A report commissioned by Ofwat provides insight on how the Water Efficiency Fund proposed for AMP8 could be used to help improve the outcomes from the rollout of smart water meters, based on lessons from the energy sector.

Ofwat is working with partners to consider the recommendations from the report as the regulator develops its approach to the water efficiency fund.

Credit: Sian Wynn-Jones

The report suggests there would be benefits from: common agreement on the benefits and use cases of smart and the minimum technology and capabilities required; comparing performance and sharing best practice; and collaborating and investing in joint solutions to common challenges. However, at present each water company is cutting its own path.

There are 12 recommendations across four areas:

Central governance and coordination

• Establish a smart delivery governance capacity
• Develop a sector-wide business case and roadmap
• Establish and govern performance reporting
• Establish technical and operational standards and guidance
• Establish benefits realisation standards and guidance
• Assess and mitigate supply chain risks

National campaigns

• Establish national campaigns to increase engagement

Joint sector solutions and innovation

• Invest in new joint-sector solutions
• Establish and govern data standards and data sharing
• Enable smart tariffs and incentives

Regulatory/policy interventions

• Consider enabling alternative investment approaches to accelerate the rollout
• Enable compulsory measured charging nationwide.