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Europe's Great Drought Costs 50 Billion Euros

Ireland considers extending the hosepipe ban as reservoirs run low, while the continent records historic water restrictions and falling crop yields.

Foto: X1ntao ZHOU na Pexels
Summary
  • Europe's drought will cause a short-term economic impact of at least 50 billion euros.
  • Ireland is considering extending the hosepipe ban, which expires on August 26, 2026.
  • The Vartry Reservoir is reporting a six-billion-litre water deficit, while Ireland's largest reservoir, Poulaphouca, is at 69 percent capacity.

The European continent is facing a major drought that has led to falling crop yields, historic water restrictions, and economic stagnation. According to a report by the Spanish newspaper El País, the short-term economic impact on the EU's GDP will be at least 50 billion euros. The water shortage that is drying out the heart of the continent during this summer of extreme temperatures has brought river levels and water resources to historic lows.

Ireland on the brink of extending the hosepipe ban

In Ireland, the hosepipe ban, which expires on August 26, 2026, could be extended in Dublin and the eastern and southern counties. Irish water utility Uisce Éireann is reviewing the water conservation order, which came into effect in mid-July 2026 due to high temperatures and prolonged drought.

"The effects of the current dry weather are most acutely seen in our river abstractions," Uisce Éireann told the Irish Times. They add that recovery is being noted in parts of the northwest where recent rains have improved hydrological conditions, but "the situation remains more challenging in parts of the east and south, where limited rainfall has been recorded since the beginning of August."

Vartry Reservoir: a six-billion-litre shortfall

The impact of the hot, dry summer is clearly visible at the Vartry Reservoir in Roundwood, County Wicklow. A deficit of six billion litres has developed in the national drinking water reserve. Vartry, one of Ireland's oldest reservoirs, supplies around 200,000 people in south Dublin and north Wicklow.

The upper reservoir, with a capacity of 5.6 billion litres, has been reduced to a minimum, and grass is growing on the usually submerged ground. Despite this, Uisce Éireann states that the total water supply at the facility is at 58 percent capacity and "within the normal range for this time of year." The lower reservoir can hold about 11.3 billion litres and draws water from the upper lake to maintain near-normal levels.

Ireland's largest reservoir at 69 percent

Ireland's largest reservoir, Poulaphouca, also known as Blessington Lakes, supplies the Ballymore Eustace treatment plant, which serves large parts of Dublin. It is currently at 69 percent capacity, having started the summer completely full thanks to abundant rains earlier in the year.

"Overall raw water levels in the greater Dublin area remain robust," Uisce Éireann said. "Lakes, reservoirs, and groundwater sources generally provide greater storage and are therefore more resilient to short-term dry spells." However, they warn that these sources could also come under increasing pressure if below-average rainfall persists over a longer period.

Decision in the coming days

A decision on issuing a new water conservation order must be made in the next few days, given that the current one expires on August 26, 2026. The order requires a technical report to be submitted to the government, justifying any request to impose or extend it.

"Uisce Éireann is currently reviewing the water conservation order, taking into account recent rainfall, raw water availability, customer demand trends, water resource outlook across the country, and the weather forecast," the statement said. "Uisce Éireann will continue to closely monitor the situation and implement the most appropriate measures to protect water resources and maintain a secure water supply for customers."

FAQ
What is the economic impact of the drought on the European GDP? +
According to El País, the short-term economic impact will be at least 50 billion euros.
How long does the hosepipe ban in Ireland last? +
The current hosepipe ban expires on August 26, 2026, and a decision on extending it must be made in the coming days.
What is the water deficit at the Vartry Reservoir? +
A deficit of six billion litres has developed in the national drinking water reserve, and the reservoir is at 58 percent capacity.
What is Ireland's largest reservoir and at what capacity is it? +
Ireland's largest reservoir is Poulaphouca (Blessington Lakes), which is currently at 69 percent capacity.

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