1. NONREVENUE WATER - Current and Future Remedies Gary Harstead Director – Asset Management United Water NARUC Winter Meeting February 2013

2. UNITED WATER TODAY Water and Wastewater Services 2,300 employees
Approximately 5.7 million people served in 21 states
Drinking water provided: 955 million gallons per day
Wastewater treated: 1,205 million gallons per day
2,300 employees
$3.0 billion in total assets
$800 million in revenues
Wholly owned subsidiary of Suez Environnement since 2000
…that has brought us to today’s successes.
Madeline to triple check MGD

3. UNITED WATER IN THE US Water and Wastewater Services 2,300 employees
Approximately 5.7 million people served in 21 states
Drinking water provided: 955 million gallons per day
Wastewater treated: 1,205 million gallons per day
2,300 employees
$3.0 billion in total assets
$800 million in revenues
Wholly owned subsidiary of Suez Environnement since 2000
…that has brought us to today’s successes.
Madeline to triple check MGD

4. Presentation Summary Description of the problem
Definitions: Nonrevenue Water, not just Unaccounted for Water
How do the losses occur?
Some solutions
A case study
Plans for the future

5. NRW Reduction Drivers NRW is a “Sustainable Development” issue
NRW is a business issue
Lost revenue
Increased operating expenses
NRW is a “Sustainable Development” issue
Waste of water resources
Waste of energy and chemicals
NRW is a Reputation Management issue
NRW is easy to understand for people. It becomes an overall rating of a utility’s competencies
NRW reduction methods
Usually costly and difficult to implement
Have minimal impact as they address one component of NRW at a time
Often require “change” for employees and customers

6. NRW Definition:
The percent of water introduced to the distribution network that does not produce revenue:
NRW = Billed Consumption
System Input OR
NRW = 1- System Input – (Real Losses + Apparent Losses + Unmetered Use)
“Unaccounted for Water” does not subtract “Unmetered/unbilled Use”
The percent of water introduced to the distribution network that does not produce revenue
NRW = 1- System Input – (Real Losses + Apparent Losses + Unmetered Use)
System Input
Real Losses: Water lost from the network that is not used by a customer, e.g. network leaks, main breaks
Apparent Losses: Water that is successfully delivered to the customer, but, for various reasons is not recorded or measured accurately and is subsequently unbilled
Unmetered Use: System flushing, fire fighting and other authorized unmetered uses OR
NRW = Billed Consumption

7. Components of NRW
NRW = 1- System Input – (Real Losses + Apparent Losses + Unmetered Use)
System Input
Real Losses: Water lost from the network that is not used by customers or the utility, e.g. network leaks, main breaks
Apparent Losses: Water that is successfully delivered to the customer, but, for various reasons is not recorded or measured accurately and is subsequently not billed
Unmetered Use: System flushing, fire fighting and other “authorized” unmetered uses that is not billed.

8. Real Losses – Locating and Repairing Leaks
Water system characteristics vary widely due to age, geology, geography, materials and maintenance history.
Leak detection success depends on above AND personnel abilities.
“Traditional” sounding methods most widely used but have limitations.
Advanced leak detection methods are very expensive and application success will vary based on the utility’s distribution system characteristics.
Reactive repairs are expensive and pipeline replacement often due to other drivers, e.g. break frequency, hydraulics and water quality issues. DSIC Programs Help!

9. Apparent Losses – Causes and Solutions Vary
Meter Inaccuracy
Unmeasured Low Flow
Fire Service Line Use
Meter Tampering
Unauthorized taps
Data handling/”Lost”
Customers

10. United Water’s Use of “AquaCircle” – A software tool developed by Suez Environnement to identify components of NRW and to make forecasts on NRW reduction based on SE’s worldwide experience of various methods of NRW reduction strategies.
PROS
Standardize Methodology – Based on IWA/AWWA Method
Sound Analytical Approach to NRW Assessment and Forecasting
Once up to speed, time-savings on analysis
Established data to judge impact of NRW reducing tasks
Scenarios for NRW reduction and action plan priorities
CONS
Detailed & Comprehensive Data Required
Standard Data often needs to be customized to meet tool input needs
May not be ideal for smaller systems
Relatively long “Learning Curve”

11. AquaCircle Assessment Results Table

12. UWNJ Apparent Loss Investigation (Summer 2012)
Theft:
Meter Tampering – Data analysis from AMI Van
No Record of Service – Geocoding + field investigations
Illegal Use of Fire Services – Field investigations
Improperly Connected Irrigation Systems
Billing Discrepancies:
Lost Meters/RFs – Data analysis and comparison with CC&B
Stopped Meters
Meter Inaccuracies

13. Results of Apparent Losses Investigations
Meter Tampering – 2.5 %
No Record of Service – 0.07%
Illegal Use of Fire Services – 1.0 %
“Lost” Meters/RFs – up to 0.4%
Meter Inaccuracies – 3.5 to 4.0%
Irrigation Systems – 0%
Total % of potential revenue that is not billed = 7 to 8%

14. Short and Mid-Term Plan Highlights
Apparent Losses:
Expand Apparent Losses Investigations
Advance AMI and MDM software
Improve Meter Age Program where applicable
Real Losses:
Continue Enhanced Leak Detection Methods
Create District Metering Areas
Reduce Leak Discovery to Repair Time