Developing a framework to assess water smartness and sustainability of circular economy solutions in the water sector

Abstract

The transition to a circular economy in the water sector is challenged by the lack of comprehensive tools to assess and compare the performance of innovative solutions across multiple sustainability dimensions. This study aims to develop a structured framework of indicators to support such assessments and guide the sector toward achieving the United Nations Sustainable Development Goals (SDGs). The framework was co-developed with stakeholders and encompasses technical, social, environmental, economic, and governance dimensions. It is organized into four hierarchical layers: dimensions, objectives, criteria, and indicators. Objectives were designed to be broadly applicable, while criteria and indicators were formulated to assess alignment with these objectives and capture the multifaceted nature of “water smartness.” The framework was tested and validated through workshops and structured engagement activities across six demonstration cases. Results from exploratory data analysis confirmed the framework's relevance for decision-making, highlighting its capacity to compare alternatives under diverse scenarios and its alignment with the SDGs. Additionally, the testing process pointed out the differentiated responsibilities of involved stakeholders, offering practical insights for advancing full-scale implementation of circular economy models in the water sector.