Bengaluru water board to introduce AI-enabled smart water meters to curb revenue loss

In October, Cauvery Stage V project was launched, to bring piped water to Bengaluru's peripheral areas after a decade-long wait.

Bangalore Water Supply and Sewerage Board (BWSSB) is planning to introduce AI (Artificial Intelligence)-enabled smart water meters in a bid to reduce unaccounted-for water (UFW) levels and minimise revenue losses.

UFW refers to the difference between the total water supplied and the water billed to customers. The financial loss from UFW is a major challenge for utilities worldwide.

BWSSB officials said they are planning to implement these meters only for commercial users in the pilot stage.

"Around 41 percent of the Cauvery water supplied to the city is being consumed by around 10 percent of commercial connections. We are now planning to install AI-enabled smart meters for these users, as plugging revenue leakage will help the board to save more," BWSSB Chairman V Ram Prasath Manohar told Moneycontrol.

The first phase

In the first phase of the project, BWSSB plans to install and monitor 2,000 smart water meters for bulk consumers under a Public-Private Partnership (PPP) model.

“If successful, the project will be expanded to cover around 98,000 meters across the city, within the existing District Metering Areas (DMAs). This step is part of a broader strategy to modernise metering infrastructure and reduce operational inefficiencies," said a BWSSB official.

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Currently, BWSSB serves around 10.9 lakh consumers with 100 percent metering at the consumer end. Over the years, the board has transitioned from using single-jet water meters to multi-jet Class-B meters. However, BWSSB officials have pointed out that these mechanical meters have certain limitations that affect their accuracy, especially where there is intermittent water supply.

“When water flow is below the minimum threshold, these meters fail to record accurate data, leading to commercial losses,” said an official. "Mechanical meters often lack the precision required for accurate billing, particularly in low-flow conditions. This contributes to substantial revenue loss. Studies show that inaccuracies in mechanical meters contribute to 3-5 percent of water losses globally," explained a BWSSB official.

These meters also have the ability to provide real-time data on water consumption and can detect anomalies like leakages or abnormal usage patterns, which can help in resolving disputes efficiently. They can also transmit data both ways, allowing for continuous monitoring and data analysis.

High UFW levels

BWSSB now supplies 1,450 million litres per day (MLD) to its consumers, but its UFW levels remain high at 30.7 percent.

“While this figure has improved significantly from 48 percent in 2007, the UFW levels are still a major concern, particularly as Bengaluru continues to urbanise rapidly, leading to increased water demand and overreliance on the Cauvery river for supply. As demand for water grows, addressing UFW remains a top priority for the board,” said an official.

In October, the Cauvery Stage V project, to bring piped water to Bengaluru's peripheral areas, was launched, after a decade-long wait. The project will supply an additional 775 MLD and provide 4 lakh new connections to 110 villages that had relied on tankers, borewells, or local sources. In August 2024, deputy CM and Bengaluru development minister DK Shivakumar said that a water tariff hike is inevitable, as rates have not been revised since 2014.

Also, read: Karnataka launches Cauvery Stage-V project to resolve water woes of Bengaluru's peripheral areas, tech hubs

Digital ultrasonic meters under consideration

"Many global water utilities have adopted smart meters. However, high initial costs may make them unaffordable for some households. But this transition is necessary to safeguard the city’s water resources and to ensure sustainable management of water supply in the long run," said an official.

Despite challenges with mechanical meters like Automated Meter Reading (AMR) and Advanced Metering Infrastructure (AMI), BWSSB is now considering digital ultrasonic or electromagnetic flow meters. "These meters are accurate at low flow rates and can be integrated into a centralised SCADA (Supervisory Control and Data Acquisition) system for real-time monitoring," he said.

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AI smart meters to be piloted among bulk users first

BWSSB plans to roll out AI-enabled smart meters in phases, starting with around 2,000 bulk users in Phase 1. This will include high-rise buildings, partially non-domestic (PND) consumers, and large water users. If Phase 1 proves successful, Phase 2 will be expanded to cover around 98,000 meters citywide. These smart meters are expected to enhance water consumption data accuracy, reduce commercial losses, and improve overall water management in the city.

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BWSSB ropes in consultant

Sources said BWSSB has roped in Infrastructure Development Corporation Karnataka Limited (iDeCK), a consulting firm, at a cost of Rs 3.1 crore. iDeCK will provide transaction advisory services for selecting an agency for the installation, commissioning, and performance evaluation of smart water meters in Bengaluru under the Public-Private Partnership (PPP) model.

The consultant will assess available smart metering technologies, including Automated Meter Reading (AMR) and Advanced Metering Infrastructure (AMI), and provide recommendations based on performance, cost, and feasibility.

In Phase 1, iDeCK will oversee the installation of 2,000 smart meters, evaluate their performance, and offer insights on scaling the project to 98,000 meters. The consultant will also assist BWSSB in vendor selection, tender preparation, and exploring financial support options from government schemes, funding agencies, or banks.

iDeCK will also play a key role in structuring the PPP model, ensuring that risk allocation, cost recovery, and market conditions are appropriately addressed. The consultant will manage stakeholder engagement, including conducting workshops and communication campaigns to address public concerns about the project. To ensure smooth implementation, iDeCK will monitor Phase 1 progress, provide technical assistance, and help build the capacity of BWSSB staff to manage the new infrastructure.

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