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Telemetry and Remote Control Water Distribution Optimization System

Solution Overview

SACMEX, the Department of the Government of Mexico City under its Secretariat of Environment, initiated a comprehensive telemetry and remote control modernization program to address critical water distribution inefficiencies.[1] This technology-enabled approach involves equipping 1,174 SACMEX facilities with advanced monitoring and control systems to optimize operations across the utility's extensive infrastructure network serving approximately 13 million people.[1][3] The implementation represents a fundamental shift from manual valve operations to automated, data-driven water management in a city where 25 percent of customers receive intermittent service ranging from a few hours daily to once weekly, despite sufficient production capacity to deliver continuous supply if managed efficiently.[1]

Technical Components

The telemetry and remote control infrastructure encompasses 320 wells, 16 springs, 16 bulk water deliveries, 26 pumping plants, 26 tanks, 90 transfer stations, 52 pressure stations, 13 conducting lines, 78 rain gauges, and 17 dams across SACMEX's service territory.[3][2] The system replaces the current manual valve operations with automated monitoring and control capabilities designed to optimize service delivery across this extensive network of facilities.[2] The Lerma Basin System, which includes over 160 operational wells and nearly 200 additional wells under construction, operates through a cyber-physical system with 3D visualization generated from GIS information.[4] Communication across the network utilizes a hybrid radio frequency transmission system, satellite, and telephone network to enable real-time teleoperation and monitoring of pumps that extract water from each well.[4] The developed system for the Lerma Basin can be scaled to generate a simulator of water behavior and perform contingency planning.[4]

Implementation Details

The World Bank approved $50 million in total project cost for the Mexico City Water Supply Service Improvement Project, with $40 million from the International Bank for Reconstruction and Development and $10 million from local government sources.[6] Mexico City invested approximately 9 billion pesos (currently US$517 million) over three years to improve water infrastructure, with the World Bank announcing an additional 10 billion peso loan for infrastructure including drinking water and leak detection projects.[2] The implementation period extends from 2016 to 2025, with an estimated Board approval date of July 6, 2017.[3][6] SACMEX defined 5 mega-sectors encompassing the 16 administrative Delegations of Mexico City and adopted a phased approach to progressively bid and award Performance-Based Contracts in those 5 mega-sectors.[6] The Performance-Based Contract has a duration of 4.5 years, during which the Contractor is responsible for active control of leakages and network related commercial losses and for improvement of water supply distribution.[6] The scope of work includes planning and execution of investments required to achieve performance targets financed by the World Bank loan through BANOBRAS.[6]

Multiple technology partnerships support the digital transformation initiative. Idrica has been working with SACMEX since July 2020 on the comprehensive digital transformation of the city's drinking water supply and drainage system.[7] The company carried out a study to analyze the current status of SACMEX's digital transformation and to identify new needs and requirements, which was completed in December 2020.[7] Idrica subsequently deployed its smart water management platform, GoAigua, in a specific area of Mexico City (Sistema Poniente) and the districts of Benito Juarez and Iztapalapa.[7] A separate public-private partnership between local authorities, global water technology company Xylem and Amazon utilizes the Xylem Vue platform, an advanced data analytics system designed to detect leaks, reduce water loss and optimize supply.[5] Ricardo Alberto Munguía Alfaro, Deputy Minister of Operation and Efficiency of Hydraulic Infrastructure in Mexico City, described the investment as 'historic,' addressing one of the capital's most urgent challenges.[5]

Benefits and Impacts

The Project Development Objective is to improve the quality and efficiency of the water supply service in selected areas of Mexico City.[6] The objectives of the Performance-Based Contract are to improve continuity of supply and reduce Non-Revenue Water through a mix of leakage reduction and key elements of commercial losses such as illegal connections and consumption, meter reading errors and incorrect customer categorization.[6] Mexico City loses up to 40 percent of potable water through leaks, with approximately one in four residents receiving water of poor quality or subject to rationing.[5][2] The Xylem Vue platform monitors pressure in real time, proactively identifies problem areas, and adapts operations to demand in this high-loss environment.[5] Digital technology solutions include Smart Scada, which provides an overview of operations by integrating decentralized data and advanced algorithms for decision-making, and the Leaks solution, for detecting leaks, fraud and meter tampering in real time.[7] These digital technology solutions are aimed at integrating water cycle management across the utility's operations.[7]

Climate Adaptation Relevance

Predicted impacts of Climate Change in Mexico City indicate that an overall decrease in precipitation and an increase in temperature will exacerbate the pressure on its already limited water resources and increase the vulnerability in the availability of water to supply Mexico City.[1] The telemetry and remote control systems enable more efficient management of existing water production capacity, which is currently sufficient to deliver continuous supply if managed efficiently despite 25 percent of customers receiving intermittent service.[1] The inclusion of 78 rain gauges and 17 dams in the monitored infrastructure network supports enhanced stormwater management and drainage system operations in response to changing precipitation patterns.[3]

Business Analysis

The financing structure combines international development funding with local government investment, demonstrating a blended finance approach to critical infrastructure modernization.[6] The World Bank's $40 million loan represents 80 percent of the $50 million total project cost, with Mexico City contributing $10 million from local government sources.[6] This arrangement supplements the approximately 9 billion pesos (US$517 million) Mexico City invested over the preceding three years in water infrastructure improvements.[2] The Performance-Based Contract model transfers responsibility for achieving specific performance targets to the Contractor over a 4.5-year period, with compensation tied to measurable improvements in continuity of supply and reductions in Non-Revenue Water.[6] The phased implementation across 5 mega-sectors allows SACMEX to progressively bid and award contracts while managing financial and operational risks.[6] Public-private partnerships with technology providers including Xylem, Amazon, and Idrica enable access to advanced platforms and expertise without requiring full capital investment in proprietary systems.[5][7] The World Bank loan through BANOBRAS finances the planning and execution of investments required to achieve contract performance targets, providing dedicated funding for infrastructure upgrades and technology deployment.[6]

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