The global
installed base of advanced metering infrastructure (AMI) smart meters with
two-way communication capabilities will reach 29.9 million by 2017, up from
10.3 million in 2011.
The smart water
meter market will see steady growth in the coming 5 years, driven by increasing
demand for water itself, aging system infrastructure, and a need among
utilities to operate their systems much more efficiently.
As new pipes
are constructed, utility operators will simultaneously evaluate the merits of
upgrading to the latest meter technology, as well, according
to Pike Research.
The additional
forces that will propel smart water shipments will include the need to conserve
scarce water supplies, especially in desert regions like the Middle East or
Southwestern United States, the need to reduce high levels of non-revenue
water, and the need to satisfy regulatory requirements. Growth will also come
from emerging markets in Asia Pacific and elsewhere as water metering rises
along with rising standards of living and the need to manage this valuable
resource efficiently.
“Smart water
meters are a wise choice for improving how water systems are managed and
billed. However, there are significant financial and technical hurdles that
will be impediments to progress and growth during the next several years,” said
senior analyst Neil Strother at Pike Research.
New smart
meters cost more than standard water meters, presenting a budgetary challenge
to many water utilities. Smart meters also require additional IT expertise to
facilitate data collection and data management, which is not always a welcome
change to risk-averse system operators. And many water utilities are concerned
about potential pushback from consumers, given the levels of resistance that
some electric utilities have faced from customers in their smart meter
rollouts.
All of these
market barriers have contributed to Pike Research’s decision to downgrade its
forecast for the installed base of smart water meters, compared to the previous
edition of its report, which was published in mid-2010. In the last edition,
the firm had forecast that the installed base would reach 31.8 million units by
2016, whereas the new forecast anticipates that the installed base will reach
25.2 million by the same year.
Recently,
Pike Research forecast that smart meter and smart grid deployments have risen
significantly during 2011, particularly in North America. A number of large
projects have been announced and key vendors have been selected to provide
utilities with meters, communications modules, and meter data management
services. Smart meter shipments in China continue to grow as well.
By
GreentechLead.com Team
[email protected]