Effective Water Utility Management Practices

Managing water utilities is about more than just tracking usage and generating bills. Utility companies must navigate regulatory requirements, aging infrastructure and customer expectations to deliver accurate billing services. Without the right utility management systems in place, how can your customers be sure they’re getting billed for the proper amount of water usage? How can you ensure notices are sent out on time and bills are delivered to the correct customer? 

Effective utility management involves careful planning. With over 240,000 water main breaks annually, utility companies must invest in modern technology to avoid revenue loss and improve operations. Use these strategies to stay compliant as you stabilize your operation.

Table of contents

• What Is Water Utility Management?
• Breaking Down Water Utilities Management Challenges
• Water Utility Management Best Practices
• Optimize Your Operation With Muni-Link’s Utility Billing Software 

What Is Water Utility Management?

Water utility management is the sector that oversees water treatment, delivery and billing for people and companies who need water. Management groups juggle infrastructure, water quality, customer service and financials. It’s a complex sector that delivers essential water to communities while working to keep water sources viable.

Water utilities services cover water used for dozens of purposes, including:

• Drinking
• Waste treatment
• Sanitation
• Irrigation
• Disposal
• Industrial use

Water utility management can be broken down into the Effective Utility Management (EUM) framework. The EUM covers core principles for managing and delivering water, which include:

• Sustainability
• Customer satisfaction
• Infrastructure strategy
• Financial viability
• Operational optimization
• Workforce development
• Enterprise resiliency

Breaking Down Water Utilities Management Challenges

Managing water utilities means handling constant challenges. Before tackling your biggest obstacles, you need to break down what they are. Water utilities are currently facing these main challenges:

Aging Infrastructure

U.S. water network pipes are 45 years old on average. Our water systems are operating on decades-old pumps and pipes. Water infrastructure is often kicked down the road due to its cost, leading to older systems that are more likely to fail. Without proper financial planning, utilities may struggle to upgrade when they need to. As infrastructure ages, the replacements become more expensive and intensive. Utilities groups must strategically upgrade water systems to avoid greater water and financial losses.

Financial Sustainability

Utilities companies are constantly balancing water expenses with customer financial collection. Inaccurate metering, slow revenue collection and late or unpaid bills can limit your budget. Management companies need to speed up collection times and optimize water metering. With utility billing software and updated technology, they can simplify cash flow management.

Customer Expectations

The age of smartphones has brought an expectation of constant connection. People expect digital billing options, self-service portals and real-time account access. Gone are the days of paper mail or walking to the bank. Utility management that still relies on outdated, manual processes might face slow collection rates and unhappy customers. Plus, handling paperwork manually increases administrative workloads and expenses.

Water Utility Management Best Practices

Utility management services are critical for our communities. However, facilities must start planning in advance for water-related challenges. From current consumer debt to the expected $470 billion it will cost to replace aging infrastructure, companies need to adopt strategies that improve service for today and tomorrow. 

1. Use Cloud-Based Utility Billing Software

Traditional on-premises billing systems limit your storage abilities and efficiency. With so much data to monitor, operating only on-site is impractical. Cloud-based utility management software streamlines your water management services. The cloud model allows your operation to scale storage up or down as needed without maintaining data centers yourself. 

Access your software from anywhere, making it easy to oversee operations. Staff can easily manage accounts from secure devices so you can handle customers faster. Cloud-based software even seamlessly integrates with your municipal websites and existing systems. Just pay for the service level you need without large upfront investments or broken integrations. Plus, you can automate billing and payments, so your utility management company sees fewer errors and late payments.

2. Build Strong Data Management and Security

You might think cyber attackers are only after data from the financial or technology industries. However, U.S. utilities have seen a 70% increase in cyberattacks recently. Utility groups often have outdated software, making them easy targets for attackers. 

Utility companies must invest in secure data management practices to protect their infrastructure data, billing records and meter readings. They should use software hosted at Tier-4 data centers, combined with encryption and multi-factor authentication. These measures help protect customer information and keep their operations compliant with data privacy regulations.

3. Refine Incident Response

Unexpected incidents are par for the course in water utilities. Extreme weather can burst pipes, while contamination events can affect water quality. Utility companies must have proactive incident management strategies in place to defend their infrastructure. Implement monitoring tools to monitor equipment readings and water system issues. Use regular maintenance schedules to maintain systems and avoid breakdowns. Finally, create detailed, regularly updated response plans to stay ready for when emergencies happen.

4. Optimize Water Conservation

The U.S. faces constant concerns around water. Water shortages and lack of clean drinking water challenge utilities management. Utilities groups must practice water conservation themselves and push sustainability to their customers. Smart metering systems and usage-based alerts can help customers track their water consumption. Your company can also promote conservation initiatives with education materials. Offer rebates for saving water or use water allocation policies to conserve water.

5. Monitor Compliance

Water utilities must follow local, state and federal regulations around water quality standards and employee safety. Failure to maintain water cleanliness or financial reporting standards can lead to penalties from different levels of government. Make sure you’re using billing software that makes it easy to bill customers and track their finances. You’ll simplify the administrative process and make compliance a breeze.

6. Focus on Customer Service

The harder it is to pay a bill, the more unhappy your customers will be. If customers have to travel to your main offices and pay in person, you limit their convenience and accessibility. Modern billing software allows customers to quickly see their bills and water use, cutting down on mail costs. Customers can even send payments through the software, which makes it easier for them to pay on time.

7. Modernize Infrastructure

Outdated infrastructure will eventually fail. As it fails, it will need more frequent repairs. These constant repairs lead to water delays for customers and increases in expenses. Evaluate your budgets and develop a plan for infrastructure modernization. Replace water systems in sections, concentrating on priority areas. This strategic replacement ensures your infrastructure gets updated without overwhelming your financials all at once.

Optimize Your Operation With Muni-Link’s Utility Billing Software 

Effective water utility management starts with the right technology. Muni-Link’s utility billing software simplifies billing, improving customer satisfaction and making your job easier. We partnered with municipal authorities to create a solution that works for your needs. Our cloud-based software can be customized to local county requirements. With automated billing, real-time account access and secure payment processing, your team can streamline operations easily. 

Modernize your utility billing today! Request a demo online to see how Muni-Link can help your services.