Fact Sheet WATER EFFICIENCY Potable Water Demand Management Short-Term and Long-Term Water Use Efficiency Quick Facts • Short-term demand management enables a response to temporary shortages and supply fluctuations • Planning for and responding to drought should be part of a utility’s management plan • Demand Management plans and programs can lead to long-term reductions in water use Overview Managing potable water supply and demand is central Droughts Droughts can affect water quality, operation and treat- to water utility management. It consists of any strate- ment costs, fire suppression capabilities, energy expenses, gies adopted to reduce potable water consumption by and interruptions in power. Planning for and responding consumers after water is processed and treated. Utility to drought should be part of a utility’s management plan. demand management activities are based on short- and Preparation activities might include prioritizing custom- long-term needs, and should include both active and pas- ers (like hospitals), establishing water supply trigger sive conservation. levels, and supplementing supply with reclaimed water. Response activities can include identifying alternate water Short-Term Demand Management This focuses on enabling the utility to respond to tem- supplies and documenting impacts. Drought management resources include: porary shortages or fluctuations in supply, especially those associated with droughts or other short-term emergencies. • American Water Works Association (AWWA) manual, M60 Drought Preparedness and Response (AWWA 2011) waterrf.org • AWWA “Drought Resource Community” website (AWWA 2016) • AWWA Report, 2014 Water Shortage Preparedness Survey (AWWA 2014) • California Department of Water Resources Urban Drought Guidebook (CA DWR 2008) and California Drought Contingency Plan (CA DWR 2010) • Colorado Water Conservation Board "Drought Planning Toolbox" (CWCB 2016) • U.S. Environmental Protection Agency (EPA) Incident Action Checklist — Drought (EPA 2015) and Drought Response and Recovery: A Basic Guide for Water Utilities (EPA 2016a) • National Integrated Drought Information System Website including the U.S. Drought Monitor (NIDIS 2016) • Water Research Foundation (WRF) partnership report, Managing Drought: Learning from Australia (Turner et al. 2016) • Over recent decades, stress from drought, depleted water sources, population growth, and the infeasibility of developing new sources has elevated the importance of demand management. WRF report, Drought Management in a Changing Climate: Using Cost-Benefit Analysis to Assist Drinking Water Utilities (Blue et al. 2015) State and Federally Required Emergency Planning The EPA recommends that a drought management plan be included as part of an Emergency Response Plan (ERP), which is required of community water systems serving populations greater than 3,300 (EPA 2003). Plans outline actions responding to threats such as major natural disasters or catastrophic incidents. Some states require utility drought preparedness plans, which should be considered even if not required. Where droughts are uncommon, utilities may be more vulnerable due to lack of experience and planning. Conservation Plans Many states now require or recommend water systems to prepare conservation plans even though it is not a federal requirement (Rashid et al. 2010). Political, social, economic, and environmental factors will impact which conservation programs make the most sense. Implementing a variety of programs is recommended to reach different customers. Water Use Efficiency (WUE) Programs Long-term WUE programs should be integrated with other resource planning. Figure 1 shows a model that seeks to quantify the benefits of conservation by placing a value on each unit of water saved by estimating future avoided costs, which can be compared with no-action alternatives (Chesnutt et al. 2012). WUE strategies include metering, progressive rate setting, water loss control programs, conservation ordinances, and efficiency rebate and replacement programs. Metering Metering the actual water use of each individual customer can provide critical data to a utility. Utilities can employ metered use data to set rates, compare projected versus actual use, view peak and seasonal water use, and esti- Long-Term Demand Management: Conservation This includes all the activities a utility takes that will lead to a long-term reduction in water use. Potentially, the need for facility expansion or new water source acquisition can be reduced or eliminated. WRF’s report, A Balanced Approach to Water Conservation, cites factors that cause utilities to implement conservation measures, such as anticipated water shortages or social responsibility (Chesnutt et al. 2012). mate water losses. Conservation plans should include goals for retrofitting old metering equipment and ensuring all new connections are metered and read frequently (at least monthly). Customer Conservation Customer conservation strategies may be hardware-based or behavior-based, and can be encouraged through educational, financial or regulatory incentives (Vickers 2001). Rates can provide an incentive for customers to conserve, and utilities can offer financial incentives for customers to switch to water-efficient appliances. 2 | Water Efficiency • Potable Water Demand Management Conservation management resources include: available to help utilities with drought and conservation management programs and planning. • Alliance for Water Efficiency resource library and water conservation tracking tool (AWE 2016) References • AWWA Standard, G480-13 Water Conservation Program Operation and Management (AWWA 2013) • EPA WaterSense® program (EPA 2016b) • WRF “Conservation Planning Models” (Chesnutt et al. 2012b) • AWE (Alliance for Water Efficiency). 2016. AWE Website. Accessed June 3, 2016. http://www. allianceforwaterefficiency.org/. AWWA. (American Water Works Association). 2011. M60 WRF reports, Water Conservation: Customer Drought Preparedness and Response. Denver, Colo.: Behavior and Effective Communications (Silva American Water Works Association. http://www.awwa. et al. 2010) and A Balanced Approach to Water Conservation in Utility Planning (Chesnutt et al. 2012a) org/store/productdetail.aspx?productid=26750. ———. 2013. G480-13 Water Conservation Program Operation Management. Denver, Colo.: American Water Works Association. http://www.awwa.org/store/ Conclusion productdetail.aspx?productid=35009354. ———. 2014. 2014 Water Shortage Preparedness Survey Short-term and long-term demand management planning Results. Denver, Colo.: American Water Works is essential for responding to timely or emergency events, Association. Accessed June 3, 2016. http://www.awwa. and strategizing for conservation and the future. The Safe org/portals/0/files/resources/water knowledge/rc Drinking Water Act requires community water systems drought/2014-awwa-water-shortage-preparedness- serving populations greater than 3,000 to prepare or revise an Emergency Response Plan. Many states now survey-results.pdf. ———. 2016. “Drought: Resource Community.” Accessed require or recommend water systems to prepare conser- June 3, 2016. http://www.awwa.org/resourcestools/ vation plans (Rashid et al. 2010). A host of resources is water-knowledge/drought.aspx. Assess WUE Costs Identify no-WUE Alternative Utility Costs Participant Costs Alternative #1: No Changes in Supply/Infrastructure Investment Assess no-WUE Costs Increased Customer Shortage Costs Variable Operating Costs to Serve Customer Demand Risks and Uncertainties Impacts on Non-Participating Ratepayers Compare Costs of WUE and Assumed no-WUE Alternative Increased Capital Costs Social Impacts Environmental Impacts Risks and Uncertainties Alternative #2: Enlarge or Accelerate Supply/Infrastructure Investment Variable Operating Costs to Serve Customer Demand Environmental Costs Risks and Uncertainties Source: Chesnutt et al. 2012a Figure 1. Conceptual framework for long-term water use efficiency investments Water Efficiency • Potable Water Demand Management | 3 Blue, J., R. Krop, N. Hiremath, C. Gilette, and J. Rooke. Rashid, M., W. O. Maddaus, and M. L. Maddaus. 2010. 2015. Drought Management in a Changing Climate: “Progress in U.S. water conservation planning and Using Cost-Benefit Analyses to Assist Drinking Water Utilities. Project #4546. Denver, Colo.: Water Research Foundation. implementation: 1990–2009.” Jour. AWWA, 102(6): 85–99. Silva, T., D. Pape, R. Szoc, P. Mayer. 2010. Water CA DWR (California Department of Water Resources). 2008. Urban Drought Guidebook. Sacramento, Calif.: Department of Water Resources. Accessed June 3, 2016. http://www.water.ca.gov/pubs/planning/ Conservation: Customer Behavior and Effective Communications. Project #4012. Denver, Colo.: Water Research Foundation. Turner, A., S. White, J. Chong, M. A. Dickinson, H. Cooley, K. urban_drought_guidebook/urban_drought_ and Donnelly. 2016. Managing Drought: Learning from guidebook_2008.pdf. Australia. Project #4640. Prepared by the Alliance ———. 2010. California Drought Contingency Plan. Sacramento, Calif.: Department of Water Resources. for Water Efficiency, the Institute for Sustainable Futures, University of Technology Sydney, the Pacific Accessed June 3, 2016. http://drought.unl.edu/archive/ Institute for the Metropolitan Water District of Plans/Drought/State/CA_2010.pdf. Southern California, the San Francisco Public Utilities Chesnutt, T., D. Pekelney, D. Holt, G. Fiske, J. A. Beecher, D. Mitchell, and E. Rothstein. 2012a. A Balanced Approach to Water Conservation in Utility Planning. Project #4175. Denver, Colo.: Water Research Commission, and the Water Research Foundation. Oakland, Calif.: Pacific Institute. Vickers, A. 2001. Handbook of Water Use and Conservation. Amherst, Mass.: WaterPlow Press. Foundation. ———. 2012b. “Conservation Planning Models.” Project #4175. Denver, Colo.: Water Research Foundation. CWCB (Colorado Water Conservation Board). 2016. “Drought Planning Toolbox.” Accessed June 3, 2016. http://cwcb.state.co.us/technical-resources/droughtplanning-toolbox/Pages/main.aspx. EPA (U.S. Environmental Protection Agency). 2003. EPA Enforcement Response Guidance: Section 1433 of the Safe Drinking Water Act. Washington, D.C.: EPA Office of Enforcement and Compliance Assurance. https:// www.epa.gov/sites/production/files/documents/ enfresponseguide-section1433sdwa050803.pdf. ———. 2015. Incident Action Checklist — Drought. EPA 817-F-15-001. Accessed June 3, 2016. https://www. epa.gov/sites/production/files/2015-06/documents/ drought_0.pdf. ———. 2016a. Drought Response and Recovery: A Basic Guide for Water Utilities. EPA 810-B-16-001. Washington, D.C.: EPA Office of Water. Accessed June 3, 2016. https://www.epa.gov/sites/production/ files/2016-03/documents/epa_drought_response_and_ recovery_guide.pdf. ———. 2016b. “WaterSense®.” Accessed June 3, 2016. https://www3.epa.gov/watersense. NIDIS (National Integrated Drought Information System). 2016. “U.S. Drought Portal.” Accessed June 3, 2016. https://www.drought.gov/drought/. 4 | Water Efficiency • Potable Water Demand Management Last updated April 2017
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