I was told that it causes an algae to form near the filter which after a while blocks it. Seems to be a bit of a design fault on BMWs.
This thread talks about the same thing:
http://forum.bmw5.co.uk/viewtopic.php?f=12&t=48872
This thread talks about the same thing:
http://forum.bmw5.co.uk/viewtopic.php?f=12&t=48872