Smart Meters and Domestic Water Usage FR/R0023 of Current Knowledge 2 CONTENTS Page 1 Introduction: the need for smart water metering 3 2 Smart metering: definition, benefits, and challenges 4 2.1 Smart metering defined 5 2.2 Benefits of smart metering 8 2 ...

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<ul><li><p> A Review of Current Knowledge </p><p> Smart Meters and Domestic </p><p>Water Usage </p><p>FR/R0023 May 2015 </p><p> Foundation for Water Research </p><p>Price: 15.00 (20% discount to FWR Members) </p><p>Foundation for Water Research Allen House, The Listons, Liston Road, Marlow, Bucks SL7 1FD, U.K. Tele: +44(0)1628 891589 Fax: +44(0)1628 472711 E-mail: office@fwr.org.uk Home page: www.fwr.org </p></li><li><p> Foundation for Water Research 2015 </p><p>Copyright </p><p>Apart from any fair dealing for the purposes of research or private study, or criticism or review, as permitted under the UK Copyright, Designs and Patents Act (1998), no part of this publication may be reproduced, stored or transmitted in any form or by any means, without the prior permission in writing of FWR. </p><p>Disclaimer </p><p>Whilst every effort has been made to ensure accuracy FWR will not accept responsibility for any loss or damage suffered by any person acting or refraining from acting upon any material contained in this publication. </p><p> Appropriate professional advice should be sought when making important decisions to ensure the information is correct, up-to-date and applicable to specific circumstances. </p><p> This review is one of a series of Reviews Of Current Knowledge (ROCKs) produced by FWR. They focus on topics related to water supply, wastewater disposal and water environments, which may be the subject of debate and inquiry. The objective of each review is to produce concise, independent scientific and technical information on the subject to facilitate a wider understanding of the issues involved and to promote informed opinion about them. </p></li><li><p>Review of Current Knowledge </p><p> 1</p><p>Smart Meters and Domestic Water Usage </p><p> Cover page image Thames Water Utilities Ltd </p><p> Authors: Alexis Pericli and James O. Jenkins University of Hertfordshire Department of Biological and Environmental Sciences </p></li><li><p>Review of Current Knowledge </p><p> 2</p><p>CONTENTS Page </p><p>1 </p><p>Introduction: the need for smart water metering 3 </p><p>2 Smart metering: definition, benefits, and challenges 4 2.1 Smart metering defined 5 </p><p>2.2 Benefits of smart metering 8 2.3 Smart metering challenges 10 </p><p>3 Applications of smart water metering 11 </p><p>4 The governance backdrop to smarter water metering 20 </p><p>5 Smart metering technology: installation, design, and interaction 27 5.1 Installation 28 </p><p>5.2 Design 29 5.3 Interaction 30 </p><p>6 The influence of socio-demographic, contextual and behavioural factors </p><p>36 </p><p>7 Changes in management and water usage as a result of smart meters </p><p>40 </p><p> 8 </p><p>The role of water efficient household appliances and fittings 43 </p><p> 8.1 The impact of efficient devices on water demand 43 8.2 Attempts to benchmark water efficient fittings and appliances 46 </p><p>9 Conclusion: making smart meters work 49 10 References 52 </p></li><li><p>Review of Current Knowledge </p><p> 3</p><p>1 Introduction: the need for smart water metering As global demand for water increases and shows no sign of abatement, the metering of domestic water usage, and the application of smart or intelligent meter technologies, is increasingly viewed as being central to reducing the demand for water and facilitating more effective management. Smart meters are argued to encourage more equitable allocation, through application of the user-pays principle. This results in the water user paying for what they actually consume, while seeking to associate usage and cost in order to provide a fairer and more sustainable management solution (Westerlund, 1996; Boyle et al., 2013). From a broad perspective, numerous studies have identified the positive impact the metering of domestic water users can have on reducing water usage (Grigg, 2011; Memon &amp; Butler, 2006). It is argued that a reduction in usage occurs because metered users become more aware of the economic consequences of their water usage behaviour, with them subsequently reducing their usage to minimise the associated economic costs (Bakker, 2001; Chambouleyron, 2004). Smart meters subsequently offer consumers the opportunity to not only monitor their water usage more easily and remotely, via a computer or smart phone, through improved bills, and in-home displays, but also more frequently through real-time [or near real-time] instant access (Darby, 2010; Lima &amp; Navas, 2012). This affords the user the opportunity to become more informed about their water consumption. By gaining information with regard to usage, consumers can become more informed about their water usage behavior. This is central to encouraging efficiency and more sustainable management of water resources. Approaches such as metering have the potential to empower the consumer through increased awareness of both consumption and the volumetric cost of water. The user-pays principle, which is intrinsic to metering, can also encourage individuals to have a greater sense of responsibility for their practices due to it emphasizing the consequences of their actions (Darby, 2010). From the perspective of the water industry in the United Kingdom [UK], particularly in the context of England and Wales, plans to fully embrace water metering technology are currently at a crossroad. For example, although some companies plan to embrace smart meters for all of their consumers [e.g. Thames Water], many are focusing on more traditional or dumb forms of metering [e.g. Affinity Water] due to an inability to demonstrate a positive cost benefit case to the water regulator. However, even when smart metering technology is embraced, there are many issues that need to be considered if the technology is to facilitate a change in behaviour. For instance; how often does data on usage need to be </p></li><li><p>Review of Current Knowledge </p><p> 4</p><p>collected to affect a change in behaviour; how will the collected data be communicated to the consumer; and how will the consumer interact with their data to inform and subsequently adjust their behaviour. Although smart meters have the potential to empower water users to make more informed choices with regard to their usage, and greater environmental stewardship, many consumers are not aware of the scientific foundation behind metering. This lack of awareness and knowledge is also limited in the context of user behaviour, which if better understood could have a profound impact on the effectiveness of such technologies. As a result of the aforementioned issues, this review aims to create a more coherent and integrated understanding of how water metering, through smart meters in particular, can affect domestic demand for water. It also considers the influence of additional factors that serve to shape the effectiveness of metering technologies. It is important to note that the contextual and governance focus of this review, whilst centred on the UK, does draw upon research and information that is more global in scope. The following review is separated into five main sections. The first section provides an overview and definition of smart metering, as well as considering the benefits and challenges of smart meters. The second section focuses on the applications of smart water metering, subsequently highlighting the governance backdrop. The third section outlines smart meter installation, design, and interaction, as well as drawing attention to the influence of human behaviour and socio-demographic variables on water efficiency through smart metering. The fourth section details how smart meters can change water management and usage, with it also outlining the role played by water-saving household appliances. The concluding section seeks to remind the reader of the key findings of the review, in addition to detailing a rationale for why smart meters are necessary and how they can play a key role in encouraging and facilitating greater water efficiency in the UK. 2 Smart metering: definition, benefits, and challenges The water industry and national governments have sought to apply demand management approaches in response to a range of variables, including; supply-side management limitations; the need for more integrated resource planning; as well as compliance with the principles of conservation and sustainability (Gleick, 2000; Dziegielewski, 2003). As a result, metering has emerged as a key component of </p></li><li><p>Review of Current Knowledge </p><p> 5</p><p>demand management, with traditional meters being embraced due to a range of benefits over flat-rate tariff pricing (Staddon, 2007). In essence, metering has been driven by a preference to recover costs directly from the consumer, and in doing so apply the user-pays principle which seek to allow the consumer to pay for the actual amount of water used (Staddon, 2010; Ofwat, 2011; Boyle et al., 2013). Despite these benefits, traditional forms of metering have given rise to a number of problems. Firstly, the meters themselves can be difficult to access, which can restrict users from being able to determine their water consumption. Secondly, data from the meter is frequently provided long after the usage itself, thereby preventing informed and responsive changes in behaviour. Lastly, traditional meters also generate recurrent financial costs for water providers, as a meter-reading service must be undertaken in order to gain data on usage (Beal et al., 2014). In response to the limitations of traditional [dumb] meters, smart metering [also defined as intelligent metering within this review] has emerged as a vital tool in the evolution and application of demand management approaches. The development of smart metering technology has mainly occurred in the energy sector, in which smart gas/electricity meters have been more widely applied (Owen &amp; Ward, 2007). However, as the potential benefits of this technology have been recognised, water providers have also sought to implement this type of metering incrementally in an attempt to increase water efficiency, improve services, and stimulate changes in consumption/user behaviour (Sarni &amp; Pechet, 2013). The following sub-sections focus on defining smart metering, outlining the characteristics that differentiate smart meters from traditional dumb types, as well as considering the benefits and challenges associated with smart metering technology. 2.1 Smart metering defined Smart or intelligent water metering is subject to differing definitions, especially when communicated to consumers (Boyle et al., 2013). At present, the water industry does not appear to demonstrate agreement as to what constitutes smart metering, although some recent attempts have been made to define smart meter functionalities and the range of features supplementary to providing a single accumulated total. Notably, the European Standard EN14154 [Part 4 Additional Functionalities for Water Meters] highlights a range of features that smart meters should include, such as; improved communication with the consumer; alarm facilities for leakage or tampering/manipulation; as well as the ability for multiple readings at set intervals. As a consequence of the variable interpretations of what a </p></li><li><p>Review of Current Knowledge </p><p> 6</p><p>smart meter is, this section seeks to clarify what smart meters can be defined as encompassing. In the context of this review, it is possible to form a definition by identifying how smart meters differ from traditional types (see Figure 1). This can be highlighted through four important characteristics, namely those that; recognise and identify consumption in greater detail; communicate via networks and allow data to be used by consumers as well as utility providers for monitoring and billing purposes; measure and store data at specific pre-determined time intervals; and enable communication between the supplier and consumer (Climate Group, 2008; Boyle et al., 2013; Beal et al., 2014). These four characteristics are outlined in more detail below. Firstly, when smart and traditional meters are compared it is apparent that data recorded in relation to water use is generated in a different way. Smart meters allow a greater and more precise resolution in relation to time, with it being possible to gain multiple measurements by using series of linked sub-meters. Secondly, although less common in a household/domestic setting, smart meters have the ability to record extra information, such as data relating to the quality and temperature of water, which can provide a clearer picture of water status and give the user a more in-depth understanding of the resource they are using (Beal et al., 2014). Thirdly, in contrast to traditional meters, automated reading and communication of data is made possible by smart metering, with this being achieved via automated drive-by readings or data transfer using networks (Hunn, 2010; Hill, 2011). Finally, smart meters also enable greater access and interaction with collected data. In this case, data access is important for customers, who may use an internet portal, in-home display, or application, as well as utility providers who can make use of real-time data to monitor the supply network and respond to issues such as leakages (Idris, 2006). </p><p> Accumulation based measurement of consumption </p><p> Meters are read manually - often by staff of the utility provider, and over a longer time period </p><p> A single consumption value is given to the consumer based on a meter reading </p><p>TRADITIONAL METERING </p><p>Figure 1: A comparison of metering technology (Boyle et al., 2013; Beal et al., 2014) </p><p> Accumulation, pulse or time interval based measurement of consumption </p><p> Data logger and transponder </p><p> Remote meter reading </p><p> Multiple consumption values based on different time variables </p><p> Consumption data available through network connection </p><p>SMART METERING </p></li><li><p>Review of Current Knowledge </p><p> 7</p><p>According to Britton et al (2013), although there is no single definition with regard to how a given metering system is considered to be smart or intelligent, three key characteristics are determinable. Firstly, it is argued that smart meters store and communicate measurements at specified time intervals (van Gerwen et al., 2006; Darby, 2010). Secondly, they have the potential to collect a registry of data relating to end use water consumption, with this data helping in terms of household leakage detection (Stewart et al., 2010; Willis et al., 2011). Thirdly, the implementation of smart metering and communication technology enables the rapid transfer of high resolution water consumption data. This data can then be analysed by the utility provider in order to highlight unusual patterns of usage (Ferreira et al., 2007). The importance of generating, storing, and transferring this type of customer data should not be overlooked, as it can assist in identifying households, or areas, with excessive consumption that may indicate inefficient usage or leakage (Beal &amp; Stewart, 2014). This means that management approaches, such as leakage investigation and response or water-saving awareness/educational schemes, can be directed appropriately (Stewart et al....</p></li></ul>

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