Eddy on water submetering for multifamily and commercial buildings

Eddy Solutions. We are a commercial leak detection provider.

Today's presentation is gonna be focused specifically on water submetering.

So just take a couple minutes, introduce myself. I'll do about, maybe twenty, thirty minutes of presentation. If anybody has any questions, feel free to put them into the comments, and we'll go over them at the end or just check at the end if, anything went unanswered.

So myself, Adam Bartman, CEO of Eddy, second generation plumber with about twenty years of experience in the plumbing and mechanical industry. So I'd owned and operated, high rise service business.

That in turn forced me to essentially create a, controls type company. We were doing some monitoring on different conditions of the building's plumbing system.

That was acquired by Eddy Solutions in twenty twenty one and so spent, the cumulative ten years between Reed and Eddy Solutions in the leak detection industry.

As far as Hedi Solutions, we work with a lot of the leading developers across Canada and the US. We also work with a lot of metering providers. And, again, that'll be the focus of today. I will get into why we work together, where the benefits are, the efficiencies as far as equipment.

And so we'll we'll take a look at the product and then get into more of the business y side.

As far as other partnerships that that we have, that are more prominent would be in the insurance industry, providing benefits to the end users and several constructors that are actually in charge of building these larger developments.

Our equipment works both in new construction and retrofit.

We just may have, certain limitations in the retrofit space where you have to do more cutting into lines to add things like valves and meters and whatnot.

But the equipment and particularly the sensors work well throughout. As far as products, we have, over a hundred thousand devices in the field, well over a hundred properties under protection with significant deployments and kind of a year to date as far as savings between water conservation and water mitigation as far as damage, well over thirty million.

And so when it comes to our markets on the metering side, we're focusing primarily on multifamily residential, multiunit industrial. So if you had, strip plazas or complexes of industrial units, commercial office buildings, a lot of time retail or tenant floors, and then institutional and hospitality has more to do on the metering front with some ESG and, tracking of information and water use. So getting to the technology, we have a very simple product lineup. These are the available SKUs you have here.

So the primary product that we're gonna go over today is the Eddy IQ. That's available in three quarter inch and one inch. It's an all in one device with an integrated shutoff valve, an ultrasonic meter, and the brains of the operation, the actual technology and all of the machine learning and logic onboard the device. It can be manually operated, remotely operated, and automatically operated, and automatically triggered to send alerts based on regular usage versus irregular usage, which we'll get into more detail.

The Eddy Link and valve and or meter is really a parts explosion of the Eddy IQ. So think about, again, the Eddy IQ being a valve meter and brains. With the Eddy Link, if we're trying to adapt to larger pipe sizes or to existing infrastructure, if they had an existing water meter, you would just take the link, which is like a controller, tie that into your meter and or valve, and you'd get the same functionality as the IQ. Now, of course, different meters and especially larger meters are less and less granular as far as the water measurement.

Our IQ does, liters, and so I believe it was point two five gallons or point one liters per minute that it's able to read. Again, as far as granularity, when you get into the larger meters, it wouldn't be, point one liter, maybe it's one liter or even ten liters as a minimum, reading that it can take. The Eddy H2O is a very popular product for us as well.

Not so much with the metering, but it is a wireless water sensor, three in one, reading temperature and humidity as well as the presence of water. They're a puck style water sensor, and you'd place them down in high risk areas.

They have about a five to seven year battery life, and you'd place those in areas like kitchens, bathrooms, mechanical rooms, common closets, amenity spaces, the list goes on. Many of our deployments will have, upwards of a thousand sensors deployed, which in turn can trigger either the link or the IQ to shut down in the event of a water escape, water breach event.

And so you could see how having the smarter IQ, especially at a unit level, triggered by either the H2O or the flow information itself gives you really optimal coverage.

The gateway and the communication device. So the IQ, the link, and the H2O, and all of the other variations of water sensors will wirelessly communicate to the LoRaWAN network. These gateways are available both in a cellular option or a hardwired Ethernet option powered by the building's Internet.

The idea with LoRaWAN, it's a universal radio frequency communication technology.

What's nice there, from the building owner's perspective is if they were to deploy a full LoRaWAN gateway using this EHDI deployment, you could go online and find thousands of other LoRaWAN compatible products for completely different use cases and ride along a unified network. So if the building owner had, a preference to maybe do occupancy sensors, where I've seen even garbage pickup style sensors, I mean, there there's a really infinite list of different kinds of sensors, and that could all get integrated under one platform.

So diving a layer deeper into the products, we have, again, meters. So the Eddy IQ being our primary choice, but that would only suffice on pipe sizes that are three quarter or one inch. Anytime we're looking to track a meter that's larger, we would use the Eddy Link connected to third party meters.

Works with about ninety nine plus percent of them, Badger, Census, Neptune, Camstrup, GWF, anything that's on the Census protocol. And then we do have the option of Eddy clamp on meters, although not as popular in most of the deployments.

As far as sensors, so we have the Eddy H2O, which again is a three in one water sensor, puck style. You'd place it down. There are, holsters that the sensor could be installed in to keep it in place.

But if there's a different use case, you may wanna consider the probe or rope sensor.

For example, the rope would be installed around the maintenance pad or along a pipe or, some sort of trench, Whereas the probe sensor gives you the flexibility to install the probe permanently in an inaccessible spot while the actual boxed device with the technology would be in an accessible location for future battery replacement. And then there's also pressure and temperature sensors should the use case require that.

Now the link can also control a valve as I've mentioned. It is an and or situation as far as the link tying to a meter and or a valve depending on the goals and what you're trying to achieve. But if you did want to incorporate not only meter readings and leak detection and alerts based on that information, but also have the ability to then turn off water in the event of irregular flow. You would have the meter and valves and assembly tied to the link.

Different pipe sizes will have different sized actuators and different brands. But, again, these are all third party, quite universal in their wiring, and so there would be opportunity to connect a variety of different actuators to the link. Now as far as triggers, and I'm gonna focus a little more on the metering because that's what today's presentation, of course, is about. There are two types of triggers for our system.

A trigger is something that tells us there's an issue. And so you could have a trigger that was sparked by irregular flow through the meter, or you could have a trigger that's present from the water sensors, touching water. So it's kind of a one or the other situation, very different in how they work. Now when we're thinking about the meters, so you're gonna have water flowing through the pipe.

You maybe have multiple branches, or if this is at a suite level, you'd have a pipe going off to different fixtures.

Now the meter itself, the Eddy IQ, is looking for two types of conditions to keep it simple.

Again, there's an onboard learning system, a machine learning, and some AI algorithms so that it can learn on a consistent basis what is normal versus abnormal. But one of the conditions that it's looking for is what's called continuous flow. And so, for example, if you had a toilet in a suite and the meter was installed at the incoming line to that suite, if, for example, you had, half a liter running or point one liters constantly running from a faulty flapper or fill valve, then, excuse me, then the meter would see that, a couple things. I've never seen this happen before in the last twenty eight days, which is the information it uses to make this decision, and that it's continuously running. Those are two obvious conditions for this thing to send an alert.

The other scenario would be what we call extreme flow. So if you had a sudden pipe burst, maybe a supply hose to a dishwasher or toilet or something within the walls, it'll see that as well. And so this is kind of an oversimplified explanation of how the, logic on the iQ works. Another thing to point out is that the logic lives onboard of the device.

It's not in the cloud. So if you were to lose communication, even if you were to lose power, the last known information, which is updated on a daily basis, again, based on the last twenty eight days, would would be held on the device. And so it would still be able to shut down, but you wouldn't have connectivity, for example, if the network went down for some odd reason. And so you'd get that message later, but the actual protection lives on the device.

Now what the meter is doing, again, looking at it on a graph, this would be, let's say, a twenty four hour period. And so most of the water usage in a unit is pretty predictable.

But, again, it'll learn over time. The longer it's installed, the better they get. And, again, if they see that continuous flowing on the bottom of the graph or sudden spike of audio usage that it's never seen before, then, then it'll send your alert.

So as far as the communication technology, you could see an example here of two IQ meters installed in different scenarios.

On the left image, it was installed in a closet, so it's very convenient to access, and those two meters will get plugged into that receptacle background.

The other here is, still in the rough in stage. So you could see the two meters installed vertically side by side. They're very compact, so it's no issue for plumbers to get them installed much like a normal meter. The other benefit here though is that we don't require any spool pieces. The meters can be installed, and they should be installed during the rough in stage. So you'd avoid that double work of initially putting in a spool then having to go, during the finishing or move the spool, put the meter commission, then these can all get installed in one shot. On the right hand side, you see just a very basic schematic of a building where you'd have a hot and cold meter installed in every unit.

As far as, again, communication, so those meters will speak wirelessly to our gateways. There's no wiring required as far as the communication.

Now our gateways come in two versions. There's a cellular version or an Ethernet version.

Most of you might know as you go up a tower, your cell reception gets worse and worse. So there are scenarios where you may want to wire the network together. The other benefit is that these devices are what's called PoE, and that stands for powered over Ethernet. So not only are the Internet lines providing communication to the device, it's actually also providing power, which means you don't require a plug for each of these locations in this example on the left. You would only require power at these network switches.

Further on the communication, so just to kinda lay it out from left to right and how ultimately the metering providers will get the information. You gotta think of the IQ as gonna be working as a two in one in the submetering application.

So one of the requirements is to ensure that we're able to provide leak detection, again, understanding regular versus irregular flow, but we also have a responsibility of taking the consumption data and giving it to a third party utility partner and so that they can do their read, bill, and collect.

So again, whether you're using a regular meter with a link or the Eddy IQ all in one, those will wirelessly communicate to our gateways.

Gateways wirelessly communicate to the outside world through hard line Internet or a SIM enabled device.

That will land into the Eddy server.

And from that server, again, we're able to accomplish a few different things. Number one, for Eddy, it's about leak detection, and so we'll have the ability to provide alerts via SMS or email, support the clients with our twenty four seven call center, and also perform the actions of, shutting off water or anything else from the automation side. Now at the same time, the submetering providers have two options. They can either tie to our system for the retrieval of data through an API, which is a software link, or Eddy can push out on a regular basis. Often, it's monthly, an FTP file, like, essentially a CSV file into a drive where you can then extract that information. I've seen both of these be utilized. It really depends on the metering partners way of doing business, but both are available.

Now aside from the indoor gateways that we've shown, we have over the past year been exploring with some outdoor gateways. They've been extremely impressive. And so in this large photo here, we had a industrial complex with multiple meters at each site, about twenty or thirty meters at each of these sites. And we ended up installing a couple outdoor gateways in a centralized location and receiving data from nearby meters, several kilometers away. And so we've actually seen sensors in some buildings, of our deployments hit outdoor gateways up to twenty three kilometers away. So you could see the power of the LoRaWAN, radio frequency in that whole infrastructure. So if you do have a property that's either very widespread, garden homes, industrial plazas, considering the outdoor gateway is certainly, something you should do.

Now why customers engage Eddy is typically to mitigate risk either during construction or shortly after where they're still on the hook for the warranty.

They would want to avoid delays or tenant disruption or displacement, and, of course, reduce expenses by way of mitigating catastrophic water damage and high water bills.

Now the way that we target services to our clients is by breaking things out into a sort of menu or categories.

When we're thinking about base building protection, it's about adding primary shutoff valves and meters and sensors along major infrastructure.

So giving us the ability to shut the entire building, sections of the building, certain systems, really a core building system.

Certain properties, usually ones that are more high end, are gonna add unit protection. So if you want stuff within every suite, for example, at a kitchen or dishwasher or washing machine.

And then the last one would be smart metering, which is where all our vendors come in. And so, essentially, just removing the old GWF meters, and placing in the Smarter IQ meters.

So again, the building protection is really great for developers of new construction properties looking to satisfy their insurance requirements and protect the job site during the finishing stages through the warranty.

Unit protection, we often see, in more high end properties looking for that added protection at the unit level or rental properties. Somebody who's developing an asset or owns an asset that they're directly managing and on the hook for any damages. And then the smart metering is a very great application for new construction.

When they're looking to take advantage of your existing business models, the idea of financing equipment, you're simply just swapping a quote, unquote dumb meter for a smart meter and then giving the client a two in one efficiency. A meter that's providing consumption data but also doing leak detection.

Now you may ask yourselves why would a utility partner or submetering vendor work with Eddy? So we think this is a much better solution that's in extremely high demand right now, again, based on insurance requirements and people's, lack of appetite for risk. And so Eddy collaborates with the leading submetering companies to integrate advanced behavioral learning and leak detection technology into its existing services of submetering. We don't wanna change the way you do business. It also allows the vendors to meet that growing demand for leak detection. We hear very often that the submetering vendors are being asked for leak detection on a regular basis. Again, we're trying to enhance the, quote, unquote, dumb meter for smart meters.

And then you have the ability to also finance additional equipment.

So, if the original deployment would have been a hundred meters, it could also now be a hundred meters and maybe a hundred sensors, for example.

This also allows you to differentiate yourself in a particular market, especially if, a smart submetering or leak detection system isn't available by other vendors you're competing with.

We also think this is an easier purchase and easier billing for our clients. So, again, on the financial aspects, customers that are looking for a financial platform to offset that capital or operational expense, You guys already typically offer financial platforms, and so there's some cost sharing, financing, and installation rebates you can pull on different levers.

As far as the data integration, so, again, it's, extremely easy to integrate the Eddy IQ consumption data via API or that FTP file drop.

And with years of us experiencing or with experience engaging your billing departments, integrating that data is extremely simple.

We also handle everything on the deployment. So the first thing we'll do with the client is do some discovery, build that actual full solution if it's outside the actual metering itself.

Our project managers will then take over coordination with trades such as the plumbing and electrical trades for all their installation. We'll also help coordinate the eddy product and low voltage installation, which is typically carried out by the electrician.

Sometimes I've seen it carried out by security providers.

Upon completion of the installation, we do an extremely comprehensive training and onboarding plan with both the construction team and the future property management.

And then we provide that active monitored service both during construction, where it's very important for the builder risk period. We also provide that leak detection monitoring post construction during that warranty phase and onward.

Now working with Eddy, there's really two scenarios.

So we'll run scenario one where our internal sales team is doing, a ton of marketing, education, collaborations, and engaging with clients. It's actually also very often that Eddy engages with the client during that design phase, like the mechanical design phase, And the metering vendor is often not selected, so in certain markets, we have the ability to recommend them.

And we're usually teaching them about the advantages of working together on a joint solution or submetering in general. Now once that's all out of the way, again, this is Eddy speaking directly to the client. So they're often asking for the proposals and quotes. Eddy can provide that proposal directly to the client, but oftentimes, this is where a decision is made as far as the equipment and the metering. So sometimes the metering partner will only buy the metering equipment on behalf of them, or they'll buy the entire Eddy system.

So there's different options there.

Then, oh, then we'll work with the utility vendor on a data sharing plan. This is kind of a one time scenario.

Then they'll accept that independent contract. So they may have a contract with you, contract for us, and then we begin executing.

The other scenario would be that your team is selling and marketing the submetering benefits and values, etcetera. But they would want to advise them that, a two in one leak detection solution is possible. That would again allow you to finance additional equipment.

And so in that case, we would provide a quote to the submetering vendor.

You would then provide the quote to the client. You could slice it up any which way. Again, if you wanna buy only the meters, everything, or even none of it and just run with the operating expense, we present the joint solution, they accept, and we begin the project execution. So just a couple samples of how we typically work together.

Now engagement in meetings. So during that initial discussion, keep the option of and the value proposition of leak detection simple. most people are really looking for leak detection because there was an insurance requirement or an insurance benefit. It does help mitigate risk during construction in that warranty period, and it does, of course, provide cost savings and construction delay avoidance.

So those are really the high level, propositions of a leak detection system. The client would then advise if they're interested in learning more about the efficiency and cost of a combined system. And so the next step could be further discovery required to determine the budgets and goals or more likely the partner just provides the building statistics, things like units and floors, and we could use our budgeting tool. Or if we have the full set of drawings, just put together a complete quote.

Now when we think about different people that we may be speaking to, there are solutions specific to constructors.

So this focuses more on incorporating sensors and isolation, communication and early design stage into new construction projects to protect their job site, enhances construction efficiency, resource management, and compliance with sustainability standards, and includes project management, installation training, and support for seamless integration, all those items I spoke about before.

Solutions for developers are aimed more at implementing leak detection for insurance or mitigation goals, protecting the construction or operating environment. Also offers a comprehensive solution to deliver projects without delays and on budget while passing on infrastructure to monitor and optimize resource usage, improving ROI for the future property owners. And then flexible packages are available based on specific project needs and whatever their budgets are. Now when we think about retrofit, this would be a recommendation from myself to the audience today, assuming, there there's folks from the submetering space.

You already have a captive customer base that you may already be metering, and they're pretty sleepy clients. you provide the data, you build the tenants, you probably don't even have much engagement with the actual building, condo, landlord, portfolio holder, whatever the case. And so what we've seen a lot of people do is push out new marketing, new education for additional services to those quote, unquote sleepy clients. That would then give you additional equipment implemented. So there's new capital being financed, and now you have more engagement on a regular basis and increased stickiness in the building with additional services. And so, of course, the outcome would be a happier client obtaining more value from its vendors and hopefully more projects and properties.

So that was today's webinar. Kept it a little tighter, more focused really on the submetering aspect.

Again, we do have other webinars available out there, should you wanna take a deeper dive on the products.

Just check-in with my team here to see if we got any questions. But, again, thanks everyone for joining. Our contact information's out here. And if you have any opportunities that you are looking to incorporate lead section, you can reach out to us anytime.

And thank you very much, everyone.