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Desperdicio vs. pérdida vs. derroche vs. despilfarro

The Spanish words desperdicio, pérdida, derroche, and despilfarro all generally translate to waste in English, specifically referring to the ineffective use of resources. However, each has subtly different connotations and contexts of use.

Desperdicio

B1
Desperdicio typically refers to waste in a physical sense or waste of consumable resources.
Hay mucho desperdicio de comida en este restaurante.
(There is a lot of food waste at this restaurant.)
El uso excesivo de plástico es un gran desperdicio.
(The excessive use of plastic is a great waste.)

Pérdida

A2
Pérdida usually applies to the loss or absence of something or someone that was once present.
La pérdida de tiempo es algo que no podemos recuperar.
(Loss of time is something we cannot recover.)
La pérdida de agua a través de un grifo que gotea puede sumar.
(Water waste through a dripping faucet can add up.)

Derroche

B2
Derroche refers to an excessive, lavish or wasteful use of resources often implying frivolity.
Gastar tanto dinero en ropa de diseñador es un derroche.
(Spending so much money on designer clothes is wasteful.)
El derroche de energía en las ciudades grandes es muy notorio.
(The waste of energy in big cities is very noticeable.)

Despilfarro

C1
Despilfarro also refers to extreme or reckless squandering and spending, often associated with finances.
El despilfarro de dinero público es un problema grave.
(Waste of public money is a serious problem.)
El despilfarro de los recursos naturales pronto nos afectará a todos.
(Wasting natural resources will soon affect us all.)

Summary

Desperdicio, pérdida, derroche, and despilfarro all denote some form of waste but are used in slightly different scenarios. Desperdicio generally refers to physical or consumable waste, pérdida implies a sense of loss or absence, derroche suggests excessive or frivolous wasting, whereas despilfarro usually refers to financial recklessness.