Pipeline Direct-Drinking Water System

　　Overview

　　With economic development, social progress, and the growing public awareness of health, Chinese residents are paying increasing attention to the quality of drinking water. Conventional tap water often fails to meet people’s expectations for healthfulness, social acceptability, and cost-effectiveness. This is partly due to severe pollution of urban water sources, and partly because secondary contamination during the distribution process is a significant problem in China. As a result, even relatively compliant water at the point of treatment can deteriorate in quality as it travels through transmission and distribution pipelines and intermediate storage tanks before reaching households, ultimately becoming substandard “tap water.” Over the foreseeable future, the state may still be unable to fully resolve these challenges in urban water supply.

　　Under these circumstances, some high-end residential communities in China have begun installing piped direct-drinking-water systems to ensure the hygienic safety of residents’ drinking water. Piped direct-drinking water is short for “high-quality piped direct-drinking water,” and it employs a differentiated water-supply approach. A water-purification station is set up within residential communities or public buildings—such as hotels and schools—and utilizes state-of-the-art biochemical and physicochemical technologies to treat tap water through advanced processing, refinement, and purification. In addition to the existing tap-water distribution system, an independent high-quality water-delivery pipeline is installed to convey the purified, high-quality water directly to individual households and point-of-use locations for drinking. Piped direct-drinking water has a long history of application; it is already widely used in developed countries, where the associated technologies and equipment are highly mature. From both the perspective of technological advancement and market demand, implementing piped direct-drinking-water systems to address drinking-water concerns offers substantial advantages.

　　Social Benefits

　　Yuanjie Water invests in direct-drinking-water equipment and pipeline networks, undertakes subsequent operation and management, and collects water-service fees. Users access tiered-quality direct-drinking water through the piped system; this water is 25% cheaper than bottled water. As flowing, living water, it offers users lower costs, superior quality, and hassle-free maintenance, while helping society reduce pollution from mineral-water bottles and minimizing resource waste and environmental impact associated with the materials used in the filter cartridges of small household water purifiers.

　　As a new form of drinking water supply, it is an inevitable outcome of China’s national economic development reaching a certain stage. Pipeline direct-drinking water has been established and developed in China for more than a decade, emerging as a burgeoning industry within the country’s water sector. From technical, economic, and social-benefit perspectives, the implementation of pipeline direct-drinking water systems in residential communities in major cities is highly feasible.

　　(1) Technical Feasibility

　　Currently, the technologies and equipment employed in high-quality piped direct-drinking water systems are highly mature. In particular, with regard to primary, secondary, and tertiary treatment, China has accumulated four to five decades of reliable experience and expertise. Membrane separation technology, on the other hand, is a relatively new technological advancement that has been developed domestically for more than two decades; membrane technology in China has now reached a level comparable to the most advanced domestic and international standards. Moreover, in the global market, countries such as the United States, Germany, Japan, and South Korea possess well-established technologies and equipment that can fully meet the requirements of water purification processes.

　　(II) Economic Feasibility

　　To date, the number of residential communities in China that have implemented piped direct-drinking water systems remains relatively small, and the scale of such projects is still modest; nevertheless, they have already begun to stimulate broader development. Consumers view access to direct-drinking water as a sign of rising living standards, while property developers see these systems as a new selling point that can boost sales of market-rate housing—and deliver solid profitability. Installing a piped direct-drinking water system in a newly developed residential community adds roughly RMB 20 per square meter to construction costs, a figure that is virtually negligible compared with current housing prices. At the same time, such installations enhance the appeal and perceived quality of the development, naturally driving up property values.

　　Survey data indicate that as the educational attainment of residents in China’s major cities rises, their household disposable income also increases accordingly, leading to a lower share of water expenses in disposable income and greater affordability of water prices. At the same time, higher levels of education are associated with greater awareness of water issues and higher standards for water quality. Therefore, the development of piped direct-drinking water systems in residential communities in China’s major cities is both feasible and viable. From a long-term perspective, the piped direct-drinking water model is more cost-effective and offers greater economic sustainability.

　　(3) Social Benefits

　　Adopting a separate pipeline system for delivering potable direct-drinking water and domestic water can effectively address the inefficiency of high-quality water being used for low-value purposes in the municipal water supply. Moreover, implementing a piped direct-drinking-water supply model can reduce households’ reliance on bottled water, thereby not only minimizing contamination risks associated with the delivery of bottled water but also helping to reduce plastic waste across society.

　　The installation of piped direct-drinking water systems can serve as a key selling point for new residential developments. In today’s economically dynamic environment, the demand for a high-quality lifestyle is no longer just an aspiration—it has become a tangible expectation. Most residents have come to recognize the seriousness of water-quality issues, and when choosing a place to live and evaluating available amenities, a safe and reliable water supply has emerged as a critical factor. By incorporating piped direct-drinking water systems into the ancillary services provided with new developments, residents can enjoy hygienic, affordable, high-quality water at home at any time, which is sure to be well received. This not only helps elevate the overall quality of the development but also enhances its market appeal and boosts sales.

　　Investment Case Analysis

　　Let the data speak.

　　Based on a high-end residential project in Hebei Province, with four residents per household and a daily water consumption of 4 to 5 liters per person, the peak-day variation coefficient is selected as KZ = 1.4 to 1.5 due to the relatively concentrated water-use schedule, with operating hours ranging from 10 to 12 hours.

　　Taking a residential community with a building area of 1,000 units, each measuring 90 square meters and housing 1,000 households, as an example, the analysis is as follows:

　　(1) Preliminary Project Investment

　　The maximum daily water production capacity of the water purification station is calculated as follows: 1,000 households × 4 persons per household × 5 L per person per day ÷ 1,000 = 20.0 m³/d. Taking a variation coefficient of 1.5 and assuming 10 hours of operation per day, the design capacity of the water purification station should be set at 3.0 m³/h. The total project investment comprises three components: the water purification station itself, the pipeline network system, and the metering system. Due to differences in treatment processes, pipeline materials, metering methods, and architectural design, the total investment is approximately RMB 3.6 to 4.0 million.

　　(2) Annual Operating Costs

　　In the daily operation and maintenance of a direct-drinking water system, the main cost components include annual depreciation of fixed assets, tap water charges, electricity costs, management expenses (including labor wages), water-quality testing fees, equipment replacement costs, and chemical reagent expenses. Based on cost calculations, the total cost is approximately RMB 0.08 per liter, or RMB 80 per ton. Consequently, the annual operating cost is calculated as follows: 30 tons/day × RMB 80/ton × 365 days ÷ 10,000 = RMB 876,000.

　　(3) Economic Analysis

　　Currently, there are no uniform regulations governing the pricing of piped direct-drinking water in China. Pricing is generally determined based on local economic conditions, with rates typically set at RMB 180–220 per ton of direct-drinking water. Assuming a direct-drinking-water price of RMB 200 per ton, the annual profit would be:

　　30 tons/day × (200–87.6) yuan/ton × 365 days ÷ 10,000 = RMB 1.23 million

　　If the residential community has a high occupancy rate and the water purification station operates at full capacity, the initial investment can be recouped in approximately 2.5 to 3 years.

　　Prospects for the Pipeline Direct-Drinking Water Project

　　Now that we have largely solved the basic needs of food, clothing, shelter, and transportation, the issue of drinking water has become a national tragedy: whether in cities or rural areas, accessing clean, natural water has turned into a “luxury” few can afford. If in the past “environmental protection” was merely a distant slogan, today the public has already tasted the bitter consequences of water pollution—and every household now holds safe drinking water close to heart.

　　The rise of water purification equipment in China can be traced back to around the year 2000, driven by growing public awareness of drinking-water safety and the gradual refinement of relevant laws and regulations. Some time has now passed since the issuance of the “Ten Measures for Water Pollution Prevention and Control” and the new national standard for drinking water, during which the previously chaotic and unregulated bottled- and barrelled-water market has gradually been brought under control, signaling a transition between the old and new eras in the drinking-water sector.

　　As public awareness of water health continues to grow, concerns about water scarcity and pollution have garnered widespread consumer attention, which has significantly boosted the adoption of water purification devices.

　　Accordingly, under the current environmental landscape, Yuanjie Water Services has focused on R&D and continuous equipment improvement, adhering to a product design and development philosophy centered on “intelligentization, resource efficiency, and innovation.” As a result, the company’s performance has grown steadily, enabling it to progressively strengthen its brand influence and market position and strive for greater market share.

　　Yuanjie Water Pipeline Direct Drinking Water--

　　Truly enabling ordinary people to drink healthy, safe, and clean water anytime, anywhere, and whenever they need it!

Direct Drinking Water Equipment