Probability Management for Water Finance and Resource Managers
February 1, 2018 - July 31, 2018
- Task 1 – Present Principles of Probability Management (PM) in a Primer: A working version of the Primer is being reviewed by utility participants and outside experts.
- Task 2 – Case Studies: Applying Probability Management to Water: The project team plans to develop a minimum of three water utility case studies that apply the principles and tools of probability management. Drafts of two case studies have been completed to date. The first is a financial application of PM using a SIPMath™ compliant model to explore the uncertainty surrounding revenue generation of water rate alternatives under conditions of recession, weather variability, and drought curtailment. The second applies PM to a land-use demand forecasting model to assess the shape of uncertainty with respect to different demand drivers.
- Task 3 – Final Report and Deliverables: A report outline was developed, along with content for the technical report.
Download the project update to learn more.