What are "non-revenue water" losses?

Non-revenue water refers to water that is produced but not billed to customers. This category includes water that is lost due to issues such as leakage, theft, or inaccuracies in metering, as well as water used for municipal purposes. It is an important concept in water distribution as it represents a significant financial loss for water utilities. Understanding non-revenue water is crucial for managing water resources and improving system efficiency, as reducing these losses can lead to better service delivery and lower operating costs.

The other options do not accurately define non-revenue water. For instance, recreational water use doesn’t fall under this category as it typically involves water that is intentionally allocated for purpose-driven activities. Evaporation losses pertain to natural or environmental factors affecting water supply but are not directly related to the billing system. Lastly, treated but unused water may not be defined as non-revenue water since the focus is specifically on water that has made its way through the production process without generating revenue through billing.