An Economic Evaluation of Water Supply and Demand Utilizing a Map-Based Study of Water Meter Technology in a South African Urban Water Management System

Abstract

This study conducts an economic evaluation of urban water demand and supply in a South African municipal water management system, using smart water meter technology and map-based analysis to identify spatial and economic patterns of water scarcity. Using purposive sampling and secondary data from municipal billing records, the study integrates water meter datasets with geographic information system (GIS) tools to analyse consumption behaviour, tariff payments, and geographic disparities in water access. The findings reveal distinct areas within the municipal distribution network where households experience both reduced water availability and tariff payment deficiencies, indicating heightened vulnerability to water insecurity and financial strain. Spatial patterns demonstrate that these shortfalls are unevenly distributed across income groups and geographic zones, providing a critical evidence base for targeted water management interventions. The economic assessment highlights the relationship between water tariffs, consumption levels, and affordability constraints, offering insights into the financial sustainability of the current water management framework. Overall, the study demonstrates the value of combining GIS-based techniques with water meter technologies to diagnose systemic weaknesses and to support more equitable and sustainable urban water management. The results provide actionable guidance for policymakers seeking to improve tariff design, strengthen demand management, and address the persistent socio-economic inequalities underpinning water access in Cape Town and similar urban contexts.