Three Emerging Water Business Opportunities

• Source Water Protection

• Direct Potable Reuse

• Desalination

These three emerging market segments offer opportunities for California and Western water managers, but the window to establish credibility is closing. Based on current funding flows and agency procurement timelines, we’ve estimated the accessible California market for these services at $400 million to $1 billion in professional fees and planning through 2030.

In this report, we dive into the what, why, and how to accelerate these three strategies. This report is for water managers (agencies, NGOs, Tribes, consultants), primarily in California, but it also applies to other Western states.

All three emerging opportunities share a core principle: California's and the West's 20th-century water infrastructure was built for a stable climate that no longer exists.  

Many agencies, Tribes, and municipalities are now building a diverse, locally controlled, climate-resilient water portfolio—protecting existing resources (watersheds), recycling wastewater (IPR, DPR), and developing new sources (desalination)—because no single approach is sufficient.

September 2026