During lunch yesterday, I discussed possible topics for this very post while I sat in between Sally Gutierrez of the EPA and Steve Kloos from GE. When Steve asked me what I’m researching and writing about next, I had to say that in the immediate term, I’d likely be blogging about this event! After a few chuckles were shared about a possible ‘Water Tech Fashion Blunders’ piece, we caught up on one another’s efforts. Unsurprisingly, water technology innovation remains central to our respective activities.

For Sally and her group, they recently celebrated the announcement of their Water Technology Innovation Cluster in Cincinnati. An effort that we here at the Cleantech Group were delighted to support. Meanwhile, Steve quietly moves mountains over at GE as he identifies and evaluates early stage strategic innovation for GE’s water business. A non-trivial charge, to say the least. If you think you’re going to get any ‘on the record’ insight from this power house, think again.

Speaking of power houses, the first day of the main summit had plenty.

The first panel discussion uncovered a variety of perspectives on Corporate Water Risk and Efficiency/Sustainability Drivers. Of particular interest were the utility views represented by Joe Gysel of EPCOR Utilities and Paul Gagliardo of American Water. For Gysel, his view of on risk mirrored those of the customers to whom the utility provides water. Many are big industrial customers concerned with mitigating brand risk. He shared that the utility is indeed oversubscribed on its river water use and sustainable resource management approaches and supporting technologies are big challenges that keep Gysel and his team awake at night. How exactly, he goes about doing this remains unclear.

Gagliardo, on the other hand, presented a point of view on risk management that balances utility and customer side risk management. From his point of view, this specifically entails, non revenue water (NRW) management. When Booky Oren, former Chairman of Mekerot raised his hand to ask how exactly it is that American Water engages with new and is often the case, commercialized technologies that address NRW management, Gagliardo was quick to point out their innovation or piloting platform as a mechanism by which the utility engages with new technology.  And indeed, the entire panel agreed that opportunities to pilot for many earlier staged companies could arguably present much more value than venture or growth equity.

Still, there is definitely some risk that technologies are over piloted and tested without real promise of adoption, never mind commercial adoption. Oren brought up a valid point, there are plenty of commercialized technologies developed in more ‘mature’ water markets like Israel or Australia (as just two examples) that could have applications in the U.S.water utility market – a behemoth, accounting for about one fourth of the global market.

There’s only so much you can dig into in just one hour, but stay tuned as we shall continue this conversation at our very own San Francisco Forum…

In the meantime, do let me know if you will be at the event on Thursday. I’ll be moderating a panel on Venture and R&D Perspectives on Water Innovation.