Munich-based environmental economist Sebastian Tonke receives the Joachim Herz Prize

500,000 euros for a research project at the Technical University of Munich on effective incentives to reduce drinking water consumption

Hamburg, August 27, 2026. For his research project on more sustainable use of drinking water, Prof. Dr. Sebastian Tonke of the Technical University of Munich will receive the 2026 Joachim Herz Prize today in Hamburg. In light of climate change, the question of how to conserve water is gaining importance in Germany as well. In his study, Tonke combines digital water meters with a smartphone app to provide real-time visibility into drinking water consumption in private households. He is investigating what incentives encourage households to use water more sparingly. His findings are intended to help water utilities and policymakers develop effective measures to reduce water consumption and make drinking water supplies more resilient.

With a prize of € 500,000, the Joachim Herz Prize is one of the most highly endowed scientific awards in Germany. It honors application-oriented, interdisciplinary research projects. This year, it was aimed at economists conducting research on the smart use of water.

According to the Federal Statistical Office, about 80 percent of Germany’s drinking water is consumed by private households and small businesses. That amounts to 126 liters per person per day. Although Germany still has sufficient water resources overall, regional and seasonal water shortages are already becoming increasingly common. According to Federal Environment Minister Carsten Schneider (SPD), Germany has lost 60 km³ of water over the past 25 years—equivalent to about twenty times the volume of Lake Starnberg. Every liter consumed unnecessarily can increase the strain on drinking water production, infrastructure, and ecosystems. The Federal Environment Agency anticipates that climate change will cause the water supply situation to deteriorate drastically in Germany as well, potentially leading to conflicts over water use between agriculture, industry, and private households.

This is where Prof. Dr. Sebastian Tonke’s research project WETTER (Water Efficiency through Technology, Targeting, and Experimental Research) comes in. As part of the project, 4,000 households will be equipped with digital water meters over a two-year period. These meters track consumption in near real time and make it immediately visible to users. Through a smartphone app, participants receive various prompts—such as financial incentives, feedback on their own usage, or specific water-saving tips. In this way, Tonke aims to determine which measures actually reduce consumption, in which households they are particularly effective, and why. The findings are intended to help utility companies and policymakers develop effective and scalable strategies for a more sustainable use of drinking water.

“Sebastian Tonke combines excellent economic research with a highly relevant social issue. We were particularly impressed by the fact that the findings of his project can be applied far beyond the water sector and can potentially be extended to the management of other resources such as electricity or natural gas. It is precisely these kinds of bold research projects with clear practical applications that we support with the Joachim Herz Prize,” said Prof. Dr.-Ing. Dr. Sabine Kunst, Chair of the Joachim Herz Foundation.

Joachim Herz Prize

The Joachim Herz Foundation honours outstanding researchers whose interdisciplinary work helps shape a more sustainable future. Endowed with € 500,000, the Joachim Herz Prize supports innovative projects by early-career researchers seeking to deepen their research or translate scientific insights into practical applications. The Joachim Herz Prize is among the most highly endowed research awards in Germany.

About Sebastian Tonke

Prof. Dr. Sebastian Tonke is a professor of environmental economics at the TUM School of Life Sciences and the TUM School of Management. His research lies at the intersection of environmental and behavioral economics. He studies the motives underlying economic behavior and tests their policy implications to address environmental challenges —particularly in the sustainable management of water and waste. In large-scale studies, he examines how various measures work, what their weaknesses are, and whether they influence one another. Tonke completed his Ph.D. in economics at the University of Cologne in 2019. From 2019 to 2026, he worked as a senior research fellow at the Max Planck Institute for Behavioral Economics in Bonn. He was a visiting research fellow at Harvard University in spring 2024.

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