Assessing the influence of environmental variables on energy efficiency changes in the provision of drinking water services

Abstract

Within the context of the water-energy nexus in drinking water provision, it is crucial to evaluate temporal shifts in energy efficiency. Utilizing the Stochastic Nonparametric Envelopment of Data (StoNED) approach, this research estimates longitudinal variations in the energy efficiency of drinking water services integrating multiple environmental variables. The analysis, conducted in England and Wales from 2008 to 2020, indicates that the source and quality of raw water, as well as population density, influenced the energy performance of water utilities. Quantitative findings evidenced marked disparity in energy efficiency among different companies, with an average efficiency of 0.617 and a range from 0.437 to 0.944. The dynamic assessment indicates an average annual enhancement of 1.1% in the sector, predominantly propelled by technical advancements (0.9%) rather than by improvements in efficiency (0.2%). This study emphasizes the critical need for bespoke policies and incentives to boost energy efficiency and support sustainable urban water management.