – and therefore only in areas where there is little to no impact. 

Opportunities

Water is a valuable resource. Using it sparingly is an investment in the future.  Increasing scarcity can lead to higher costs and reduce the living quality in the neighborhood.. Water-saving and water-storing measures offer the opportunity to ensure a constant water supply and save costs. The gradual switch to more climate-resilient plant species is also helping our neighborhoods to adapt to any changes in climatic conditions.

Risks

Water-related physical climate risks can arise from extreme weather conditions such as heavy rainfall with the potential for flooding and lengthy periods of drought with water shortages.   This can cause damage to vegetation and infrastructure failure, but also direct damage to buildings, resulting in an increase in (insurance) costs. 

Identifying such risks at an early stage is essential if we are to initiate mitigation measures in good time. However, our real estate portfolio is located in the metropolitan areas of Germany, Austria and Sweden – and therefore only in areas where there is little to no impact. 

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Management Approach

We use ENCORE and the WWF Water Risk Filter maps to obtain an initial approximate relevance assessment and identify potential risk areas in regard to water stress and flooding due to heavy rainfall. As part of a further step, we use our climate risk tool, which was developed in-house, and the digital geoinformation portals of the federal states to obtain a more precise risk assessment. The risks are reassessed by the risk owners twice each year as part of the Controlling department’s regular risk assessment and – if relevant – addressed in the Annual Report’s risk report. We do not currently foresee any water-related risks for either the five-year period covered by the company-wide risk management system or in the long-term outlook that extends to 2030 and 2050. This being the case, water-related targets and the integration of these topics into the business strategy are not (yet) relevant to Vonovia. 

Nevertheless, we are already preparing for potential climatic changes. To this end, we are working on measures that will help to mitigate extreme weather conditions in microclimates or cool urban heat islands. This requires innovative water management that can also withstand future challenges. There is significant potential in local rainwater seepage systems (based on retention basins and green roofs, for example) and using rainwater to water gardens. This potential also applies to operating costs. Our water management pursues the aims of lowering water consumption and using local rainwater and greywater. We set out our goals for a blue-green infrastructure in our planning guidelines for sustainable open spaces. 

To further develop our measures, we exchange information or cooperate with relevant stakeholder and specialist groups – for example, with NABU-NRW on the vitalization of habitats through the use of retention basins, with the Fraunhofer Institute on integrated water management planning in the Bochum-Weitmar pilot neighborhood or with the KlimaKoop.Kommunen network on establishing a holistic water management system in Dortmund-Huckarde.

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Heavy Rainfall / Flooding

Heavy rainfall events can cause considerable damage to infrastructure and buildings in a short space of time and endanger affected residents. Our standard processes therefore contain numerous measures to minimize risk and damage. For example, we provide flood analyses that enable better planning of water management in the neighborhoods.

The aim of the planned measures is to enable absorption of the sudden increases in water levels caused by heavy rainfall. We include possible forms of rainwater management such as cisterns, trenches or retention basins and use green roofs to reduce the rate of rainwater run-off. Extensive retention area planning, which serves to provide flooding areas for running water, is included as standard. 

Water management is an integral part of all planned construction, refurbishment and neighborhood development work and is backed up with specific measures through the application of our binding planning guidelines for sustainable open spaces.

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Water Scarcity

While heavy rainfall events overwhelm the soil’s absorption capacity in the short term, extended periods of drought cause the groundwater level to drop, leading to a further reduction in the soil’s ability to store water. Conversely, a controlled, slow and continuous supply of water can increase the soil’s storage capacity – just like a sponge. The “sponge city” concept thus improves the water cycle and the urban climate by delaying the runoff of rainwater and reducing heat stress through evaporation. 

This is particularly important in regions that experience a high level of water stress, i.e. severe water scarcity. Even if we have not currently identified any areas in our real estate portfolio that are at such risk, introducing measures at an early stage will help to improve the urban climate and therefore people’s comfort of living. 

Typical water management measures in our neighborhoods therefore include the use of retention basins and areas as well as green roofs and other drainage systems. Water from the roof drainage systems no longer runs into the public sewage system, but is allowed to infiltrate the ground in the neighborhood itself. Planted areas around the buildings can then be watered using targeted gradient planning. The increased use of seepage paving on paths and parking lots also contributes to lowering the extent to which our land is sealed and creates more space for natural ground drainage. We make optimal use of these areas by integrating additional recreational facilities or habitats into retention basins, for example. In areas where only very limited rainwater infiltration is possible, we install additional evaporation basins.

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Efficient water use

We can only influence our tenants' water consumption to a limited extent. However, they play a central role when it comes to the goal of reducing general water consumption. In addition to providing tenants with information, e.g. via our customer magazine “zuhause”, which is published three times a year, we focus on the use of water-saving elements, e.g. for flushing toilets or taps, during modernization measures and conversions. Regular functional and visual inspections in buildings are also designed to identify water leakages at an early stage.   

Wastewater in our properties is discharged via the sewer system and treated in wastewater treatment plants. Wastewater is not discharged into the oceans or groundwater.   

We use water-saving sanitary systems at our office locations to reduce water consumption. At the company headquarters in Bochum, we provide drinking water systems for the approximately 1,000 employees who work there, thus avoiding the use of plastic. By moving our customer service location from Duisburg to a new property in Essen, we were also able to significantly reduce water consumption.   

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ORGANIZATIONAL FOCUS

Responsibilities

Water-related issues play a particularly important role for our residential environment and in the new construction sector, as this is where the relevant measures can be planned and implemented. At Management Board level, the Chief Rental Officer is responsible for the residential environment, while the Chief Development Officer is responsible for new construction activities. Development and Residential Environment work closely together, particularly in risk assessment, open space planning and action planning.

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