Nuku alofa Water Supply System Smart Water Meter Project

Transcription

1 Increasing Financial Efficiencies & Reduction of NRW through the introduction of Smart Technologies In Partnership with ITRON - by Quddus Fielea (TONGA WATER BOARD) & Russell Considine (ITRON AUSTRALIA) Tonga Water Board Kingdom of TONGA ITRON AUSTRALIA 9 th August 2018 Nuku alofa Water Supply System Smart Water Meter Project

2 Contents Nuku alofa Smart Water Meter Project A. Background and Information B. Business Case C. Acceptance Test D. First Article Test E. Deployment Plan 2

3 Malo Aupito Thank You Tonga Water Board: Government own Statutory body Operates under the TWB act 2002 Government reform program under one utility Board since 2015 (Common Utility Board - Tonga Power Limited, Tonga Water Board, Tonga Waste Authority) Self funded CUB commenced 2015 Nuku alofa Water System Population 33,734 No. of Customer Length of main 124 km Diameter of main 40 to 500mm Water production 3486 Ml NRW (%) 40% to 60% Zones 2 (without meter) Metering 100% (Positive Displacement Meter (Mechanical) Quality of Water (Very high particulates in water (Hardness) Well field 37 to 52 production bores and well Elevation 26 TWL amsl 3

4 TWB Requirements - Smart Meter Business Case Introduction TWB has 7510 residential meters TWB has 1040 business customers TWB network is suffering relative high losses 1.1 TWB needs to purchase additional water meter and wants to consider smart water metering solution. 1.2 Solution that leverages of the smart electricity metering solution being implemented by Tonga Power - TPL has installed an ITRON RF mesh network that covers Tongatapu. -TWB want to consider other options (current Kent meter system) - To ensure the most cost effective solutions Scope Determine TWB s existing business requirements and foreseeable future Describe the solution that would enable TWB to meet those requirements Determine deployment plan in association with TWB Estimate the cost of utilizing the Tonga Power /Itron and other options AD Riley Kent water meters and new LoRa radio network etc Investigate price alternative option using TPL RF Mesh and Itron ultrasonic meters Identify and quantify the likely benefit streams associated with each of the solutions and options Present a business case comparing the solution options and recommendation to TWB 4

5 TWB Requirements Strategies and approach: TWB requirements are to: Reduce the Real and Apparent losses Increase the TWB revenue stream and reduce of O&M costs Improve commercial viability of TWB s business Introduction and constructing of 13 zones within the Nuku alofa distribution network under the NUDSP projects systems Pilot Acceptance Test (Smart Water Meters) using 30 Smart Water Meters that will roll out to a rapid replacement program for all Mechanical Water Meters with Smart Water meters (8000 No.); Developed and revised the current TWB Asset Management plan Customer Information and Awareness Programs 5

6 Network losses Water Balance (Nuku alofa water consumption grouping) Summary: 55% losses may seems very high this level of losses 40% of TWB s water meters are more than 20 years old and the accuracy of volumetric meters decrease with age. It is estimated that meters can under-record by 3% to 5% TWB also estimate that about 40% of the installed meters are faulty due to particulate becoming lodged within the meters. 6

7 Zonation of the Nuku alofa Distribution(Demand Management Area) Breakdown of Nuku alofa Water system (13 DMA s) The NUDSP will assist TWB in creating 13 new Zones, which will have provided the following benefits: Allow improved monitoring of water demand/consumption and supply residual pressure gradients across the network; Allow identification of high water use areas and assist the understanding of potential water-use patterns or possible leakage; Allow improved monitoring of daily water use across the network allowing a better understanding of customer water use patterns Assist the calibration of a distribution network model; Assist with the identification of deficiencies in the piped network i.e. cross connections, inadequate pipe diameters, poor pipe condition, blockages; Improve the management response to varying consumer water demands across the network including emergency disaster services. 7

8 Water metering options Two options were considered: Option 1: Use Tonga Power Itron RF Mesh and Agility Meter Data Management system and replacing existing Kent water meters. Four options for water metering: 1. Continue with Kent Positive Displacement Meter 2. Use Kent Positive Displacement Meter with a smart-read clip on 3. Use ITRON ultrasonic water meters 4. Use smart Itron ultrasonic water meters Option 1.Tonga Power and Itron Water Meters Option 1 Summary Itron Ultrasonic meters and replace existing Kent volumetric meters Tonga Power Itron Radio mesh Tonga Power Agility Meter Data Management System TPL IT & Back Office service to TWB on a marginal cost basis at TOP60,000 pa Project over 2 years 8,550 meters Option 2: to retain existing Kent water meters and build a new LoRa radio network and contract a smart water meter reading service from AD Riley. AD Riley and Kent Water Meters Option 2 Summary Retain existing Kent volumetric meters Install a LoRa radio network Install Elster clip-on pulse counters on to meters AD Riley SAAS meter reading headend Project over 1.5 years Replace Kent meters that are not working or are thought to be running slow 8 8,550 meters total

9 Metrology options (To think forward and prepare for the future, sometimes we need to change perspectives and say goodbye) Mechanical vs Ultrasonic Meter: Two options were considered: Ultrasonic meters : The ultrasonic meter has no moving parts, contrary to its mechanical pendant. This means that it is unaffected by wear and tear and maintains pinpoint precision throughout its entire lifetime. Besides from enabling correct billing, this also enhances data quality. (Works on sound and requires battery to generate) 15 years Measuring Instruments Directive 2004/22/EC Specifications according to OIML R49, EN14154 or ISO4064 Kent Meter size 15mm) Mechanical meters : Positive displacement meter may stop when a particle bigger than the space between the disc/piston and the chambers passes through the strainer. Although meters are design in such a manner to avoid this. Experience shows that it happens Metrology (Kent vs Intelis Itron) Approved Standard MID, Directive 2004/22/EC» European Standard EN14154:2007,» International Standard ISO 4064:2005,» OIML R ,» R&TTE (1995/5/EC)» ACS certifi cation (compliance for potable drinking water) Intelis Itron 15mm Overload flow rate (Q4±2%) Q4±2% m3/h Q Permanent flow rate (Q3±2%) Q3±2% m3/h 2.5 Q Transitional flow rate (Q2±2%) Q2±2% l/h 25 Q2 Minimum flow rate (Q1±5%) Q1±5% l/h Q1 6.4 Starting Flow (approximate) l/h Maximum registration Output pulse (litre/pulse) (m3) (m3) Depends on requirement (impact on battery life) 15mm 20mm 9

10 ITRON Ultrasonic Meter Functionality ITRON Ultrasonic Meter: Ultrasonic meters : The ultrasonic meter has no moving parts, contrary to its mechanical pendant. This means that it is unaffected by wear and tear and maintains pinpoint precision throughout its entire lifetime. Besides from enabling correct billing, this also enhances data quality. (Works on sound and requires battery to generate) 15 years 10

11 Risks Tonga Power-Itron Option 1 Low Risk because: 1. Radio Mesh already established (Tonga Power) 2. Meter data Management System already established (Tonga Power) 3. Meters are at a contracted price 4. Installation under the control of TWB 5. Ongoing operations at a contracted price with sister company - Tonga Power 6. Itron have agreed to provide a free trial of 30 water meters installed in Tongatapu and connected to the Tonga Power RF Mesh network and data back to the Tonga Power back office. Unless this trial is successful and meets TWB s expectations, TWB will not proceed with the project. This Trial will significantly reduce the risk of the integration of the water meters reading with the electricity meters reading. An added bonus of the trial will be the opportunity to test of 20 remote controlled water restrictors (cut off valves) at no cost to TWB. Possible Risks: 1. 95% water meter connectivity not achieved 2. Delays in delivery of meters AD Riley Option 2 High Risk because: 1. LoRa yet to be established in Tongatapu 2. Uncertainty over how proven LoRa is with AD Riley 3. Uncertainty over 433, 868MHz spectrum availability 4. No Meter data Management System 5. New service relationship with AD Riley 6. 95% water meter connectivity not achieved 7. Delays in delivery of meters The biggest risk to both options is not realising the benefit streams but based upon international experience TWB should make substantial reductions in the Non-Revenue Losses through the use of the smart water metering data.

12 Capital Cost Capital Cost Summary

13 Why we chose Itron? Itron are the largest Water meter manufacturer in the world. Existing Itron network with TPL roll-out. Itron has over 200 million end points connected today and is deployed around the world therefore it is proven technology. Data capability, high frequency and long range and is Openway platform, allowing for future needs. Cost effective. Continuous ongoing support and maintenance of network. Itron are committed to collaborating and working with Tonga to ensure the outcomes are met.

14 Financial Evaluation and Benefits TOP$ 1m in benefits per annum Cost of water supply Total expenses of TWB are TOP$ 5.38m setting aside outer island expenses, the cost of water was calculated at 1.54/m³ Cost related specially to engineering, production and distribution services was calculated at TOP$ 0.93/m³ Price of Water Price of water was at TOP$1.88/m³ plus a 44% fuel tariff that relates to the cost of pumping. Thus the water tariff is at TOP$2.71/m³ Benefits Value (TOP pa) Note Reduction in Network Losses Reduced Apparent Losses Reduced Real Losses Field Related Savings 486, % of total water supply 582,000m³ 71, % of total water supply 324,000m³ 557,345 Meter reading savings 60,987 Special Reads 1,171 Reduced Customer fault visits 468 Saving accrue through the use of communication module in the smart meter 62,626 Reduced Admin, Data processing and Finance staff costs 356,539 Back Office and Data processing Saving Total 976,510

15 Business Case (Conclusion) 1. Use Tonga Power Itron RF Mesh and Agility Meter Data Management system and replacing existing Kent water meters. TPL radio mesh network, back office IT system etc 2. The most economic and low risk option is to utilise the Tonga Power radio mesh network and back office IT systems used for electricity meters and to install Itron ultrasonic smart meters. 3. These works had been made easy with the Government of Tonga utilities board reform program combining Tonga Power Limited, Tonga Water Board and Waste Authority under one common utilities board. Smart Water Meter Acceptance Test Itron has offered a free of 30 meters trial to prove the smart water meters solution significantly reduces the risks to TWB as unless the trial is successful, TWB will not proceed with the project. Benefits of approximately TOP1m pa anga can be realised essentially from the reduction in Non-Revenue losses and well as the avoided cost of meter reading. The only real risk to the venture is not realising the benefits evaluated. The financial returns are considered good. For a capital investment of TOP2.6m and an annual operations cost of TOP438,000, TWB can potentially realise TOP1m in benefits pa. The NPV of the venture post tax is assessed at TOP2.4m and the IRR is 22.7%. It is noted that some 3,500 of the existing legacy water meters are running slow or are otherwise faulty and would need to be replaced in the near future at a current cost of approximately TOP430,000 and for an incremental cost of TOP110,000 gets 40% of its water meters with greater accuracy and with remote (smart) reading capability. From the work completed it is clear that the financial benefits are sufficiently large to enable TWB to transform the existing network to that of a modern smart network and at the same time improve the commercial performance of the business for the benefit of both TWB and its customers. Itron have offered a free trial of smart ultrasonic water meters connected to the Tonga Power radio mesh network in Nukualofa and the project will not proceed unless TWB is completely satisfied with the results of the trial.

16 Business Case (Conclusion) From the work completed it is clear that the: Financial benefits are sufficiently large to enable TWB to transform the existing network to that of a modern smart network and at the same time improve the commercial performance of the business for the benefit of both TWB and its customers. Itron have offered a free trial of smart ultrasonic water meters connected to the Tonga Power radio mesh network in Nukualofa and the project will not proceed unless TWB is completely satisfied with the results of the trial.

17 How it works (Itron) 17

18 Acceptance Test Area 18

19 Acceptance Test (30 meters) Meter Registration in OpenWay Read rate 1 /day Openway Riva Meter Registration FDM 19

20 First Article Test (10 meters) Consumption data since installation 17/07/2018 Meter location (water meter & CGR) Water meter reading through Electric Meter Radio mesh EM,WM to CGR 20

21 Deployment Plan Completed by end of Year 2018: 4 Team of 2 person (20 meters per day minimum) First batch of meters to arrive 1000 end of August and balance by Mid September Lockable valves provided under ADB under NUDSP for disconnection purposes 21

22 Conclusion Key Points: Tonga Water Board understood the challenges with the water losses and wanted serious action to be taken Tonga Water Board are collaborating with TPL and will share the network (Itron are also rolling out smart electricity meter for TPL) Tonga Water has done the due diligence in comparing what's available in the market and best suits its requirements Itron has a proven technology and products and has complied with the TWB requirements (Final Acceptance Testing & First Article Test) The Itron meter has exceeded expectations in terms of functionality, data capacity and cost which was attractive to TWB. By end of 2018, TWB will have deployed all meters and network will be running. TWB look to reduce NRW as well as increase revenue stream which has been calculated in the business case. Tonga Water Board are Pioneers in rolling out a full scale fixed network with smart metering. TWB along with Itron look to open doors of opportunity for other Islands in the Pacific region. 22