Managing Apparent Loss and Real Loss from the Nexus Perspective Using System Dynamics

When water utilities establish water loss control programs, they traditionally focus on apparent loss rather than real loss when considering economic feasibility in the water sector. There is an urgent need for new management approaches that can address complex relationships and ensure the sustainability of natural resources among different sectors. This study suggests a novel approach for water utilities to manage water losses from the water-energy (WE) Nexus perspective. The Nexus model uses system dynamics to simulate twelve scenarios with the differing status of water loss and energy intensities. This analysis identifies real loss as one of the main causes of resource waste and an essential factor from the Nexus perspective. It also demonstrates that the energy intensity of each process in the urban water system has a significant impact on resource use and transfer. The consumption and movement of resources can be quantified in each process involved in the urban water system to distinguish central and vulnerable processes. This study suggests that the Nexus approach can strongly contribute to quantifying the use and movement of resources between water and energy sectors and the strategic formulation of sustainable and systematic water loss management strategies from the Nexus perspective.

Measuring operational and quality-adjusted efficiency of Chilean water companies

The path to a sustainable management of the urban water cycle requires the assessment of both operational and quality-adjusted efficiency in a unified manner. This can be done by the use of non-radial Data Envelopment Analysis models. This study used Range Adjusted Measure models to evaluate the operational, quality-adjusted, and operational & quality-adjusted efficiency (O&QAE) scores of the Chilean water industry including water leakage and unplanned interruptions as undesirable outputs. It was found that on average water utilities presented large O&QAE scores over time. The mean O&QAE score was 0.964 which means that water utilities could further reduce costs and undesirable outputs by 3.6% on average, while trying to expand the scale of operation. This finding suggests that excellent quality-adjusted efficiency at an efficient expenditure could be feasible. It was also evidenced that customer density, mixed water resources, and ownership influenced the O&QAE of Chilean water companies.

Water Demand Management and Household Level Metering in Low-Income Areas of Urban Africa

Increasing the level of water metering is an objective of most initiatives for the operational restructuring of African water utilities promoted by donors and development agencies from the 1990s. Water metering penetration is a common benchmarking indicator to measure the performances of water utilities. In contrast with other benchmarks and targets set for the African water sector, which remain largely unmet, water metering at household and at water point levels are quite successful. The study discusses the arguments behind the widespread acceptance of the target of 100% metering, focusing on the suitability of household level metering for low-income settlements of urban Africa. An empirical analysis shows that metering is not an effective water demand management tool for domestic consumption, probably due to the fact that average consumption is already low, and it can hardly be reduced further. The case study shows that universal metering ambitions might discourage household level connections.

Benchmarking the economic and environmental performance of water utilities: a comparison of frontier techniques

PurposeThe purpose of this paper is to estimate and compare the efficiency of several water utilities using three frontier techniques. Moreover, this study estimates the impact of several qualities of service variables on water utilities’ performance.Design/methodology/approachThe paper utilizes three frontier techniques such as data envelopment analysis (DEA), stochastic frontier analysis (SFA) and stochastic non-parametric envelopment of data (StoNED) to estimate efficiency scores.FindingsEfficiency scores for each methodological approach were different being on average, 0.745, 0.857 and 0.933 for SFA, DEA and StoNED methods, respectively. Moreover, it was evidenced that water leakage had a statistically significant impact on water utilities’ costs.Research limitations/implicationsThe choice of an adequate and robust method for benchmarking the efficiency of water utilities is very relevant for water regulators because it affects decision making process such as water tariffs and design incentives to improve the performance and quality of service of water utilities.Originality/valueThis paper evaluates and compares the performance of a sample of water utilities using three different frontier methods. It has been revealed that the choice of the efficiency assessment method matters. Unlike SFA and DEA, a lower variability was shown in the efficiency scores obtained from the StoNED method.

Economic resilience in water supply service in rural Tajikistan: A case study from Oxfam

The water utilities established by the Tajikistan Water Supply and Sanitation (TajWSS) project, which is funded by Swiss Agency for Development and Cooperation and led by Oxfam in Tajikistan in collaboration with Government of Tajikistan focussed mainly on decentralization of drinking water services and ownership of the water supply assets by local governance bodies. However, owing to the increasing demand for water and pressures on water resources as a result of climatic variability, water utilities in rural areas are facing financial, operational and environmental challenges which prevent them from responding adequately. These challenges require highly resilient considerations in the design, construction and management of water supply and sanitation facilities and access to financial resources to overcome unforeseen risks. Oxfam's experience in Tajikistan shows that a community's socio-economic status and water utilities’ business operations were key factors for building the resilience of water and sanitation (WS) systems in rural areas. In this paper, the approach in building WS systems that are highly resilient to disasters or risks in rural areas is investigated along with how different factors such as demand and supply, institutional capacity, access to finance and community ownership affect the sustainability of WS services.

Impact of active night population and leakage exponent on leakage estimation in developing countries

Methods for network leakage estimation include water balance, component analysis and minimum night flow (MNF) methods the latter of which involves subtracting the customer night use (QCNU) from night leakage and multiplying by the hour day factor (HDF). QCNU and HDF respectively depend on Active Night Population (ANP) and leakage exponent (N1). In most developing countries, these parameters are assumed in the MNF method thus introducing errors which makes setting realistic leakage reduction targets and key performance indicators (KPI) problematic. In this study, QCNU and HDF were evaluated by determining the relative error associated with ANP and N1 to establish localized rates for accurately estimating leakage in water networks. Between 7 and 11% relative error was associated with every 1% higher or lower ANP while up to 4% relative error was observed for every step considered. A linear relationship exists between the relative error associated with both and ANP although that of ANP is twice as high as This has technical implications on setting water loss reduction targets and investing in the water infrastructure. It is recommended that water utilities must establish localized ANP and values for accurate leakage estimation in water networks.

Effect of Climate Change on Drinking Water Utilities in Nzoia River Basin, Kenya

Climate change is already having noticeable effects on water utilities in Nzoia River Basin. Extreme weather and climate-related occurrences are becoming more common and intense, as predicted by the Intergovernmental Panel on Climate Change (IPCC), Third Assessment Report. Because most water utilities are unprepared, the repercussions might be severe. The water supply infrastructure is built for resiliency and sustainability of operations during weather events or other circumstances that could potentially interrupt services; but when events that were historically considered to be “100-year” events happen more and more frequently, utilities must prepare for a new normal. These extreme events are occurring or being exceeded more regularly, and as a result, the past may no longer be a reliable predictor of the future. In Nzoia River Basin, the water supply infrastructure currently designed for historical climate conditions is more vulnerable to future weather extremes and climate change. This study assessed the effect of climate change on drinking water utilities in Nzoia River Basin. A cross-sectional survey design was used. Three counties were randomly selected from the basin for study with Busia representing the lower catchment, Kakamega middle catchment and Trans Nzoia upper catchment. The study was carried out from May, 2017 to September, 2017. In-depth expert interviews and brainstorming sessions were used to identify the climate change impacts affecting drinking water utilities experienced in the last ten years in the basin. A carefully selected team of water and climate change experts consisting of decision makers, practitioners, managers, scientists and technology adopters were used to rank the severity of the climate change impacts. Climate change occurring in Nzoia River Basin is expected to have a wide range of consequences for drinking water utilities. By assessing its potential impacts on water utilities, we become better positioned to make improvements today to decrease the future risks. The results of this study provide valuable insights for the national and county governments in preparing to effectively anticipate and respond to the relevant issues that they can expect to face in the coming century.