Exploring the Determinants of Operational Performance in the Water Supply Sector: A PCA Analysis of Networks, Meters, Raw Water and Operating Costs

The water sector is essential for sustainable development, but faces complex challenges arising from climate change, accelerated urbanization, and increasingly stringent economic and environmental demands. This study examines the determinants of operational performance in the water sector, using...

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Bibliographic Details
Main Authors: Octavia Moise, George Banghiore, Mari-Isabella Stan
Format: Article
Language:English
Published: Ovidius University Press 2025-02-01
Series:Ovidius University Annals: Economic Sciences Series
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Online Access:https://stec.univ-ovidius.ro/html/anale/RO/2024i2/Section%201%20and%202/9.pdf
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Summary:The water sector is essential for sustainable development, but faces complex challenges arising from climate change, accelerated urbanization, and increasingly stringent economic and environmental demands. This study examines the determinants of operational performance in the water sector, using principal component analysis (PCA) to analyze key variables such as distribution networks, meter usage, raw water characteristics, and operational costs. Results highlight that infrastructure modernization, implementation of digital technologies, and use of circular economy principles are essential for sustainability. The analysis also underscores the link between infrastructure investments and water loss reduction, cost optimization, and service improvement. Temporal evolution reflects a transition from major operational difficulties to improved performance, thanks to effective investment strategies. The conclusions provide valuable insights for strategic decision-making and recommend integrated approaches that ensure the balance between economic sustainability, technological efficiency, and social responsibility, thereby contributing to the management of water resources for the benefit of future generations.
ISSN:2393-3127