Get All Access for $5/mo

Starbucks Seeking New Sources for Water Bottled in Drought-Stricken California Ethos Water has a noble mission of funding water and sanitation programs in other countries, but its source is reportedly water-deprived California.

By Kate Taylor

Opinions expressed by Entrepreneur contributors are their own.

Monica Dipres

Bottling water from an area experiencing a severe drought is wrong. Justifying doing so in the name of bringing water to other water-deprived communities doesn't make it any better.

Starbucks came under fire after Mother Jones reported that Ethos Water, the bottled water owned by and sold at the coffee chain, had a plant that was bottling water drawn in an "exceptional drought" territory in Merced, California. The company uses a private spring, free of charge; in California most water companies are not required to pay for the groundwater they bottle.

Meanwhile, businesses and residents in the area are facing "unprecedented drought restrictions" that target watering lawns, filling pools, washing cars and serving water in restaurants.

Related: Starbucks Reports Increased Traffic and Sales Thanks to...Tea

In response to the criticism, Starbucks is seeking new sources for Ethos Water.

"In support of California Governor Brown's Executive Order to conserve water, Starbucks has reduced its water usage by 23 percent, and we are now looking at alternative sourcing solutions for Ethos water outside of the state while still meeting our commitment to those in need in the developing world," a Starbucks spokesperson told Entrepreneur.

Ethos Water's stated mission is to raise awareness of the world water crisis. The company, which was acquired by Starbucks in 2005, directs five cents from every $1.95 bottle sold toward the Ethos Water Fund, which supports water, sanitation and hygiene education programs in countries including Tanzania, Indonesia and Colombia.

Related: 10 Starbucks Frappuccinos You Can't Buy in America

Bottling water from water-stressed areas in the U.S. ignores the effects droughts have on residents that can be much more severe than dealing with brown lawns. People reliant on wells and groundwater – common in some parts of California – can have a difficult time getting non-contaminated water necessary for their basic needs, especially if living in poverty. Increasing food costs due to drought quickly inflates grocery bills, driving many to food banks.

Protesters have attacked companies such as Nestlé for bottling water during the drought. Previously, both Nestlé and Starbucks have maintained that their business practices are completely legal.

Related: Why the Starbucks 'Race Together' Campaign Is Bad for Business

Kate Taylor

Staff Writer. Covers franchise-related trends and topics.

Kate Taylor is a staff writer covering franchises for Entrepreneur.com. Related areas of interest include chain restaurants, franchisee profiles and food trends. Get in touch with tips and feedback via email at ktaylor@entrepreneur.com or on Twitter at @Kate_H_Taylor. 

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Editor's Pick

Fundraising

Working Remote? These Are the Biggest Dos and Don'ts of Video Conferencing

As more and more businesses go remote, these are ways to be more effective and efficient on conference calls.

Growing a Business

The Best Way to Run a Business Meeting

All too often, meetings run longer than they should and fail to keep attendees engaged. Here's how to run a meeting the right way.

Starting a Business

How to Find the Right Programmers: A Brief Guideline for Startup Founders

For startup founders under a plethora of challenges like timing, investors and changing market demand, it is extremely hard to hire programmers who can deliver.

Business Ideas

63 Small Business Ideas to Start in 2024

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2024.

Growing a Business

You Need an Advisory Team More Than Ever. Here's Why — and How to Run One Effectively.

The right advice, particularly in a company's early stages, can be an existential matter: how to surround yourself with the right minds.

Growing a Business

You'll Never Satisfy Your Customers — or Grow Your Business — Without Doing These 3 Things

Customer feedback can be used to drive sustainable growth. Here are three approaches to how you can move past measurement to drive improvement and ultimately grow your business.