Benefits of demand management
What are the benefits?
Investing in improved water efficiency is quite possibly the most promising area for councils to realise real monetary savings for their ratepayers.
- There’s a 40% potential reduction in mains water supply by using a secondary onsite water supply.
- Nelson City Council saved 37% on water costs by introducing metering.
- Metrowater suggests that wastewater charging was the single change that most influenced a downwards trend in water demand.
Who will it benefit?
Demand management has value for a wide range of stakeholders involved in water management, including:
- Manufacturers seeking to be part of the growing sustainable products market
- Developers who have to address stormwater management requirements set by council, take account of water related site limitations or include sustainability as part of the added value of their development
- Councils / water supply authorities who need to meet obligations under the RMA for resource use efficiency, and the LGA to consider the four wellbeings, plus provide the required level of service delivery to ratepayers. The need for a new water supply is the key driver for councils to consider demand management.
- Consumers who will benefit from lower water charges and energy costs associated with water services plus gain resilience during times of water shortage and potential site flooding
- National policy agencies involved in the protection and management of New Zealand’s water
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31-Mar-2010 (Report WA7090/7)
Water Demand Management: An economic framework to value with case study application (PDF 700KB)
Nicola Smith, Garry McDonald, Dorothy Wilson
This report synthesises three reports produced as a result of the development of a framework to value water demand management and its application to Tauranga City Council. It describes a brief literature review (WA7090/4), and the development and of a framework (WA7090/5). This was applied to a case study (WA7090/6) to demonstrate the potential value of water agencies adopting and implementing water efficiency measures. The case study result shows that in implementing a water demand management approach, Tauranga City Council has delayed the implementation of the next major water supply infrastructure identified for the city's water supply, by approximately 10 years with a net benefit to the community of $53.3 million in 2009 terms.
Rainwater tank for watering the vegetable garden