Australia water technology market sees growth and consolidation

Australia's water technology market is experiencing significant activity driven by population growth, drought conditions, and increasing demands for water treatment and reuse. According to the International Trade Administration (ITA), the market for water and wastewater treatment equipment and machinery reached an estimated volume of approximately $1.48 billion USD in 2023. Additionally, an estimated $6 billion USD is spent annually on water and wastewater treatment services in the country.

The industrial water market is characterized by a highly fragmented provider structure, with most companies employing fewer than 20 people and specializing in specific sectors such as mining, food, or chemical industries. This fragmentation is driving industry consolidation through acquisitions. Notable recent transactions include Waterco's 64.9 million AUD acquisition of Davey Water Products in 2023, and Atlas Copco's acquisition of National Pump & Energy, a specialist in drainage and water treatment.