Water and Wastewater Treatment Market Size & Forecast

The Water and Wastewater Treatment Market is expected to reach $1,024.8 billion by 2033, at a CAGR of 5.9% from 2024 to 2033.The growth of this market is attributed to the rapid population growth, urbanization, and stringent water treatment regulations, the lack of freshwater resources, and the increasing prevalence of waterborne diseases. Moreover, the rising demand for energy-efficient and advanced water treatment technologies is expected to offer growth opportunities for the players operating in this market.

Water and Wastewater Treatment Market Growth Drivers

Rapid Population Growth, Urbanization, and Stringent Water Treatment Regulations Driving the Water and Wastewater Treatment Market

With rapid population growth and urbanization, the global demand for water supply and sanitation services is also increasing. According to the World Health Organization, in 2022, 57% of the global population, or 4.6 billion people, used safely managed sanitation services, while 33% (2.7 billion people) used private sanitation facilities connected to sewers from which wastewater was treated. Thus, the significant use of water supply and sanitation services is driving the adoption of water and wastewater treatment technologies globally.

Furthermore, the growing population has led to an increase in industrial production. Most industries heavily depend on water for the processing, cooling, and disposal of waste products. The demand for water in industrial applications is rising due to increased industrialization. Many industries worldwide are facing a water shortage and are increasingly looking for ways to reduce water consumption and reclaim and reuse wastewater. The planned use of treated wastewater can increase resource efficiency and benefit the environment, improving the sustainability of industrial development. Thus, industrialization, population growth, and urbanization are driving the adoption of water and wastewater treatment solutions, supporting market growth.

Lack of Freshwater Resources Driving the Need for Water Reuse

Demographic changes, economic development, urbanization, and pollution are increasing the burden on the world’s water resources. According to the World Health Organization (WHO), as of March 2023, approximately 2 billion people worldwide lacked access to safe drinking water, of which 771 million people lacked access even to basic drinking water. The demand for water is projected to exceed the available supply by 40% within the next 20 years, primarily due to issues related to poor sanitation and water management.

Furthermore, companies operating across various industries are investing in water and wastewater treatment solutions. For instance, in September 2022, LANXESS AG (Germany), a chemical manufacturer, commissioned a new wastewater treatment plant at its Belgium site, with an investment of around USD 13.0 million (EUR 12 million). The plant has a treatment capacity of around 260,000 liters of wastewater per hour.

Moreover, rising water pollution has led to a decline in the availability of freshwater necessary for various industrial applications, such as processing, washing, diluting, and cooling. The rapid depletion of freshwater resources coupled with industrialization and pollution has resulted in a water crisis in many parts of the world, especially underdeveloped and developing countries. This water crisis is boosting the demand for water and wastewater treatment solutions, driving the growth of this market.

Water and Wastewater Treatment Market Opportunity

Rising Demand for Energy-efficient and Advanced Water Treatment Technologies Generating Growth Opportunities for Market Stakeholders

Water and energy have always been crucial for socioeconomic growth; their supply and use must be sustainable. Water provisioning and use require energy in all phases. Water gets treated to drinking water standards through various processes, including filtration, sedimentation, and disinfection, which require energy. Additionally, wastewater treatment plants are essential for ensuring that communities have access to clean water. However, these plants are notorious for being energy-intensive facilities that consume large amounts of electricity. According to the US Environmental Protection Agency (EPA), wastewater treatment plants are the third-largest energy consumers in municipalities, accounting for up to 35% of a city's total energy consumption. Therefore, it is crucial to find ways to increase energy efficiency at these facilities to reduce operating costs and minimize the environmental impact.

Proper maintenance and operation help ensure that motors, pumps, and overall pump systems work efficiently. Pump optimization with SCADA systems or pump optimization software is a secondary consideration. Furthermore, supplying energy-efficient ballasts for plant fluorescent fixtures and ultraviolet disinfection or pretreatment systems can reduce energy consumption. Thus, the growing need for advanced and energy-efficient water treatment technologies is expected to encourage market players to develop innovative offerings and augment their market shares.

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Water and Wastewater Treatment Market Analysis: Key Findings

By Type: In 2024, the Wastewater Treatment Segment to Dominate the Water and Wastewater Treatment Market

Based on type, the water and wastewater treatment market is segmented into wastewater treatment and water treatment. In 2024, the wastewater treatment segment is expected to account for a larger share of 63.0% of the water and wastewater treatment market. The large market share of this segment is attributed to the rising focus on water quality and public health, the growing prevalence of water-borne diseases and stringent governmental regulations, and the rising expansion of industrialization and urbanization.

Also, this segment is expected to register the highest CAGR during the forecast period.

By Offering: In 2024, the Operation & Maintenance Services Segment to Dominate the Water and Wastewater Treatment Market

Based on offering, the water and wastewater treatment market is segmented into treatment technologies, treatment chemicals, process control and automation, design, engineering, and construction services, and operation and maintenance services. In 2024, the operation & maintenance services segment is expected to account for the largest share of 39.5% of the water and wastewater treatment market. The segment’s large market share is attributed to the growing need to ensure the production of the desired quality and quantity of treated water, the increasing complexities of water and wastewater treatment facilities, and the adoption of innovative solutions and stringent regulatory standards.

However, the process control & automation segment is projected to register the highest CAGR during the forecast period. The growth of this segment is attributed to the rising concerns regarding water scarcity, declining water quality, rising expenses associated with water supply, and the growing digitalization facilitated by advanced data analysis programs.

By Application: In 2024, the Municipal Applications Segment to Dominate the Water and Wastewater Treatment Market

Based on application, the water and wastewater treatment market is segmented into municipal applications and industrial applications. In 2024, the municipal applications segment is expected to account for the larger share of 69.0% of the water and wastewater treatment market. The segment’s large market share is attributed to the increasing challenge faced by municipalities in providing safe drinking water to their communities, the rising global population, advancements in treatment processes enabling wastewater recycling for reuse, and the growing adoption of advanced technologies for wastewater treatment, drinking-water production, and trace contaminant removal.

However, the industrial applications segment is expected to register a higher CAGR during the forecast period. The growth of this segment is attributed to increasing industrialization and urbanization, declining freshwater resources, increasing energy demand across the globe, stringent governmental regulations on treating industrial wastewater, and a rising focus on water quality and public health.

Geographical Analysis

In 2024, the Asia-Pacific Region to Dominate the Water and Wastewater Treatment Market

In 2024, Asia-Pacific is expected to account for the largest share of above 42.6% of the water and wastewater treatment market. The market growth in Asia-Pacific is driven by the growing need for the advanced treatment of residential water, advances in membrane technology, increased environmental deterioration, declining availability of clean water, increasing public-sector investment in water infrastructure, and growing research & development expenditures.

Moreover, this region is also projected to record the highest CAGR during the forecast period.

Water and Wastewater Treatment Market: Key Companies

The report offers a competitive analysis based on an extensive assessment of the leading players’ product portfolios, geographic presence, and key growth strategies adopted in the last 3–4 years. Some of the key players operating in the water and wastewater treatment market are SUEZ S.A. (France), Veolia Environnement (France), Xylem Inc. (U.S.), DuPont de Nemours, Inc. (U.S.), 3M Company (U.S.), Pentair plc (U.K.), Kingspan Group plc (U.K.), Dow Inc. (U.S.), BASF SE (Germany), Kurita Water Industries, Ltd. (Japan), BioMicrobics, Inc (U.S.), Calgon Carbon Corporation (U.S.), Trojan Technologies (Canada), Kemira Oyj (Finland), Thermax Limited (India), Wog Technologies (Singapore), WSP Global Inc. (Canada), SWA Water Australia (Australia), Burns & McDonnell (U.S.), Adroit Associates Private Limited (India), Sauber Environmental Solutions Pvt. Ltd. (India), SPEC INDIA (India), Ecolab, Inc. (U.S.), GFL Environmental Inc. (Canada), and Clean TeQ Water Limited (Australia).

Water and Wastewater Treatment Industry Overview: Latest Developments from Key Industry Players

• In January 2024, Advanced Drainage Systems, Inc. (U.S.) launched three new advanced treatment solutions that deepened Infiltrator Water Technologies’ portfolio of highly innovative onsite septic wastewater solutions. ECOPOD-NX, a new model in the ECOPOD series for advanced wastewater treatment in residential applications. The ECOPOD-NX technology recirculates wastewater to achieve 80% Total Nitrogen reduction, addressing the needs of contractors in markets with more strict treatment regulations.

• In November 2023, EDF Energy, a British integrated energy company, selected Veolia's technological solution, in collaboration with REEL, for the development, production, and deployment of mobile units designed to treat contaminated water in the event of a nuclear accident. These units, aimed at mitigating environmental impact, will treat primary circuit water stored in reactor building tanks on-site in the event of a pipe rupture.

• In August 2023, the Michigan Department of Agriculture and Rural Development (MDARD) (U.S.) launched its new Wastewater Infrastructure Fund (WIF) Program, aimed at assisting the state's growing food and agriculture businesses in achieving compliance with Michigan's environmental regulations.
• In May 2023, ZwitterCo, Inc. (U.S.) collaborated with Mott Corporation (U.S.) to develop membranes designed for treating the most challenging wastewater and introduce novel filtration and nutrient management solutions. These solutions aim to address the needs of manure and food-waste digesters, as well as breweries and distilleries in North America.

Water and Wastewater Treatment Market Research Summary

Key questions answered in the water and wastewater treatment market report: