The Roadmap to Smarter Water Management

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Michael Sullivan - Business Development Executive, IBM Big Green Innovations – [email protected]

Let’s Build a Smarter Planet:

The Roadmap to Smarter Water Management Environmental Business Council – New England – June 11, 2010

© 2010 IBM Corporation

Let’s build a smarter planet: IBM Smarter Water Management

The need for progress in the way we manage water is clear

6x Increase in global water usage since the 1900s; twice the rate of human population growth.

10,855 Estimated liters of water it takes to make a pair of jeans.

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45% 1.1 billion The number of people that do not have access to safe water according to The World Bank.

Up to 45% of water is lost due to leaks in an aging water infrastructure around the world.

2/3 Two thirds of the world's population is projected to face water scarcity by 2025, according to the United Nations..

© 2010 IBM Corporation

Let’s build a smarter planet: IBM Smarter Water Management

Cumulative Infrastructure Challenges in the Next 25 Years

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© 2010 IBM Corporation

Let’s build a smarter planet: IBM Smarter Water Management

Something profound is happening…

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INSTRUMENTED

INTERCONNECTED

INTELLIGENT

We now have the ability to measure, sense and see the exact condition of practically everything.

People, systems and objects can communicate and interact with each other in entirely new ways.

We can respond to changes quickly and accurately, and get better results by predicting and optimizing for future events.

© 2010 IBM Corporation

Let’s build a smarter planet: IBM Smarter Water Management

Intelligent systems that gather, synthesize and apply information are changing the way entire industries operate. Smart water Apply monitoring and management technologies to help optimize the availability, delivery, use, and quality of water as well as related systems including energy and chemical treatment.

Smart traffic

Smart energy

Use real-time traffic prediction and dynamic tolling to reduce congestion and its byproducts while positively influencing related systems.

Analyze customer usage and provide customized products and services that help to boost efficiency from the source through the grid to the end user.

Congestion Water

Energy grid Chemicals Energy Carbon emissions

Carbon emissions Noise pollution

Energy

Public transportation

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Energy sources

Smart home

© 2010 IBM Corporation

Let’s build a smarter planet: IBM Smarter Water Management

Smarter Water Management means enabling higher levels collaboration and innovation across value chains and ecosystems Access to this A lot more data is information will ensure needed to fully that we don’t just fix or understand, model and rebuild existing predict how water flows infrastructure, but to do it around this planet – from natural water sources, to better and smarter . how it is consumed; and what the impacts and dependencies are on Natural Raw Water Water other resources. Sources

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Transport

Allowing us to become smarter in how we consume and pay for water.

Recycled/Treated

Clean Water Supply

Consumers

Sewage Treatment

© 2010 IBM Corporation

Let’s build a smarter planet: IBM Smarter Water Management

Better information flow is critical for better water flow The nature of water management must rapidly evolve From

Manual Data Collection Managing in Isolation Intermittent Measurement Multiple Data Sets “Guesstimation” Tools Commodity Pricing Tactical Problem Solving

To

Automated Sensing Managing Collaboratively Real-Time Measurement Data Integration Modeled Decision Support Value Pricing Strategic Risk Management

“One barrier to better management of water resources is simply lack of data — where the water is, where it's going, how much is being used and for what purposes, how much might be saved by doing things differently. In this way, the water problem is largely an information problem. The information we can assemble has a huge bearing on how we cope with a world at peak water.” Source: Wired Magazine, “Peak Water: Aquifers and Rivers Are Running Dry. How Three Regions Are Coping”, Matthew Power, April 21st, 2008

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© 2010 IBM Corporation

Let’s build a smarter planet: IBM Smarter Water Management

Smarter Water Management Needs and Opportunities INTEGRATED RESOURCE MANAGEMENT Build solutions that address the interconnected networks of water, energy, and carbon management

WATER INTELLIGENCE Delivering the information to drive a new era of water management.

Smarter Water Management Opportunities

PRICING THE VALUE Build business models that price the value of water accordingly and driving behavior that manages the balance between water usage and water availability.

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INFRASTRUCTURE REVITALISATION Solutions help build, repair, and extend the life of water infrastructure

© 2010 IBM Corporation

Let’s build a smarter planet: IBM Smarter Water Management

Examples of smarter water management innovation from IBM

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Smarter River and Estuary Protection : Working with the Beacon Institute, IBM is helping enable minute-to-minute monitoring of New York's Hudson River via an integrated sensor network, robotics, and computational technology throughout the 315-mile river to better understand and predict the effects of global warming, the movements of migrating fish, and transport of pollutants.

Smarter Levee Management and Flood Control: In the Netherlands, IBM is working with partners to build smarter levees and flood management solutions that enable authorities to monitor infrastructure and changing flood conditions and utilize advanced decision tools to help prevent avoidable flooding incidents as well as enable better emergency response to unavoidable flooding events.

Smarter Bay Management: Paving the way for smarter environmental management and development of Galway Bay, IBM and the Marine Institute of Ireland have deployed a real-time advanced analytics platform to monitor wave conditions, marine life, and pollution levels in and around Galway Bay.

Smarter Water Use and Energy Efficiency: IBM itself has realized dramatic economic and sustainability benefits implementing advanced water management systems. Using Green SigmaTM methodologies, IBM has implemented a smarter water management solution in IBM Burlington’s Semiconductor Fab that allowed us to realize $3 million in cost savings and reduce water consumption by 27% while increasing production. © 2010 IBM Corporation

Let’s build a smarter planet: IBM Smarter Water Management

More examples of smarter water management innovation

Smarter River Basin Management : Working with The Nature Conservancy, IBM is helping build an innovative computer-modeling framework that will allow users to simulate the behavior of river basins around the world thereby helping inform policy and management decisions.

Smarter Weather Management: As part of a major power utility’s emergency management program, IBM is applying high-resolution weather forecasting capability called Deep Thunder to predict damage ahead of time and optimize processes so that they can better mobilize resources, reduce restoration time, communicate more accurately, and reduce emergency management costs. 10

Smarter Water and Energy Metering Working with Enemalta, IBM is developing a new smart grid with 250,000 meters for Malta that integrates both water and power systems. Malta will be able to identify water leaks and electricity losses in the grid allowing the utilities to more intelligently plan their investments in the network, increase operational efficiency, and reward customers who consume less energy and water.

Smarter Water Infrastructure Asset Management: The San Francisco Public Utilities Commission (SFPUC), is using IBM software to help reduce pollution in the water surrounding San Francisco. SFPUC has improved visibility into their maintenance operations and physical infrastructure, with near real-time status of equipment and maintenance history, allowing them now to respond to and solve problems within 24 hours. © 2010 IBM Corporation

Let’s build a smarter planet: IBM Smarter Water Management

Smarter Water Management Needs and Opportunities ANALYTICS DRIVEN ASSET MANAGEMENT WATER INTELLIGENCE Delivering the information to drive a new era of water management.

ATTRACTING AND ENABLING NEXT GENERATION WATER WORKFORCE

PRICING THE VALUE Build business models that price the value of water accordingly and driving behavior that manages the balance between water usage and water availability.

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INTEGRATED RESOURCE MANAGEMENT Build solutions that address the interconnected networks of water, energy, and carbon management

Smarter Water Management Opportunities

INFRASTRUCTURE REVITALISATION Solutions help build, repair, and extend the life of water infrastructure

MANAGING WATER SYSTEMS AS COMPONENTS OF META-SYSTEMS © 2010 IBM Corporation

Let’s build a smarter planet: IBM Smarter Water Management

Analytics Driven Asset Management Preventive Maintenance

Develop analytics which can lower the cost of preventive maintenance.

Customer Service

Develop analytics which can improve the quality of service (uninterrupted, high quality water) for water utility customers

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Demand Management

Understand water usage patterns to support pricing and demand management.

Lower Costs – Work Management

Lower the operational cost of water utilities by effective crew scheduling and optimal rolling stock use

© 2010 IBM Corporation

Let’s build a smarter planet: IBM Smarter Water Management

CityOne – A Smarter Planet Game  CityOne is a city simulator that models a number of factors that are distilled into a few metrics for the player (such as Citizen Happiness, Business Climate, etc.)  Problems in the city manifest as “events”, which in turn are addressed by applying “solutions”.  The strategy comes from deciding which solutions have the most impact on the city (based on the city infrastructure and industry budgets).

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© 2010 IBM Corporation

Let’s build a smarter planet: IBM Smarter Water Management

The Future of Smarter Water and a Smarter Planet

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© 2010 IBM Corporation

Let’s build a smarter planet: IBM Smarter Water Management

Unique value realized

Smarter Water Roadmap Focus on integrated existing data sources to enable collaboration and increase innovation capacity

Leverage real-time data and new instrumentation to fill water information gaps, spot new patterns, and further increase innovation capacity

Mass application of community insights and predictive analytics to enable intelligent decision support and strategic risk management

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Enable

 Data quality and accuracy  Situational awareness  Reporting efficiency  New savings for innovation 15

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Empower

Enrich

 Management across network  Speed incident detection  Avoided costs through earlier detection  Enhanced ability to avoid cost  Identify new connections and patterns  Deliver better ROI to rate payers  Optimize Outcomes  Additional savings for innovation

© 2010 IBM Corporation

Let’s build a smarter planet: IBM Smarter Water Management

Critical Success Factors

 Embracing open collaborative systems approaches

 Engaging the public and nextgeneration of water managers

 Creating both a sense of urgency and optimism

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© 2010 IBM Corporation

Let’s build a smarter planet: IBM Smarter Water Management

We’ve only just begun to uncover what is possible on a smarter planet. The world will continue to become smaller, flatter and smarter. We are moving into the age of the globally integrated and intelligent economy, society and planet. By systemically managing water and energy use, as well as carbon emissions, smart organizations will realize true sustainability while achieving real business benefits—driving growth at the individual, organizational and population levels.

Let’s work together to drive real progress in our world. 17

© 2010 IBM Corporation

Let’s build a smarter planet: IBM Smarter Water Management

For more information & materials  Smarter Water Management Thought Leadership http://www.ibm.com/smarterplanet/water

 Smarter Water Management Solutions Home Page http://www.ibm.com/green/water

 GIO Report on Oceans and Water http://www.ibm.com/ibm/gio/water.html

 IBM Water Management Pains Summary Report http://www935.ibm.com/services/us/gbs/bus/pdf/i bm-water-pains-report-jan09.pdf

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© 2010 IBM Corporation