July-August 2007

Bulls Eye!

Targeting California’s high-volume urban water users

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By Lyn Corum

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In 1991, the nearly 100 urban water agencies and environmental groups that had formed the California Urban Water Conservation Council signed a memorandum of understanding pledging to develop and implement 14 comprehensive conservation best management practices. The council has since grown to 384 members, all of whom have taken the pledge.

Water agencies throughout the state of California are now designing innovative programs to live up to that pledge. They are marketing to high-volume commercial, industrial, and institutional water customers to convince them their businesses will benefit from reducing water use permanently via new and innovative technologies and processes.

Amy Vickers, a nationally known water conservation consultant and author of the Handbook of Water Use Conservation, states, “Engaging C&I [commercial and industrial] customers to participate in water saver programs is often a hard sell. ... Analyzing C&I customer-metered water-use data and then targeting good candidates for water conservation measures with high water, sewer, and/or cost savings potential can be an effective marketing strategy.”

Here are three California water districts and their recent efforts to do just that through industrial water saver programs.

San Francisco Public Utilities Commission
“Traditionally, agencies have done projects with defined goals,” says Dana Haasz, water conservation administrator at San Francisco Public Utilities Commission (SFPUC). “That was my thought in developing this program.” Rather than ask customers to replace fixtures, why not change the goal to water savings, she thought. After convincing a lot of people at SFPUC to change course, she designed a one-year pilot program in which customers identified their own projects.

And there were many reasons for the district to get creative.

SFPUC provides retail drinking water to 2.4 million customers in San Francisco and four Bay Area counties, in addition to providing sewer services and hydroelectric power to the city. Non-residential customers used 37% of the district’s total retail water demand of 75.5 million gallons per day in 2005, according to a 2004 study of water demands and conservation potential.

By 2030, non-residential customers are projected to use 44% of 76.5 million gallons per day. SFPUC’s long-term goal is to reduce water use by 4.5 million gallons per day by 2030 through conservation, an ambitious goal for a city with one of the lowest per-capita water uses in the nation, according to Haasz. The Water Saver Program was designed to help meet this goal through permanent hardware installation and/or retrofit and/or process improvement.

The 2004 study “City and County of San Francisco Retail and Water Demands and Conservation Potential” identified schools, hotels, hospitals, universities, offices, food and grocery retail outlets, restaurants, and dry cleaning and laundry businesses as the eight high-demand industries in the city. These customers used more than 50% of the commercial/industrial water demand.

Non-residential customers are a challenge, Haasz explains. Projects to reduce water use tend to be more expensive, and they require a higher level of expertise to design and install. Ironically, another problem is that water bills are never seen by the decision makers who should be reviewing them.

In a request for proposals, SFPUC asked contractors to propose projects that improved the efficiency of water-using processes among the city’s top 20% non-residential water users. After evaluating the proposals submitted, it hired Intergy Corp. because of the company’s creative technology solutions it sought to offer public utilities commission customers and its understanding of the pay-for-performance model.

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SFPUC introduced the Water Saver pilot program to high-volume non-residential customers in the fall of 2006. The intent of the program is to create a market for water savings through a performance-based approach. The program does not specify what the water agency is looking for, Haasz explains. Intergy works with the customers to identify projects themselves and identify savings in terms of dollars per acre-foot of water saved.

The program offers incentives but they are designed for large-scale projects, unlike standard rebates for replacing toilets, says Haasz, which are not included in the Water Saver Program but still available through SFPUC’s rebate program. Next Page >

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