scholarly journals Estimating Opportunity Cost as A Tool to Evaluate Water Loss Management of Non-Revenue Water at PDAM Tirta Khatulistiwa

2021 ◽  
Vol 930 (1) ◽  
pp. 012008
Author(s):  
D P Indah ◽  
A P Karpriana

Abstract Water loss or Non-Revenue Water (NRW) is a national problem PDAMs, including PDAM Tirta Khatulistiwa. In fact, with a high level of water loss, there is a significant potential loss of income. This study aims to implement opportunity cost calculation as a managerial tool for PDAM Tirta Khatulistiwa in making investment decisions to improve water loss management. This research was conducted by collecting information from financial, managerial, and local government equity participation reports. Then the data reduction is carried out and calculated based on the gross margin, net profit margin, and the opportunity cost. This study indicates that the capital investment provided by the Pontianak City’s government has increased, followed by an increase in the number of consumers. However, it was not followed by an increase in the company’s profit. This is due to the opportunity cost or lost income during the business process amounting to Rp31,218,673,384.64 in 2019 with a potential income to Rp222,663,258,365.00 if it manages to suppress distribution leakage to the level of 20%. This potential income is worthy of consideration for PDAM Tirta Khatulistiwa to start water loss management in the NRW reduction program.

2016 ◽  
Vol 15 (1) ◽  
pp. 15-24
Author(s):  
J. AHMADU ◽  
M. O.A. ADUWA

The study focused on economic analysis of suya production in Benin City, Edo State of Nigeria. Its specific objectives were to examine the socio-economic characteristics of suya producers, estimate the costs and returns of suya production, examine the relationship between gross income of suya production and the inputs affecting it, and identify the constraints limiting suya production. A total of 33 suya producers identified in the study area using snowballing sampling technique were used for the study. A structured questionnaire was used to elicit information from the respondents. Data analysis was done using descriptive statistics, budgeting and multiple regression analyses. The results showed that suya production in the study area was on a small-scale level with initial average capital investment of about N9,809.00. However, the suya production was profitable with gross margin and net profit of N 518.00 and N 508.00 per kilogramme (Kg) of meat respectively. Every naira invested in the business yielded a net return of 58k. The regression results showed that about 71% of the variation in the gross income from Suya production was significantly (p < 0.01) influenced by the costs of meat, charcoal and labour. Costs of meat and charcoal positively influenced the gross income while labour cost affected it negatively. Major problems identified to militate against suya production were high cost of input (91%), lack of credit facility (82%), inadequate capital (70%) and disruption of the business by frequent heavy rainfall (61%). In view of the profitability of suya production, entrepreneurs were encouraged to invest in it.ª¤?


2016 ◽  
Vol 6 (4) ◽  
pp. 519-533 ◽  
Author(s):  
Michael Gregory Ndunguru ◽  
Zvikomborero Hoko

A major challenge facing water utilities is the high level of water losses, which affects the financial viability and adequacy of water in the system. A study was carried out from January to May 2012 to characterize water losses in selected areas of Harare, Zimbabwe. Assessment of the contribution of water leakage to total water loss was carried out through water audits in four selected suburbs. Minimum night flows were determined over a number of days, and the SANFLOW model was used to determine average real losses. The water loss expressed as a percentage of supply in the four suburbs ranged from 29 to 43%, and was above the level expected for well-performing utilities in developing countries of 23%. Leakage contributed most to the water loss (&gt;70%). For the entire city, the study established that non-revenue water ranged from 43 to 74% over the period 2009–2011. The study concludes that water loss management in Harare is poor, and this is affecting the quality of service delivery. There is a need for Harare to take a more proactive approach to water loss management, including periodic water audits.


2012 ◽  
Vol 14 (1) ◽  
pp. 73
Author(s):  
Adisyahputra Adisyahputra ◽  
Sudarsono Sudarsono ◽  
Kukuh Setiawan

The aim of this research is to analyze and examine the inheritance of stomatal density trait and RWL as a variable in drought tolerance ofpeanut. The experiment was conducted by using cv. Kelinci that is sensitive genotype as female parent and US 605 which is tolerantgenotype as male parent, including population off spring from hybrid cv. Kelinci (P1) with US 605 (P2). Stomatal density was determinedby making leaf imprint and by observing leaf imprint under microscope. Relative water loss was determined by dipping peanut leaf in PEG40% for 48 hours. Result of the analysis showed that stomatal density and RWL were not only controlled by qualitative characters of majorgene, but also controlled by quantitative character of minor gene by polygenic with the complex gene action. Both characters seem toinfluence more as genetic factor and have high level fixation additive varians which can give the opportunity to obtain the tolerant offspring.


2019 ◽  
Vol 17 (1) ◽  
Author(s):  
Vedran Šupuković ◽  
Zvonko Merkaš ◽  
Zoran Gajić

Operational leverage measures the level of fixed costs in the company’s total expense and has a significant impact on the profitability of a company, especially in activities where large initial investment is necessary, and long acclimatization timeframes and high levels of revenue are needed to reach the profitability threshold. Fixed costs do not grow linearly with revenue growth and thus negatively affect profit with an insufficient level of total revenue. The paper explores the possibilities of using an operational leverage in combination with commercial policy in order to create a profit multiplier. Research has been conducted in companies in the Republic of Croatia that operate in continuity with low levels of profitability, up to 5% of net profit. In the research, the main hypothesis of work is set, by which the operational leverage is defined as a profit multiplier under the conditions of even the smallest organic growth of the enterprise in case it also operates with a high level of fixed costs. The paper begins with the fact that the effect of the operational leverage is of particular importance in certain segments of the economy that are constrained by the impossibility of entering into part of fixed costs and that their increase in profitability depends solely on the level of healthy organic growth. Accordingly, a model is considered in which an operational leverage has the ability to progressively leverage profitability, which in combination with the adequate application of commercial policy measures determines the dynamic character or processes that generate a multiplication effect even in the case of very small revenue growth. In this and such context, we are talking about the significant effect of operational leverage on company’s profitability even when neglected revenue growth affects the level of fixed cost reduction in relation to total revenue, thereby increasing profitability.


Author(s):  
Atayi Abraham Vincent ◽  

This study seeks to examine the relationship between Entrepreneurship practices and the level of profitability among farmers in Jos. The study covered small and medium scale farmer entrepreneurs within Jos North, Jos South and Jos East. A sample size of 518 was obtained from the population of 834 at 5% error tolerance and 95% level of confidence, using Simple Random Sampling. A self-structured questionnaire was used to collect data. 505(97.5%) of the questionnaire distributed were returned. The study conducted a pre-test on the questionnaire to ensure the validity of the instrument. Data collected were presented in descriptive statistics and frequency tables. The study used financial ratios such as the gross profit margin, net profit margin, returns on assets, sales per year and total assets measures were used to measure the profitability. The average values for gross profit margin, net profit margin and returns on assets are 29.47%, 19.2% and 8.2% respectively; the result shows that an individual farmer in this study can boast of a high level of profit. The study recommends among other things that governments at all levels should work to create a more conducive environment for farmer entrepreneurs to make profitable investments in agriculture.


2017 ◽  
Vol 15 (4) ◽  
pp. 351-356 ◽  
Author(s):  
Seyyed Alireza Mousavi ◽  
Iraj Shahbazi ◽  
Hosna Janjani ◽  
Rastegar Veysinejad ◽  
Ali Asgar Sobhani ◽  
...  

Water ◽  
2020 ◽  
Vol 12 (12) ◽  
pp. 3446
Author(s):  
Martin Oberascher ◽  
Michael Möderl ◽  
Robert Sitzenfrei

Water losses in water distribution networks (WDNs) are unavoidable. Water losses are evaluated based on performance indicators (PIs) and used for future recommendations for network operators to take measures against water losses. However, these evaluations primarily focus on large and medium sized WDN and do not deal with the challenges of small WDNs (e.g., technical, and financial limitations, missing data). Therefore, an appropriate water loss management is a major challenge for operators in the federal state of Tyrol (Austria) due to the high number of small WDNs, e.g., low income in combination with long network lengths. In this regard, this work specifies and discusses state funding in Austria to support network operators to reduce water losses. To assess the impacts on management strategies, 40 WDNs, supplying 200 to 16,000 inhabitants, are investigated in detail. As the comparison of different PIs shows, a volume related PI (e.g., water loss volume divided by total water demand) is recommend as the decision criterion for local authorities due to minimal efforts and its easy calculation. Moreover, public funding helps to significantly reduce water losses in individual systems, but countermeasures should be different for small and larger WDNs. For example, leakage detection campaigns and rehabilitation planning based on pipe age should be established in future for larger WDNs in Tyrol. In contrast, an online flow metering system to monitor system inflows is suggested for small WDNs. Based on measurement data, leakages and burst can be detected and repaired swiftly.


1971 ◽  
Vol 49 (8) ◽  
pp. 1389-1399 ◽  
Author(s):  
K. A. Kershaw ◽  
W. R. Rouse

The water relations of Cladonia alpestris in spruce–lichen woodland in northern Ontario is described. The rate of drying of the lichen canopy was measured by resistance grids inserted into the canopy and monitored during the drying cycle. The effects of dew were measured in a similar fashion and shown to form an insignificant proportion of the total annual metabolism of the lichen. The lichen mat showed a very high stratified resistance to water loss and the effective mulching properties produce a high level of water availability under the lichen mat. This was confirmed using neutron attenuation techniques and the significance of this discussed in relation to the development of lichen woodland. The physiological response of the lichen to conditions of varying levels of saturation is also discussed.


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