Type: Local programme
Timeline: Ongoing
Budget (if applicable): N/A, because of the continuous nature of the project
Status: Ongoing
GCA area(s): Water Management
Thematic area(s): Green
- Sub-areas: Resilient environments
- Sub areas: Water management
Operational topic(s):
- Data management and evaluation
- Governance
- Scaling up and transfer
- Strategy
Key stakeholders: Câmara Municipal do Porto (Municipality), Entidade Reguladora dos Serviços de Águas e Resíduos (National regulator for the Water setor), service providers (meters replacement, reinforcement of repair teams, replacement of priority pipes), and clients.
Country: Portugal
Province (NUTS 3): Área metrolopitanea do porto
Region (NUTS 2): Região Norte
Municipality: Porto, GCA Signatory since 2021

Needs
The Non-Revenue Water (NRW) Index measures the volume of water purchased but not billed, serving as a key indicator of both service quality and sustainable water management. High NRW levels point to inefficiencies within the distribution network. Reducing NRW is therefore a strategic priority for Porto’s municipal water utility, with the broader aim of improving operational efficiency, protecting public health, and enhancing environmental sustainability
Objectives
Porto’s Non-Revenue Water Management and Reduction Programme is designed to improve the efficiency of the municipal water distribution network by reducing drinking water leakages. The programme utilises advanced monitoring and data analytics to detect and prevent water losses, ensuring a more sustainable and efficient system.
Description
Water distribution in Porto is managed by the municipal entity Águas e Energia do Porto (AEdP), which is responsible for monitoring the drinking water systems and preventing undue outflows, thereby contributing to the improved efficiency of the public networks. In line with the Porto Climate Pact, the city has implemented the Non-Revenue Water Management and Reduction Programme, investing in predictive maintenance and smart infrastructure to prevent water leaks.The programme monitors the public water network in real time through 347 monitoring points equipped with state-of-the-art technology, supported by advanced analysis platforms, artificial intelligence, and machine learning for management support. During 2024, 37 new monitoring points were installed.
With more than 115 supply zones under control, Águas e Energia do Porto has several specialised technical teams operating in the field every day, dedicated to the early detection and location of faults and water leaks. Over the course of 2024, these teams inspected the equivalent of 403% of the total network length.
In the past five years, more than 55% of all water meters have been replaced, and 73% of customers are now equipped with smart meters with telemetry, directly contributing to the reduction of water losses. The rehabilitation of pipelines carried out in recent years has also played a crucial role in achieving this result. In 2024, the company replaced 11,43km of pipelines.
Results (achieved or expected)
Porto has achieved significant progress in reducing water losses, reflecting its long-term commitment to efficient and sustainable water management. Through ongoing efforts, the city has lowered its unbilled water rates, outperforming national averages. Continued investment in infrastructure, such as the expansion of monitoring systems, has enhanced leak detection and prevention capabilities. These improvements, along with more efficient water management practices, have strengthened resource conservation efforts and minimised environmental impact.
Success factors
- Implementation of AI and machine learning tools for real-time data analysis and predictive maintenance.
- Smart metering and telemetry.
- Continuous investment in infrastructure upgrades and workforce training.
- Aggregator programme for several projects, providing an integrated view.
- Know-how of the operational teams on the ground.
Obstacles and difficulties met
- Technical challenges in integrating AI-driven tools with the existing water network.
- The need for ongoing training of technical teams to operate monitoring systems
- A city with a dense network of underground infrastructure.
- Aging network.
Evidence of success
- Significant reduction in unbilled water: In 2024, Porto lowered its unbilled water rate to 12%, down from 13% in 2023 and a significant improvement from 31% in 2010—less than half the national average of 27.1%.
- Continued investment in infrastructure: 37 new monitoring points were installed in 2024, further improving leak detection and water loss prevention.
- Improved water management: More efficient water management contributes to better resource conservation, reducing environmental impact
Recommendations for cities interested in developing such a project
- Establish clear governance and commitments: Ensure high-level commitment from municipal leadership and utility management by setting a long-term strategy with defined objectives, timelines, and responsibilities. Create a dedicated task force or unit focused exclusively on Non-Revenue Water (NRW) management.
- Conduct a baseline assessment: Quantify the current NRW rate, distinguishing between real losses, apparent losses, and authorised unbilled consumption. Perform a detailed water balance analysis to identify high-risk zones, customer groups, or operational areas contributing most to losses.
- Segment the water network: Divide the distribution network into District Metered Areas (DMAs) to enable targeted monitoring and control. Equip each DMA with flow and pressure meters to detect irregularities, and conduct night flow analysis to uncover hidden leaks.
- Improve infrastructure and maintenance: Prioritise leak detection campaigns and active leakage control. Replace or rehabilitate aging and high-risk pipes. Use pressure management to reduce stress on the network and extend asset life.
- Invest in data and technology: Deploy smart metering systems for real-time water usage monitoring. Adopt data analytics and AI tools to predict and prioritise interventions.
- Tackle apparent losses: Improve billing accuracy and system integration by regularly calibrating and replacing customer meters. Further implement procedures to detect and act on illegal connections and fraud.
- Secure funding and partnerships: Explore national and EU funding (e.g., environmental and resilience grants).

