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Totex for the European Water Industry

The heavily regulated European water market is facing major challenges, one of which is to reduce costs to deliver better value for customers.

In this regard, industry regulators and water companies are adopting the Totex (total expenditure) model when making investment decisions to focus on reducing cost over the life-cycle of the asset through technological innovation for better energy efficiency and through-life maintenance optimisation, amongst others.

As such, water companies and their main contractors are increasingly looking to bring in reliable and established equipment manufacturers at the design stage where their R & D capability and innovative solutions can help improve operational efficiency throughout the life-cycle of the system and network.

This trend is fostering a new era of collaboration across European water markets as utility providers, their main contractors and equipment makers establish closer integration through earlier engagement and consultation.