Authority deliver a service when the money is filtered through - - PowerPoint PPT Presentation

WATER CONSERVATION AWARENESS

Kevin Murray Chartered Engineer March 2011

KEVIN MURRAY

 Chartered Engineer  Civil & Structural  Ex-Chairman - Cork Region Engineers Ireland  Chairman - Transport & Infrastructure Cork Chamber  Principal - Kevin J Murray & Co Ltd  20+ years experience as a Consulting Engineer  10+ years experience in Water Pricing in Ireland  Non-Domestic Water Metering Programme  Implementation & Guidance Notes

SCHEDULE

 Part One:

• 10:00

Introductions

• 10:15

Future of Water Services in Ireland

• 11:00

Open Discussion (Tea & Coffee)

 Part Two:

• 11:20

Manage the Water Bill

• 11:40

Water Conservation Projects

• 12:00

Wastewater

• 12:20

Individual Action Plans

• 12:30

Finish

THE FUTURE OF WATER SERVICES IN IRELAND

• Based on a presentation to the Urban Forum (Jan 2011)

BACKGROUND

 EU Water Framework Directive  National Water Pricing Policy  Water Services Act 2007  River Basin Management Plans  Water Services Investment Program  Local Government Fund  Non-Domestic Water Charges  Development Levies (RIP)  Borrowings

CONTEXT

 Assessment of Water & Waste Water Services for

Enterprise - Forfás (Sept 2008)

 Capacity  Cost  Quality

 Water Conservation ~ Unaccounted-for-water (ufw)  Climate Change  EU Directives & ECJ Judgements  Financial Crisis  Domestic Water Charges (2012-13)

FUNDING THE SERVICE

WHERE IS THE FUNDING GAP?

 The Three Card Trick:  How can the Water Service

Authority deliver a service when the money is filtered through Central Government?

 To whom does the Customer

complain if the service is poor, if the responsibility is split?

 Shared responsibility is no

responsibility.

 The service provider must

have control of the revenue.

€

Customer Water Service Authority Central Government

WHO NEEDS THE FUNDING

 Water Service Authorities  Service Delivery Needs  The Competent Authority  The Construction Sector  40 months of contraction  Projects delayed & jobs lost  The Customer  Finance water efficiency measures  The Regulators  Quality Assurance & Building Control

DOMESTIC WATER CHARGES

 Water Charges without meters first?  Why not?  OFWAT => Only 10% difference in consumption.  1.2 million properties (public water)  €500 standard charge; €300 for low occupancy.  Allow 10% for Administration;  Allow 10% for Social Welfare Assistance.

=> Annual Revenue of €384m per annum (Displacement of Exchequer Funding; But Direct.)

DOMESTIC WATER METERS

 Procurement & Installation Cost = €0.5bn to €0.6bn  Change in Customer Behaviour (10%)  Saving of €15m per annum of water production costs.  Based on 70:30 Fixed:Variable cost split.  Capture of Customer-side Leakage (50%)  Saving of €75m per annum of water production costs.  Based on 70:30 Fixed:Variable cost split.  Six (6) years to recover the costs of metering.  Excludes value of deferred capital investment.

UNIVERSAL WATER CHARGES

 Domestic & Non-Domestic  Average or Marginal Capital Costs  One price for water  Postalisation  Abolition of “Domestic Allowance”  No universal free allocation of water!  Streamlined revenue collection procedures  Disconnection Policy

FULL COST RECOVERY

 Water charges in Ireland are relatively low.  Germany = €5.50 /m3; Ireland = €2.30 /m3  This is not because we have magically become

more efficient than the Germans!

 Germany seeks full cost recovery; Ireland does not.  IMF – Memorandum of Understanding  Historic Mains Rehabilitation;  Abstraction Charges;  Stormwater Charges.

THE INSURANCE PURSE

 Who Benefits from Water Meters?  Claims – Subsidence & Property Damage  Due to water loss from leaking pipes.  Solution – Water Meters & Leak Alerts  Catch & Fix the leaks quickly.  Insurance Levy to help pay for water

meter installation?

 Policy discounts for customers with

meters with leak alert facility?

YOUR FUNDING GAP

 The Home Owner also has a funding gap.  Needs financial help to make the home more water

efficient; and benefit from cheaper bills.

 Water efficiency is a proxy for Energy efficiency  Extend the Home Energy Efficiency grants to include

water efficient fittings.

 Water Conservation Schemes  Find a way of including the service pipe to the first tap.  The Toilet Scrappage Scheme 2011

PRIVATE INVESTMENT

 PPP Schemes for Treatment Plants  Typically DBO, without the private finance.  Performance assured; but so is the fee.  Is there scope for further private investment?  DBFO might be considered; but the larger schemes

have been completed;

 Sell public water and waste water treatment assets to

the private sector and purchase the service;

 National Water Company  The value of the Customer Database

WATER SERVICE INVESTMENT PROGRAMME

 The Construction Sector has suffered from the

funding gap more than any other part of society.

 The continued contraction of the construction sector

demonstrates that the funding gap remains.

 WSIP promises €3.8bn of contracts to start by

2012; but progress has been very slow.

 The co-funding issues between Central

Government and Local Government must be resolved quickly.

NEW STRUCTURES

WATER SERVICES STRUCTURES

 No lack of ideas for new structures  Some are ideologically motivated;  National Water Authority?  National Water Company?  National Roads & Water Authority? (NRA+)  Commission for Utility Regulation? (CER+)  Regionalised Water Service Authorities?  Shared Service Centres?  National Billing Agency?  Regional Water Management Units?

ABSENT FRIENDS

 Economic Regulator  Who audits the price of water?  Customer Representative  Who speaks on behalf of the Customer?  Customer Care Centre  Where does the customer go for information?  Custodian of the Source Water  Who is the custodian of the source water?

ISSUES TO CONSIDER

 If it ain’t broke (too badly) don’t fix it (worse).  Don’t bring water services into an existing organisation

as a solution to problems elsewhere.

 Scale  If a local authority is too small to dedicate staff to

network management, then a larger scale is required.

 Should billing be managed nationally;  and customer queries handled locally?  Separation of Powers  Who is the Regulator? [Price & Quality]  Who is the Service Provider?

THE FUTURE OF WATER

To provide a professional and sustainable national drinking water service with outstanding customer service and well-managed infrastructure.

WATER IRELAND

 National Water Company  State Owned; Commercial Remit; Regulated Monopoly  Developed out of a National Water Metering Operator  Phased adoption of water services assets  Non-regulated international operations  Customer Service Centre  Utility Regulator  Economic Regulator  Service Levels  Single national price for water  Separate Environmental Regulator (EPA)

KEY ATTRIBUTES

 Semi-National Water Grid  Top Supply (Shannon) matched to Top Demand (Dublin)  Consolidation of plethora of small town schemes  Unaccounted for water less than 15%  Zero carbon; Zero (non-renewable) energy  Smart Metering; Smart Grid  Local Provision  Chlorinated public water not wasted  Rainwater Harvesting & Greywater Systems  Water efficiency maintains water availability

OTHER PLAYERS

 Transformed role of Local Authorities  No longer water service delivery  Custodians of the Source Water  River Basin Management Plan Structures  Data Protection Commissioner  The value of the customer data to be protected  Customer Representation  Consumer Council for ALL utilities

MANAGE THE WATER BILL

MANAGE THE WATER BILL

 Understand the Water Bill  Conduct a Water Audit  Water In & Water Out  Automatic Meter Reading  Web Displays

THE WATER BILL - POLICY

 In accordance with the Governments Water Pricing

Policy, all “non domestic” supplies are to be charged on a metered basis to recover operational costs of water provided and to achieve metering of all non-domestic

• customers. This is in accordance with the “polluter

pays” principle and the requirements of Article 9 of the EU Water Framework Directive.

 Water invoices are calculated by means of a metered

charge based on the volume of water used. The charge for customers who have a water and sewage connection is based on the basis of the “water in/water out” principle. www.limerickcoco.ie

LIMERICK COUNTY COUNCIL (2011)

In respect of connections to the Council Water Network and Sewerage System:- €200 per annum meter charge plus €2.60 per cubic meter of water supplied. In respect of connections to the Council Water Network only:- €200 per annum meter charge plus €1.15 per cubic meter of water supplied. In respect of connections to the Council Sewerage Network only:- €200 per annum meter charge plus €1.45 per cubic meter of water supplied to or used on the premises

READ THE METER

An average water meter will look like the picture to the left. On top, you will see the serial number, 07M244508. There will be 5 digits in black

• n a white background, and 2

(or 3) in white on red

• background. The black digits

are cubic meters (m³). You are charged based on reading of these 5 digits. In the middle is one red dial, which will rotate if water is running through the meter. The faster this spins, the more water is being used.

DO YOU KNOW WHAT YOU SHOULD BE PAYING?

 Typical Business uses 50 litres of water per

employee per day If you have 10 employees, and you are on both public water mains and sewers, then you would be using: 50 x 10 = 500 litres/day = 0.5 m3/day If you work a 5-day week, then the quarterly bill should be: 0.5 m3 x 13 x 5 x €2.60 = €84.50 (by volume) plus €50.00 (standing) Total = €134.50 (/Qtr)

SIMPLE WATER AUDIT

 What if the bill is (a lot) higher than you expect?  Turn off all the taps  (early in the morning or late at night)  Check the Meter  If the “spinner” is spinning, then water is going through

the meter, i.e. probably a leak;

 If it is not a leak?  You may be donating water to a neighbour!

DIG A LITTLE DEEPER …..

 Check for dripping taps  A dripping tap can lose almost as much water as one

employee;

 Check for faulty fittings  Overflow and pressure-release valves;  Sometimes they empty directly to the drains;  Call a plumber  Call specialist leak detection firms, e.g. LowFlo

CASE STUDY

0.000 2000.000 4000.000 6000.000 8000.000 10000.000 12000.000 14000.000 04 June 2008 04 July 2008 04 August 2008 04 September 2008 04 October 2008 04 November 2008 04 December 2008 04 January 2009 04 February 2009 04 March 2009 04 April 2009 04 May 2009 04 June 2009 04 July 2009 04 August 2009 04 September 2009 04 October 2009 04 November 2009 04 December 2009 04 January 2010 04 February 2010 04 March 2010 04 April 2010 04 May 2010 04 June 2010 04 July 2010 04 August 2010 04 September 2010 04 October 2010

Reading

Reading

HOW TO TURN €20,000 INTO €4,000?

WATER “IN” MAY NOT BE WATER “OUT”

The volume of Water coming in …….. …….. equals the volume of water going out. Not necessarily so.

 And then there may be a Domestic Allowance?  Could be worth €500-€600 of discounts each year.

BENCHMARK & MONITOR

 Automatic Meter Reading  Leak Alarm  Web-Based Displays  Temetra; HomeRider; Watersave; Meter Technology Ireland

ANECDOTE:

A small UK local authority had requested a proposal for a water conservation project to cover all their buildings, schools, offices sports centres etc. While they were impressed by the environmental and cost benefits they were concerned about the estimated capex charge - £35,000 to cover AMR and the installation of water saving devices. On the morning of the meeting to discuss next steps the Authority received a water bill for £32,000 for one school where a leak had gone undetected for 5 months. The order was placed immediately.

WATER CONSERVATION PROJECTS

WATER CONSERVATION PROJECTS

 Rainwater Harvesting  Water Efficiency Fittings  Frost Protection  Lead Pipe Replacement  Behavioural Change

RAINWATER HARVESTING

 Basic Principles:-  Collect rainwater from the roof gutters and downpipes;  Filter & Store in a tank;  Use in toilets, but not for drinking or washing.  Commercial Installations:-  Installations at €3,000 to €5,000  Payback in 5 – 10 years  Market competition  Kingspan; RainCatchers; etc.  Rainwater Harvesting Grants Scheme (€8m)  Agriculture

RAINWATER HARVESTING (RAIN CATCHERS)

RAINWATER HARVESTING PILOT PROJECT 2007

• 1. Rainwater harvesting is a sustainable water conservation measure.
• 2. Harvested rainwater is an underused source of raw water and its use has the

potential to contribute to the sustainability of raw water sources of supply and to the long term viability of water treatment plants.

• 3. Harvested rainwater has the potential to supplement sources of water supply for

non-potable uses.

• 4. The design and installation of a rainwater harvesting system should be

undertaken by competent/specialist trained personnel.

• 5. Ongoing maintenance of a rainwater harvesting system is required to ensure
• ptimum performance.
• 6. Current water charging policies act as a disincentive to the installation of

rainwater harvesting systems.

• 7. The introduction of a significant level of grant aid would, therefore, be required in
• rder to have rainwater harvesting considered a financially viable option.
• 8. The provision and siting of storage for harvested rainwater will depend on site

restrictions and capacity needs.

• 9. The utilisation of harvested rainwater for domestic hot water use could, under

appropriate conditions, be considered as a safe and sustainable alternative supply to mains water, with a possible reduction in demand of up to 80%.

• 10. The potential benefits of rainwater harvesting are not widely appreciated by the

public at large or by those involved in building design and construction. National Rural Water Monitoring Committee

WATER EFFICIENT FITTINGS

 Replace single flush toilets NOW  New dual-flush toilet set €150+ (plus labour)  Annual water saving €135+  Pay back in 1 or 2 years  Pays to invest in quality  Pressure Reducing Valves  Air Entraining Taps  Push Taps  Urinal Management Systems  Infra-Red Break Beams  Timing Systems  Pay back in less than a year

FROST PROTECTION

 Business Disruption; Water Damage; Leak repair  Cost of water possibly less important;  Unless the leak is not detected.  Check that exposed pipes are lagged in cold

spaces;

 Check that the boundary box is insulated;  Check that pipes are buried 750mm (30”);  Turn water off and drain system if closed for

holidays!

LEAD PIPE REPLACEMENT

 Many older properties still have old

lead piping between the boundary and the building;

 High risk of leakage (ongoing);  Apart from plumbosolvency health

risk;

 Customer-side leakage is known to

be at least half of the overall leakage in the system.

BEHAVIOUR

 Ofwat (UK):  Water metering reduces consumption by 10% in the

medium term;

 People do not recognise water as expensive;  Education is very important:  Schools (Green Flag Initiatives)  Tap Tips  Dublin Local Authorities;

WASTE WATER

WASTE WATER

 Fats, Oils & Greases (FOG)  Macerators  Stormwater Separation & Infiltration

FATS, OILS & GREASES (FOGS)

 FOGs are a menace for sewer

maintenance

 Very costly & disruptive  Licensing & Inspection regime  Being rolled out nationally  Started in Dublin City Council  Grease Trap  Check that it is being used;  Check that it is maintained;  Check that it is suitable.

MACERATORS

 Installed under the sink to “chop up” food waste for

disposal to the drains;

 A way of avoiding waste charges.  But:  They increase the organic loading at wastewater

treatment plants;

 This is reducing the effective capacity of the treatment

plants;

 The DEHLG and local authorities would like to see them

banned from sale;

 The Food Waste Regulations (2009) indirectly curtail the

use of in-sink macerators.

STORMWATER SEPARATION & INFILTRATION

 Stormwater Charges  Not included in Irish Non-Domestic Water Pricing Policy  Some UK Water Companies do charge for stormwater  Infiltration  Groundwater leaking into broken drains  Leaking water pipes – Direct to sewer!  Increased costs of collection and treatment  Environmental damage  Sustainable Drainage Systems (SuDS)

INDIVIDUAL ACTION PLANS

INDIVIDUAL ACTION PLANS

 SMART Objectives:  Specific  A project; Not a philosophy;  Measurable  Cut water bill by a set amount;  Achievable  Start with an easy win;  Realistic  Within available resources;  Timely  Not open ended;

FURTHER ADVICE

 Kevin Murray  Kevin J Murray & Co

“Bellagio”, Glenbrook, Monkstown, Co Cork. kevin@kevinjmurray.com 086 8148510 www.kevinjmurray.com

THANK YOU

www.kevinjmurray.com @KJMurrayCEng