Global Resource Significance and Inequalities

Why food, water and energy matter

A resource is something that people value or use. Food, water and energy are fundamental to human development because they support both people’s everyday lives and the economic activity that provides jobs and income.

Social well-being concerns quality of life: being healthy, safe and able to meet basic needs. Economic well-being concerns people’s ability to earn income and afford what they need. The two are connected. Healthy people are better able to learn and work, while income helps households obtain nutritious food, safe water and energy.

Having these resources occasionally is not enough. Resource security means having reliable, affordable access to sufficient supplies. A supply that is too expensive for a household does not provide security for that household.

Food supports health and productive work

Food supplies the energy people need for movement, work and daily activities. A balanced diet also supplies nutrients needed for good health and growth. Food needs vary with age and activity: someone doing physically demanding work generally needs more food energy than someone who is less active.

Too little food can cause undernourishment, weakening people and affecting children’s growth. A diet may also lack essential nutrients even when it provides enough calories. Poor health reduces people’s ability to work productively, limiting earnings and economic development.

More food is not always better. Consuming more food energy than the body needs can contribute to obesity and associated illnesses. Food security therefore involves access to suitable food, not simply the largest possible quantity.

Water supports life, food production and industry

People need safe water for drinking, cooking and washing. Contaminated water can spread illness, so water quality matters as well as quantity. Reliable access to safe water helps people remain healthy and participate in school and work.

Water also supports economic activity. Farmers use it to grow crops and raise animals; factories use it in industrial processes; and energy production may use it for cooling or generating electricity. A water shortage can therefore affect food supplies, employment and energy provision as well as households.

Rainfall, rivers and underground water provide potential supplies, but water must often be collected, stored, treated and distributed. Reservoirs, treatment works and pipes require substantial investment. Water can exist in an area without being safely accessible to everyone living there.

Energy powers homes and the economy

Energy provides heat, light and power. It makes homes more comfortable and powers services and equipment used in everyday life.

Businesses need energy to operate machinery, manufacture goods, process food and transport products. Improvements in power helped drive the agricultural and industrial revolutions because more work could be done using machines. Today, reliable energy remains important for productivity and economic development.

The three resources are closely connected. Water helps produce food, while energy is needed to process and transport it. Energy is also needed to pump and treat water. A shortage of one resource can therefore make the others harder to provide.

Unequal supply does not mean the same thing as unequal consumption

Supply is the amount of a resource available for use; consumption is the amount actually used. Global inequalities involve both, but their patterns are not identical.

Natural conditions affect supply. Climate influences water availability and the conditions for growing food. However, access also depends on wealth and infrastructure. Countries need investment to develop resources and deliver them to users. Plentiful natural resources alone do not guarantee a high quality of life.

Water illustrates this distinction particularly clearly:

• Physical water scarcity occurs when there is insufficient available water to meet demand.
• Economic water scarcity occurs when water is available but investment and infrastructure are insufficient to make it accessible.

An area can experience both types of scarcity. Increasing demand can also place pressure on an existing supply.

Broad global patterns of resource use

In general, high-income countries (HICs) have greater access to resources and consume more energy per person than low-income countries (LICs). Higher incomes allow greater use of heating, transport and powered equipment. In many HICs, average calorie intake is also higher than people need, contributing to obesity.

Many LICs face shortages or unreliable access to essential resources. Average calorie intake is often lower than needed, and people in parts of Asia and sub-Saharan Africa are particularly at risk of undernourishment. These are broad patterns: they do not describe every person or place within those regions.

Water use varies with economic activity. Agriculture accounts for much of water use in many LICs and newly emerging economies (NEEs), reflecting the importance of growing food. Industrial activity also creates demand for water.

Energy demand is increasing in NEEs as industry expands and household demand grows. Globally, fossil fuels still dominate energy consumption, although renewable energy use is increasing.

Population growth adds further pressure because more people need food, water and energy. Improving well-being therefore depends not just on increasing total supplies, but also on making access reliable and affordable.