Jokin Larrauri Vice President Smart Water at Schneider Electric, explains how digital transformation can reduce non-revenue water in utilities, improving sustainability and efficiency.

Jokin Larrauri: Imagine a business that loses one-third of all it produces through ‘breakages’ – would we deem that an effective business model or one that is in desperate need for change?

This is the situation facing water and wastewater utilities. Non-revenue water (NRW) – water that flows through their systems but doesn’t reach the customer - amounts to 126 billion cubic metres of lost water annually, with utility companies losing roughly 30% of their water.

The primary causes of NRW include leaks due to inefficient infrastructure (estimated to need $6 trillion investment) as well as poor water management practices. This loss not only depletes valuable water resources but also leads to unnecessary energy waste, accounting for up to 4% of global greenhouse gas (GHG) emissions generated. According to the International Water Association (IWA), energy loss due to NRW can account for 20-50% of the total energy consumed in pumping, treatment, and distribution, resulting in CO₂ emissions.

Reducing the scale and impact of NRW is critical for conserving water resources as well as addressing global water scarcity and stress issues. Today, 50% of us live under water stress. By 2030, we will only have 60% of the water needed to meet the needs of the growing population.

The industry is clearly under unprecedented pressure. Demand and sustainability are colliding with aging infrastructure and spiralling costs. Rather than seeing NRW as an inconvenience, the industry must see it as an opportunity – one that answering can deliver profitability and help conserve vital resources.

Digital tools to combat NRW

One of the biggest problems the industry faces is that many of the automation systems they are using were designed and installed decades ago, based upon hardware. These hardware-centric systems do not support the needs of today’s industries as they strive to improve operational resilience, data transparency and agility.

Instead, we must move towards software-defined and open automation to decouple the hardware cycle from the software cycle. By prioritising digitalisation, industry can drive industrial operational efficiency, and optimise processes to reduce operational costs and empower corporate sustainability.

Digital tools underpinned by automation optimise the use of resources such as energy and raw materials. By automating processes, water utilities can enhance operational efficiency and transparency, allowing for real-time monitoring and control of various parts of the water system.

Automation strategies provide water utilities with capabilities to address NRW, including:

1. Real-time monitoring and leak detection -Utilising advanced metres, sensors, and pressure gauges permits utilities to obtain real-time data on water flow, pressure, and consumption. Advanced analytics and machine learning algorithms process this data to detect and locate leaks more accurately, enabling timely repairs and reducing water loss.
2. Pressure management -Digital tools monitor and control pressure levels to prevent burst pipes and leaks caused by high pressure.
3. Predictive maintenance -Data analysis and predictive algorithms anticipate maintenance needs by monitoring flow rates, pressure changes, and equipment performance, anticipating potential issues before significant leaks occur. This reduces the chance of equipment failure and downtime, helping operators plan maintenance activities more effectively and ensuring continuous, efficient operations.
4. Asset management -Digital platforms offer comprehensive views of infrastructure, identifying aging or deteriorating assets. Prioritising maintenance and replacement efforts helps mitigate the risk of leaks.
5. Breaking down organisational silos -Enhanced data sharing and integration among departments like engineering, operations, maintenance, and customer service drive coordinated NRW reduction initiatives and continuous improvement.
6. Data-driven decision-making -Abundant data from digital systems allows for informed decisions on infrastructure investments, repair prioritisation, and resource allocation.

Strategies for effective digital transformation

Realising the power of a digital transformation requires the right balance between humans and technology. It is not enough to implement these new tools and understand the benefits and limitations of digitalisation; this knowledge must be translated into actions by utilities, stakeholders, and policymakers.

To impact NRW reduction, water utilities must embrace digital transformation as a strategic priority. This means investing in digital infrastructure to implement advanced monitoring systems, data analytics platforms, and sensor networks that enable real-time monitoring and accurate leak detection to detect leaks and prevent water loss promptly.

At the same time workers should be empowered to develop the right skills to leverage the potential of digital solutions by investing in training programs to enhance their capabilities in data analysis, and system maintenance. Process and policies should be flexible and enable change through partnerships and engaging with policymakers.

Crucially, true digital transformation requires a cultural shift – one that embraces collaboration and continuous improvement. Through regular knowledge sharing and the harnessing collective expertise across departments, effective decision-making can take place. This must be combined with the understanding that digital transformation is not a destination but a journey – with constant feedback loops, performance metrics, and adaption to emerging technologies and best practices.

Concerns and hesitations about moving away from the comfort zone are understandable. However, being part of a digital partner for sustainability and efficiency for the last 20 years, I have observed how leading water utilities, like Anglian Water, overcame these fears by partnering with Schneider Electric to provide the expertise and digital know-how. We helped them connect over 300 data sources, equating to 38,000km of water network to be visualized and managed via a single platform. They realized a 5% cost reduction in outsourced leak detection and a 90% time reduction in checking leakage calculation, identifying flow meter faults, and planning leak survey deployment. Since 2015, they have been saving 10 million liters per day.

Global success stories

Globally, utility companies are seeing remarkable results. Wilo Indonesia – one of the world’s leading providers of pumps and pump systems - partnered with Schneider Electric to reduce operational costs and increase reliability and security. Wilo relies on innovative products that are well integrated into its infrastructure. As Wilo partners with several mining companies, it needs a pump system to control the water level which can be monitored digitally because of the remote location of the mines.

To help avert flooding events, Wilo developed a highly reliable dewatering system using Schneider Electric’s EcoStruxure Machine platform to its pump system. The combination of EcoStruxure Machine Advisor, and AVEVA Edge (digital services and leading-edge industrial software which operates on AVEVA Connect) enabled Wilo to monitor machine location usage and control the pump skid to prevent flooding remotely with cloud-based control. By partnering with Schneider Electric, Wilo Indonesia reduced energy consumption by 20%, reduced downtime by 25% and increased productivity by 40%.

Similar success has been seen at Padania Acque, the water services provider for 113 municipalities in the Italian province of Cremona. Through using Schneider Electric’s EcoStruxure Water Advisor, Padania Acque were able to monitor and optimise its entire water supply system, permitting them to take predictive actions to ensure reliable and sustainable operations for its customers.

Not only were Padania Acque able to increase its EBITDA by 22% over three years by integrating digital solutions for better NRW management, but they also cut water losses to almost half of the national average (24% vs 42%) and a 20% improvement in operations with digitised control and management. These figures highlight the fact that we simply must invest in NRW strategies and technologies.

The path forward for sustainable water management

The toolset to reduce NRW and promoting sustainable water management is readily available. By investing in right digital technologies and fostering a collaborative, continuous and data-driven approach, utilities can conserve resources, ensure water future for generations to come and drive profitability.

Embracing digital transformation, including automation, software, and data analytics, is crucial for addressing the significant water losses and inefficiencies currently faced by the industry. With proactive steps, water utilities can mitigate the impact of aging infrastructure, reduce operational costs, and contribute to global sustainability goals.