A new report states that the hardware segment has thus far dominated the global smart water management market in 2016.The segment comprising of advanced meter reading and automated metering infrastructure (AMI) water meters and water sensors has accounted for over 37% of the market’s overall revenue since January.
Smart water meter adoption
Revenue generation in the segment has been boosted by utilities efforts to enhance their management of distribution networks through two-way communication with their customers.
The meters allow utilities to implement water conservation measures to help consumers lower usage costs.
Global market intelligence firm ReportsnReports predicts that the growing use of AMI technologies to optimise revenue collection will continue to drive the market growth through to 2020.
Smart water management and growing demand of water
With the global water demand expected to grow by 35%, the growing demand of potable water and utilities efforts to address inadequate supply of water will play a significant role towards the growth of the market.
Rising operational costs, aging water infrastructure and increased implementation of policies supporting enhanced water management will also drive the market.
[quote] For instance, water utilities in European countries like Germany and the UK will increase their adoption of the technologies to reduce costs. [EIB ups financial backing for smart water projects].
In Germany, water treatment facilities alone accounted more than 20% of the energy consumption in 2014.
However, the Americas region is expected to dominate the market through to 2020. In 2015, the region accounted for 47% of the smart water management market share.
The region’s domination is mainly due to factors such as strict government stipulations for enhanced water management, the evolution of smart cities and the need to upgrade aging water infrastructure. [Analysis: California smart water meter landscape].
Smart water funding
The issue of the report follows mid-May's announcement by the US government that it will allocate $37.5 billion to fund energy and water programmes in 2017.
The funding will be channelled to accelerate the growth of the two sectors through the department of energy, the US Army Corps of Engineers and the Bereau of Reclamation as from the last quarter of 2016.
The capital is expected to increase the country’s energy and water security as well as improve flood control projects.