Determinants of water loss in Portuguese utilities

Abstract

This research aims to evaluate the main determinants of real water loss per unit length of the network in the Portuguese water sector, using data covering a 10-year period. The governance model, typology of the area, type of service, management model, total water conveyed, and total network length were found to be statistically significant determinants. The methodology employed Generalized Linear Models and Artificial Neural Networks, confirming the existence of interactions and non-linearity. From a public policy perspective, setting water loss targets based only on two variables - area typology and type of service – is not a robust approach.