Water Meter Market Primed For Growth Due To Increasing Investments In Water Infrastructure Modernization And Rising Adoption Of Smart Water Networks
The Water meter market is estimated to be valued at US$ 20,760.3 Mn in 2024 and is projected to grow at a CAGR of 5.5% over the forecast period (2024-2031). With growing investments in water infrastructure modernization projects around the world and rising adoption of smart water networks, the demand for water meters is projected to increase substantially. Furthermore, many countries are focusing on reducing non-revenue water and improving water resource management which will boost the market growth.
Market Dynamics:
The growth of the global water meter market is driven by factors such as the need for efficient water management and the increasing investments in water infrastructure modernization projects globally. Rapid urbanization has put immense pressure on water resources in many cities. This has led government bodies and municipal corporations to invest heavily in upgrading the aging water infrastructure with smart water grid technologies such as advanced water metering systems. Advanced water meters allow the real-time monitoring of water usage and detection of leaks which helps reduce non-revenue water. Similarly, the adoption of Automatic Meter Reading (AMR) and Automatic Meter Infrastructure (AMI) technologies enables utilities to optimize water usage and billing processes remotely. The rising focus on reducing water wastage and improving operational efficiency through digital transformation of water networks is expected to propel the demand for smart water meters during the forecast period.
Market Drivers
Increasing Need For Water Conservation And Monitoring Of Water Usage
With the growing global population and limited fresh water resources, there is an increasing need for the proper monitoring and conservation of water usage. Water meters allow the accurate tracking of water usage by households and industries which helps in identifying leakages and wastage. This drives the demand for advanced smart water meters that can remotely monitor usage patterns and notify authorities in case of abnormal usage. Smart water meters also enable the implementation of usage-based pricing which encourages conservation.
Stricter Regulations For Water Metering Across Many Countries
Governments across the world are introducing new regulations and policies to promote the sustainability of water resources. Many countries and local municipalities now mandate the installation of water meters for new buildings and also retrofitting existing buildings and houses with meters. This is aimed at transitioning to a metering system that allows for volumetric billing based on actual consumption. The implementation of such regulatory mandates is boosting the sales of water meters in both residential and commercial sectors.
Market Restraints
High Initial Investment Requirements
The installation and deployment of water metering infrastructure requires significant upfront capital investments. Advanced smart water meters have higher unit costs compared to conventional meters. Moreover, the supporting communication networks and meter reading systems also involve additional investment costs. The large capital expenditure poses affordability challenges, especially in developing countries and budget-constrained municipalities. This acts as a major restraint for the widespread adoption of smart water metering solutions.
Reliability And Accuracy Concerns
One of the key issues impacting the growth of the water meter market is the reliability and accuracy concerns with certain types of meters. Mechanical wear and tear over long term usage can affect the measurement accuracy of conventional meters. Similarly, the sensors and electronics in smart water meters are also susceptible to faults limiting their usable life. Periodic maintenance and early replacement needs add to the operational costs. Inaccurate billing due to meter faults can undermine confidence in metering systems.
Market Opportunities
Growing Investments In Smart Water Infrastructure
With the need to promote sustainable water usage, there is significant focus on modernizing aging water infrastructure using smart technologies. Many governments have announced projects to install millions of smart water meters in the coming years. This opens up substantial opportunities for water meter manufacturers. Sensor and communication technologies that enable features like remote monitoring and leak detection are gathering interest.
Extension Of Metering To Agricultural And Industrial Usage
While water metering is widely used for residential consumers, metering penetration is relatively lower for the agricultural and industrial sectors in many parts of the world. However, with scarce water resources, there is a growing realization of the benefits of monitoring these high-volume commercial consumers as well. This provides an avenue to extend water metering solutions to new application areas beyond the residential segment.
Link: https://www.coherentmarketinsights.com/market-insight/water-meter-market-3517
Key Developments:
- In June 2021, Indian smart water meter developer WEGoT and French IoT solution provider Kerlink entered into a partnership to launch a LoRaWAN-based water meter in India. This water meter will help utility companies to efficiently collect data and streamline operations to manage costs. The device inputs can integrate with third-party billing and ERP systems through a wide range of APIs.
- In November 2021, Idrica, a Spain-based water technology company, developed the first 5G-NR (New Radio) device specifically designed for smart water metering applications. This cutting-edge technology enables real-time remote monitoring of drinking water consumption. The 5G-NR-based equipment allows utility companies to immediately detect water usage, network failures, and leaks, enabling them to respond more promptly and efficiently to resolve such issues.
- In June 2021, WEGoT, an Indian provider of smart water management solutions, announced a partnership with Kerlink, a French IoT connectivity solutions company, to launch a LoRaWAN-based water meter in the Indian market. This collaboration aimed to enable utility companies to efficiently collect real-time water consumption data and streamline their operations, ultimately helping them better manage costs. The new water meter device was designed with open integration capabilities, allowing its inputs to be seamlessly integrated with third-party billing and enterprise resource planning (ERP) systems through a wide range of application programming interfaces (APIs).
Key Players:
Arad Group, Azbil Kimmon Co., Ltd., Badger Meter Inc., Diehl Stiftung & Co. KG, Elster Group GmbH, Fedrel Meter, G. Gioanola S.R.L., Itron Inc., Kamstrup AS, Landis+Gyr AG, Maddalena Spa, Master Meter, Inc., Neptune Technology Group Inc., Sensus Metering, and Zenner International GmbH & Co KG
