The restaurant industry is coming face-to-face with financial pressures, from rising food prices to the impact of tariffs. According to data from the Bureau of Labor Statistics, wholesale food prices surged by 3.5 percent this past February. On top of that, it was recently reported that the restaurant industry could soon be hit with an estimated $12 billion in costs from tariffs imposed under the Trump administration, which could impact restaurant operators more than they anticipated.
One of the biggest challenges for restaurant operators is managing rising costs, according to a 2025 TouchBistro report. The report emphasizes the importance of improving back-of-house (BOH) efficiencies, such as reducing waste, as a strategic way to offset increasing food costs.
As these financial strains intensify, restaurant operators are under constant pressure to find ways to save money and reduce waste, and one way to do that is by beginning with one commonly-overlooked resource: water.
The Overlooked Cost of Water in Restaurants
Water is an essential, yet often overlooked, expense in everyday restaurant operations. From cooking and cleaning to general maintenance, water plays an important role in front- and back-of-house operations. The U.S. Environmental Protection Agency estimates that restaurants account for approximately 15 percent of total water use in commercial and institutional facilities across the country, with the majority of consumption coming from kitchen equipment and processes.
Rising water and wastewater service costs have added significant pressure to the restaurant industry over the past decade, compounding existing environmental concerns. However, adopting sustainable water practices isn’t just beneficial for the environment, it is also a strategic financial move for restaurant operators. So, how can restaurant operators cut costs by improving water efficiency? Here are some practical solutions.
Efficiency Within the Restaurant Space
There are various factors that influence water conservation, and the first step in improving efficiency is to assess existing kitchen equipment to determine the primary sources of water consumption. Operators should also consider upgrading larger equipment, such as dishwashers and ice machines, to more efficient models that use less water and energy per cycle. While this may require a more costly upfront investment, the long-term savings on utility costs make it worthwhile.
When it comes to dishwashing, several best practices can help conserve water and reduce operating costs. Presoaking pots, pans, and utensils before washing helps reduce the need for excessive rinsing, conserving water in the process. Additionally, running dishwashers only when they’re fully loaded ensures maximum efficiency, minimizing the number of cycles required and saving both water and energy. Ensuring that dishwashing machines are properly calibrated to use the correct amount of water also prevents unnecessary water waste. This goes hand-in-hand with regular maintenance and upkeep, and it’s important to keep an eye out for potential leaks and damages, which can reduce the lifespan of the equipment.
Transitioning Away from Single-Use Plastic
Single-use plastic water bottles contribute significantly to waste in the restaurant industry, with a large portion ending up in landfills, ultimately polluting the environment. Restaurants and food services use nearly one trillion pieces of disposable foodware and packaging in the U.S., much of which ends up in landfills or the environment. An estimated 11 million metric tons of plastic enters the ocean each year, and this growing crisis emphasizes the need for restaurants to take proactive steps in reducing plastic waste.
One powerful solution to this issue is moving away from single-use plastics, particularly plastic water bottles. Transporting these bottles not only harms the environment, but is also increasingly unnecessary, as consumers embrace more sustainable alternatives. However, plastics are not the only problem. Glass-bottled water options, which many restaurants sell, carry a high environmental and financial cost due to transportation, cold storage, and waste management. Opting for alternatives like refillable water stations and glass bottles reduces a restaurant’s carbon footprint by eliminating the need for transportation, storage and disposal of plastic water bottles. While the initial investment in eco-friendly alternatives comes at a cost, the long-term benefits are plentiful. Restaurant operators can reduce their annual cost of providing trucked-in, pre-bottled waters, and the per poundage cost for disposing of the bottles.
Additionally, by showing a commitment to sustainability, restaurants can attract new customers. The majority (90 percent) of restaurant diners favor strong sustainable practices, and this can lead to increased loyalty and positive word-of-mouth, ultimately driving growth for the business.
Navigating the Future of the Restaurant Industry
Incorporating smarter water management strategies is essential for restaurant operators, especially as they navigate rising food costs and the financial impact of looming tariffs. With economic pressures continuing to rise, taking proactive steps to reduce water waste is one way to lower operational expenses while also promoting sustainability. This positive shift can impact a restaurant’s reputation, attracting eco-conscious customers while positioning the business as a sustainable leader in the restaurant industry.
Tom Spillane is the Vice President of Technical Excellence at Vivreau, North America’s leading sustainable water solution. Previously serving as the Vice President of Operations, Spillane has been with Vivreau for over 15 years since the company’s launch in North America. He comes from a background in the foodservice industry and is a technical product expert with an acute knowledge of the beverage business. In his role at Vivreau USA and Vivreau Canada, Spillane works with both the R&D and quality departments, where he is devoted to solving issues and making systems better. He is deeply committed to helping companies seek sustainable solutions and eliminate plastic waste.
