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Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
Advanced Metering & Meter Accuracy Sustainability
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Advanced Metering & Meter Accuracy Sustainability

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  • 1. Advanced Metering & MeterAccuracy Sustainability – Creative SolutionsTools for Water Efficiency & for our EnvironmentCustomer Satisfaction Your Name the Infrastructure Replacement Era Navigating Veolia Water North America June 2010 February 4, 2011
  • 2. 1Local Drivers and Value ofAdvanced Metering Your Challenge is Our Challenge
  • 3. Drivers & Challenges – Local NE Illinois Population Growth by 2050 • 3.4 million/38.5% to 12.1 million Population Location & Development • Outer counties/low density – more water demand • Inner counties/high density – less water demand Water scarcity/drought/climate change All localities have their own compelling and critical issues Source: Regional Water Demand Scenarios for Northeastern Illinois 2005-2050
  • 4. NE Illinois Water Issues – Report Recommendations Maintain & improve water inventory data Manage growth to achieve LRI scenario • Water pricing • Conservation Appropriate water pricing & adjustments Monitor usage over time System to measure water efficiency & new conservation methods. Source: Regional Water Demand Scenarios for Northeastern Illinois 2005- 2050
  • 5. Drivers & Challenges - Solution Framework Issues lead to water efficiency strategies • Reallocate abundant water for more economic development Water is fuel for the economy 31more times of water goes over Niagara Falls than Chicago diversion Life vs. lifestyle Solutions will be regional in scope & portfolio driven • Water is interconnected • Many tactics contribute to solution Focus on fundamentals/basic economics • Too costly to maintain subsidies and false economics • Water availability becoming risk management issue & valued into stock prices
  • 6. Advanced Metering Infrastructure – StrategicTechnology for Future Challenges Manage the resource Manage operating costs Form relationship with customer Veolia Water has installed over 1 million AMI systems Intelligent AMR fixed network sensors Data Data Data transportacquisition management
  • 7. Advanced Metering Infrastructure – StrategicTechnology for Future ChallengesThe Power of Interval DataRegister – read showing total consumption over time 0 1 2 3 5 5 0 0 1 9 3 5 5 0 Time Period: 1 to 3 Months 7000 gallons 4 to 12 data points per year Interval – read showing usage at specific time Intervals ofTime: 25 gal 25 gal 25 gal 150 gal 250 gal 60 gal 100 gal 27 gal 25 gal Over 24 Hours 8,760 or more data points/year
  • 8. Advanced Metering Infrastructure – Manage theResourceService line leak detectionDistribution system leak detectionPressure sensorWater quality sensorIn-home devices
  • 9. Advanced Metering Infrastructure – Manage the Resource Meter leak detection Meter tamper detection Revenue protection• Dispute resolution Rate setting & management• Full cost pricing• More timely/actionable information
  • 10. Advanced Metering Infrastructure – Manage theOperations Reduce meter reading costs Nearly eliminate special & final billing reads Reduce service shut-off & turn-on costs High bill dispute resolution Tamper detection & enforcement Water restriction monitoring & enforcement New for fee services
  • 11. Analysis Results – Meter Reading Impacts Read Type Current Mobile Radio Fixed Network Radio Commercial Monthly $6.78 / read 95% reduction /read 100% reduction Read $0.34/ read $0/ read Quarterly Monthly reading Daily reading reading Residential Read $0.84/ average 95% reduction /read 100% reduction read cost $0.04 / read $0/ read Quarterly read Quarterly read Monthly reading Riding Reads 74,000/ yr 90% reduction/read 100% reduction $6.70 / read $0.67 / read QA Reads (All 110,000/ yr 75% reduction 75% reduction Types) $4.85 / read 25% reduction/read 25% reduction/read $3.83 / read $3.83 / read
  • 12. High Bill Dispute Resolution Customer Account Account Re- Analysis & Total Intake Analysis Read Resolution Estimated CostCurrentSystem $ 43,609.93 $ 54,512.41 $ 91,642.65 $ 19,079.34 $ 208,844.34Average Cost $ 8.37 $ 10.46 $ 57.11 $ 41.85 $ 117.80MobileSystem $ 26,165.96 $ 32,707.45 $ 46,586.92 $ 13,170.37 $ 118,630.70Average Cost $ 8.37 $ 10.46 $ 51.85 $ 48.15 $ 118.84Fixed System $ 8,721.99 $ 10,902.48 $ - $ - $ 19,624.47Average Cost $ 8.37 $ 10.46 $ - $ - $ 18.83 Mobile system Analysis & Resolution costs higher due to different personnel responsible for the work.
  • 13. Tamper Detection & Enforcement Activities Cost Estimates Data Data Enforce Collection Data Enforcement Cost/ Collection Analysis Notices Activities Analysis Notification Total Cost Violation 0.2Assumptions 0.1 Hours Hours 3%MobileSystem 1924.9 4 2309.88 $88,993.25 $167.42 $2,309.88 $91,470.54 $39.60FixedNetwork 4 4 2309.88 $184.93 $167.42 $2,309.88 $2,662.23 $1.15 Current system requires visual detection of tampering activities
  • 14. Water Restriction Monitoring & Enforcement Collection Data Enforcement Total Cost/ Activities Analysis Notification Cost ViolationManual $ 133,150.06 0 $ 133,489.87 $ 266,639.93 $ 23.09Mobile $ 355,972.99 $ 2,678.69 $ 56,303.33 $ 414,955.00 $ 7.37Fixed $ 4,587.12 $ 4,587.12 $ 56,303.33 $ 65,477.56 $ 1.16 No data analysis costs for manual read system – must catch violators in the act.
  • 15. Advanced Metering Infrastucture – Form a Relationship with the Customer Secure access via personal account on History of daily consumption www.serviceclient.veoliaeau.fr Under Excel files (after export) Charts Graphs History of monthly consumption Possibility to export, charts or graphs15 - Direction des Consommateurs - Présentation Générale Télé-Relevé version de juin 2010
  • 16. Advanced Metering Infrastucture – Form a Relationship with the Customer Be proactive – solve issues prior to being a big problem Inform customers when entering higher rate block Info VEOLIA EAU: Possible leak detected on your In case of a leak: instant alert. meter For further information, call Avoid more serious property Customer Service or log on damages and higher charges www.serviceclient. veoliaeau.fr • Sms and/or e-mail alert in real time: notified wherever you are16 - Direction des Consommateurs - Présentation Générale Télé-Relevé version de juin 2010
  • 17. Advanced Metering in Chicagoland Early adopters of phone read technology in the early 1990’s – limited success • Lack of phone company support • Addition of fax lines, fiber optic and privacy issues • Mobile read solutions gained favor Around 30 utilities (about 6% of utilities in NE IL) have deployed or deploying RF based fixed network solutions • Evanston, IL one of the earliest RF system adopters • Joliet, Norridge, Oswego, South Elgin are more recent additions Deployment of mobile read systems makes justification for conversion to fixed network more difficult
  • 18. Advanced Metering in Chicagoland Business case for shifting strategic direction from mobile to fixed • Stranding assets • Increasing reading & billing frequency • Monetizing water restriction monitoring and enforcement • Monetizing operational cost impacts – leak detection, dispute resolution Recent analysis of local utility with 20,000 meters; 15% accounts with Mobile • Continuation of mobile deployment not cost effective • May strand up to $500,000 in mobile system assets – depends on technology selection • Benefits of fixed system enough to justify shift in strategy
  • 19. 2Meter Accuracy Sustainability AMI Don’t Mean a Thing if Meters are Inaccurate
  • 20. Veolia’s Metering Expertise = Revenue Recovery Veolia Water’s Metering Asset Management Approach can Recover Revenues in a Range of 3 to 5 % or More! Our Methodology is ROI based - between 1 to 3 years Our Stewardship for Metering Accuracy Sustainability is backed by experience and results: • 20 Million meters managed worldwide – 66 countries • Veolia Water measures over $11+ billion per year through its meters • 9 accredited meter labs – test all metering products • 70 metering professionals dedicated to metering knowledge & performance 20
  • 21. Method Highlights for Small Meters –3 Year ROI Target We Use the Customer Database to Define Demographic Parameters • Define sub-sets representative of the meter base • Define a statistical sample size and amount of testing required We Bench Test the Accuracy of the Samples- up to 13 different flow rates • Very low flow – where 10% to 15% of usage may occur & meters typically under-register We Locate Usage Patterns Similar to the Utility • How much customers consume water at the different flows rates tested 21
  • 22. Method Highlights for Small Meters –3 Year ROI Target Meter inaccuracy aligned with consumption pattern 40.0% 20.0% 0.0% -20.0% -40.0% -60.0% % in overall consumption % inaccuracy -80.0% -100.0% 50 2 5 7 0 5 7 7 0 3 7 0 10 3 01 02 04 07 10 16 34 70 38 96 95 93 .4 0. 0. 0. 0. 0. 0. 0. 0. 1. 2. 3. 5. Flow gal/mn Accounted - Unaccounted Water 8% Accuracy, volume, flows, ROI tariff, labor & 92% meter prices Non Revenue Water Accuracy Factor 22
  • 23. Leveraging Veolia Water’s Meter AccuracySustainability – Indianapolis Large Meter Results Managing over 322,000 accounts Focused on top 163 3” & larger meters • .05% of total meter base & 24% of large meters • 15% of system revenues and usage • Average age of 21.3 years • Average accuracy of 85.3% CAPEX Cost $1.44 million • Replace meters & upgrade settings to current standards • AMR compatible Revenue Gain $1.98 million/ROI < 9 months Investing in maintenance to sustain revenue of $8 million over 4 year period 23
  • 24. Leveraging Veolia Water’s Meter AccuracySustainability – SEDIF Contract Results Managing over 550,000 accounts The baseline 2002 Compound Accuracy Factor was 95.4% Using same meter replacement budget as preventative approach, we have improved accuracy by 3% & recovered $30 million over the baseline year. Meter base .3% less than AWWA accuracy standard for new meters 2003 2004 2005 2006 2007 2008 2009 # of meters replaced in Accuracy 23,268 22,368 21,738 21,975 23,100 23,142 23,541 Enhancement Program Compound Accuracy 96.5% 96.7% 97.3% 97.5% 97.8% 98.1% 98.2% FactorWater Recoveredcompare to 2002 1.2% 1.4% 2.0% 2.2% 2.6% 2.9% 3.0%
  • 25. How is District Metering Area (DMA) Done? Parameters to consider when setting up DMA •Supply safety (sub-network interconnection) •Fire hydrant mandatory flow •Water quality (avoid dead end network) •Easiness for leakage detection (decrease length where leakage detection is difficult – ie nonmetallic pipes) •Try to minimize meters and boundary valves. •2000 – 3000 customer per DMA average •25 miles of pipe per DMA average
  • 26. DMA System Benefits Improvement of water network performance • Real-time consumption follow-up • Detection of backflows • Detection of serious or persistent leaks • Monitoring of network performance Helps maintain water balance – account for losses and find leaks Provides more reliable data for hydraulic modeling Provides more reliable information for prioritizing work and allocating maintenance resources Provides opportunity for piloting various techniques before applying to other districts Better control over district’s infrastructure
  • 27. Summary Accurate meters make for accurate AMI • Improve revenues • Reduces rate increases • Promotes fairness & equity between customers • More effective use of maintenance resources AMI needed to address current & future utility challenges • Reducing operating costs to keep rates low • Improving service to customers – form a relationship to help win rate adjustments & support infrastructure investments • Manage water resources & use them more efficiently
  • 28. Thank You for Your Time Q/A

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