Why Energy Monitoring Matters More Than Ever in Water & Wastewater Utilities

Energy monitoring in water and wastewater treatment plants is no longer a luxury—it's an operational necessity.
Rising electricity costs, aging infrastructure, and high-risk downtime are forcing utilities to rethink how they monitor and manage energy consumption. And while many industrial facilities can temporarily shut down to address a power issue, municipal water and wastewater systems cannot afford to stop.
At Atlas OT, we design and implement vendor-neutral control and monitoring systems that empower utilities to detect problems early, reduce unplanned costs, and optimize performance.
The Cost of Power is Rising—Fast
Electricity rates are increasing faster than inflation and economic growth, climbing at approximately 5% per year. Meanwhile, cooling loads and AI-related energy demands are also growing at similar rates. But generation capacity isn't keeping up—resulting in higher costs and tighter constraints.
For water and wastewater operators, this isn’t just an OPEX concern. It’s a mission-critical risk.
Utilities Can’t Afford Downtime
Unlike commercial or industrial buildings, where a power failure may result in temporary closures or mild inconvenience, utility systems must run 24/7. When something goes down—whether it's a transformer, a sewage pump, or a power feeder—the consequences can be:
- Environmental spills
- Public health hazards
- Regulatory violations
- Emergency response costs
And even with backup generation in place, failure events can spiral fast—especially when they start with undetected electrical issues.
Small Electrical Problems = Big Failures
Seemingly minor electrical imbalances can lead to catastrophic equipment damage:
- A 2% voltage imbalance across a three-phase motor can cause temperature spikes of 10°C.
- This rise in heat cuts motor winding insulation life by half.
- The same rule applies to transformer oils and other heat-sensitive components.
Rule of thumb: Every 10°C increase in operating temperature halves the lifespan of electrical insulation and oils.
Energy monitoring allows utilities to detect these anomalies before they become unplanned CAPEX events.
Lead Times for Replacement Parts Are Getting Longer
Even if you’re ready to spend, you might not be able to get what you need in time:
- Variable frequency drives (VFDs): 26-week lead times
- Large power transformers: up to 120 weeks
If a critical component fails without warning, a utility may be forced to rent backup systems—for months or even years—at enormous cost.
Energy monitoring gives you early visibility, helping you plan replacements proactively rather than reactively.
Energy Monitoring Also Cuts Ongoing Costs
Here are three areas where you can reduce utility costs:
1. Power Factor Penalties
If your power factor dips below acceptable thresholds, utilities may charge for apparent power—up to $0.40 per kVAr.
2. Demand Charges
Some utilities charge as much as $8.55 per kW over base demand. These spikes often come from poor load scheduling or unmonitored start-up sequences.
3. Harmonic Distortion Fines
Harmonic distortion can affect your power quality and trigger additional utility fees or penalties for non-compliance.
With the right energy monitoring system, water utilities can:
- Monitor total harmonic distortion at the point of common coupling
- Set alarms for high-demand windows
- Automatically track when consumption trends approach penalty thresholds
Load Scheduling Can Save 40% of Your Bill
Many water and wastewater facilities pay 40% or more of their electricity budget on demand charges—even if those peak usage periods only last minutes.
Energy monitoring systems can be programmed to:
- Alert operators in real time if demand spikes occur during high-cost hours
- Predict billing impacts before they happen
- Optimize load sequencing to reduce demand-related penalties
Integration with SCADA & Notification Systems
Modern energy monitoring tools aren’t standalone—they integrate directly into your SCADA or OT system.
With a fully integrated setup, you can:
- Push alerts to operators via HMI, text, app, or call
- Trigger alarms visually on control panels
- Escalate alerts to management for revie
- Log historical data for compliance or engineering analysis
Quick, automated notification ensures issues are caught early and escalated fast—before they become outages, fines, or environmental disasters.
The Bottom Line: Visibility = Resilience
For water and wastewater utilities, the risk of inaction is far higher than the cost of prevention. Energy monitoring provides the visibility needed to:
✅ Extend asset lifespan
✅ Avoid unplanned CAPEX
✅ Cut energy-related OPEX
✅ Stay compliant with utility billing and regulatory limits
✅ Improve response times for operations and management
At Atlas OT, we help utilities modernize with vendor-neutral, SCADA-integrated energy monitoring systems that reduce downtime and increase return on investment.

