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2026-10-07Key Facts: The Pilot Program for Reclaimed Water Utilization Allocation in Typical Regions, jointly deployed by the Ministry of Water Resources, the National Development and Reform Commission, and four other ministries, has been fully completed. The total reclaimed water utilization volume of 76 pilot cities across 28 provinces (autonomous regions, and municipalities directly under the Central Government) increased from 29亿 cubic meters to 54亿 cubic meters, with the utilization rate rising from 26% to 41%, forming 10 advanced models and 14 typical cases.
I. Pilot Completion: From "Demonstration and Exploration" to "Nationwide Promotion"
Recently, the Ministry of Water Resources announced that the pilot program for reclaimed water utilization allocation in 76 typical regions across 28 provinces (autonomous regions, and municipalities directly under the Central Government) has been successfully completed and achieved the expected results. This pilot program, jointly issued by the Ministry of Water Resources, the National Development and Reform Commission, the Ministry of Housing and Urban-Rural Development, the Ministry of Industry and Information Technology, the Ministry of Natural Resources, and the Ministry of Ecology and Environment, is a key measure during the "14th Five-Year Plan" period to promote the utilization of unconventional water sources and alleviate the contradiction between water supply and demand.
During the pilot period, localities boldly explored key aspects such as planning and layout, allocation management, production and transmission facilities, and incentive mechanisms for reclaimed water utilization, ultimately forming a batch of advanced models and typical cases that are "effective, sustainable, and replicable." This marks that China's reclaimed water utilization has moved from local piloting to a new stage of systematic promotion.
II. Impressive Data: Dual Improvement in Utilization Volume and Utilization Rate
According to data disclosed by the Ministry of Water Resources, pilot cities have achieved remarkable results in reclaimed water utilization:
- Total utilization volume doubled — increasing from 29亿 cubic meters before the pilot to 54亿 cubic meters, a growth of approximately 86%.
- Utilization rate significantly improved — rising from 26% to 41%, an increase of 15 percentage points, approaching in advance the long-term targets set by some provinces during the "14th Five-Year Plan" period.
- Proportion in total water consumption increased — the ratio of reclaimed water utilization volume to total water consumption rose from 7% to 13%, indicating that reclaimed water is transitioning from a "supplementary water source" to an "important water source."
- Substantial investment scale — the total investment in reclaimed water projects implemented during the pilot period reached 654亿 yuan, driving the construction of the entire chain including pipe networks, pumping stations, treatment plants, and smart platforms.
III. Five Major Tasks and Ten Models: Providing Replicable Pathways for Localities
The pilot program revolves around five major tasks: optimizing the planning and layout of reclaimed water utilization, strengthening allocation management, expanding utilization fields and scale, improving production and transmission facilities, and establishing and perfecting incentive policies. Each pilot city, based on its own industrial characteristics and water resource endowments, explored 10 advanced models, covering the following typical scenarios:
- Industrial reuse model — promoting the substitution of fresh water with reclaimed water in high water-consuming industries such as chemicals, steel, and power generation to reduce enterprise water costs.
- Ecological water replenishment model — using compliant reclaimed water for ecological water replenishment of rivers, lakes, and wetlands to improve the urban water environment.
- Municipal miscellaneous use model — using reclaimed water for urban greening, road cleaning, car washing, and other municipal miscellaneous uses to reduce the consumption of high-quality water resources.
- Agricultural irrigation model — exploring the use of reclaimed water for agricultural irrigation in water-scarce areas to alleviate agricultural water pressure.
- Water rights trading model — freeing up water use indicators through reclaimed water substitution and participating in water rights trading to achieve optimal allocation of water resources.
IV. Intensive Introduction of Incentive Policies: A Multi-Pronged Approach Combining Pricing, Fiscal, and Financial Measures
The key to the pilot's success lies not only in technical feasibility but also in mechanism sustainability. Pilot cities actively explored at the institutional level, introducing incentive policies such as pricing, fiscal awards and subsidies, water use indicator allocation, water rights trading, green finance, and ecological value transformation, effectively stimulating the enthusiasm of market entities to participate in reclaimed water utilization.
For example, some cities provide electricity price preferences or operational subsidies to reclaimed water production enterprises; some cities incorporate reclaimed water utilization into enterprise water use plan assessments, compelling high water-consuming enterprises to prioritize the use of reclaimed water; and still other cities explore financial products such as "water withdrawal loans" and "water-saving loans" to provide long-term stable funding support for reclaimed water projects. These experiences will be gradually replicated and promoted nationwide.
V. Industry Outlook: The Reclaimed Water Market Enters a Period of Rapid Growth
The completion of 76 pilots provides a clear roadmap for reclaimed water utilization allocation across the country. It can be foreseen that during the "15th Five-Year Plan" period, China's reclaimed water market will exhibit three major trends:
- Increased Policy Rigidity——More provinces will incorporate the reclaimed water utilization rate into rigid constraints on water resources, driving wastewater treatment plants to transition from "compliance discharge" to "resource utilization."
- Accelerated Technology Integration——Advanced treatment technologies such as MBR, catalytic ozonation, Reverse Osmosis / RO, and Nanofiltration / NF will be deeply integrated with Smart Water platforms to enhance reclaimed water quality and operational efficiency.
- Business Model Innovation——Models such as contract water saving, water rights trading, and franchised reclaimed water supply will continue to emerge, attracting social capital participation.
VI. TIANYI TECH's View: Seizing the Window of Opportunity for Reclaimed Water Allocation
TIANYI TECH believes that the successful completion of 76 pilot projects signifies that reclaimed water utilization has moved from "policy encouragement" to "institutional standard." For wastewater treatment and Reclaimed Water Reuse enterprises, whoever can provide reclaimed water solutions featuring "stable water quality, controllable costs, and smart operation and maintenance" will gain the upper hand in the next round of market expansion. TIANYI TECH will continue to track reclaimed water allocation policies across regions, helping municipal and industrial clients seize policy dividends and achieve efficient circular utilization of water resources.
About TIANYI LIMITED
TIANYI TECH is deeply engaged in the fields of wastewater treatment, Reclaimed Water Reuse, and water resource circular utilization, providing one-stop services from process consulting, solution design, equipment integration, and engineering implementation to smart operation and maintenance. With technological innovation and refined management at its core, the company helps clients achieve water conservation, pollution reduction, carbon reduction, efficiency improvement, and sustainable development goals.
Source: Comprehensive reports from the Ministry of Water Resources, China Water Resources News, etc., 2026年
