Water auditing typically involves the measurement of water usage in various parts of an organization, the collection of data on water use, the identification of water leaks and inefficiencies, and the calculation of the associated water savings potential. Water auditing results are used to develop a water management plan, which includes recommendations for reducing water usage and improving water management practices.

Water auditing is commonly performed by organizations as part of their sustainability efforts, to reduce their environmental impact, and to comply with water management regulations and standards.

With increased pressure from government regulatory bodies and ultimate need for the conservation of water resources, Water Auditing is the first step to understand current scenario of water utilization in any premises. Water auditing determines the amount of water lost from a distribution system due to leakage and other reasons such as theft, unauthorized or illegal withdrawals from the systems and the cost of such losses to the utility. Comprehensive water auditing gives a detailed profile of the distribution system and water users, thereby facilitating easier and effective management of the resources with improved reliability. It helps in correct diagnosis of the problems faced in order to suggest optimum solutions. It is also an effective tool for realistic understanding and assessment of the present performance level and efficiency of the service and the adaptability of the system for future expansion & rectification of faults during modernization. Elements of water auditing include a record of the amount of water produced (total water supply), water delivered to metered users, water delivered to unmetered users, water loss and suggested measures to address water loss (through leakages and other unaccounted for water losses).

The main goal of a water auditing is to identify sources of waste and ways to reduce those sources. It’s important to remember that not all waste is bad; some waste can actually help improve efficiency and performance by making the system more resilient against surges in demand.

water auditing improves the knowledge and documentation of the distribution system, problem and risk areas and a better understanding of what is happening to the water after it leaves the source point. Leak detection programs help in minimizing leakages and tackling small problems before they become major ones. These programs lead to

1. Reduced water losses
2. Improved financial performance
3. Improved reliability of supply system
4. Enhanced knowledge of the distribution system
5. Efficient use of existing supplies
6. Better safeguard to public health and property
7. Improved public relations
8. Reduced legal liability, and
9. Reduced disruption, thereby improving level of service to customers.