Overview
The City of Toronto is launching a three-year program to replace all 470,000 water meter transmission units (MTUs) used by customers. The program will help ensure automated transmission of water-use data and timely and up-to-date billing for customers, following the early failure of MTU across the city, an issue affecting many North American municipalities.
Key facts
Early MTU failure accelerates replacement plan
The water meters continue to do the job by accurately tracking how much water properties use. However, the MTUs that send that information to the City for billing purposes are failing sooner than expected. When an MTU fails, the City no longer receives real-time data and instead relies on estimated bills based on the property’s historical water use.
The City’s automated meter reading was rolled out between 2009 and 2015 as part of a city-wide upgrade to the Water Meter Program. At the time, the MTUs were expected to last 20 years. With the early failures, the City has been forced to accelerate replacement plans years ahead of schedule.
This is an industry-wide challenge that many other municipalities are facing across North America including Moncton, New Brunswick; Somerville, Massachusetts; Canton and Middletown, Ohio; Asheville, North Carolina; Georgetown, Plano, and Houston, Texas; Melbourne, Florida; and San Francisco, California.
City-wide MTU rollout begins April 2026
Toronto City Council adopted a city-wide replacement of all water meter transmission units in May 2025. The city-wide replacement program aims to ensure automatic meter readings and timely and accurate billing.
The rollout is set to begin in April, moving through the city by geographical zones. Zones were prioritized based on failure rate, amount of time on estimated billing, and volume of accounts.
There is no separate charge or installation fee for customers to replace their MTU. While the replacement program is expected to cost $103 million to come from the approved budget, the automated metering technology has already saved an estimated $350 million in operational costs since it was introduced in 2009. These savings come from a more automated process that reduces manual work and improves overall efficiency.
Customers can check what zone they are in and when they are slated for replacement on the Water Meter Transmission Unit (MTU) Replacement Program webpage.
What customers need to do
The replacement program will roll out by geographic zones starting in April and continue through 2028. Neptune Technology Group, the contractor hired by the City to complete the work, will contact customers directly to book appointments. Customers can check their zone, estimated replacement timeline and steps to take at toronto.ca/MTUreplacement.
Once replacements are in their zone, customers will need to follow four steps:
Customer impacts and support
Customers on estimated billing will continue to receive estimated bills until they submit actual meter readings or their MTU is replaced.
As transmission of accurate meter readings resumes, some customers on estimated billing may see adjustments that reflect their actual water use. Customers can expect to receive their adjustments within four to six weeks after their MTU is replaced. At that time, customers will be moved off estimated billing.
The City understands that billing adjustments can be concerning. Customers should know that even if their MTU has stopped working, the water meter itself continues to accurately record water use. When the City receives an actual reading, the bill will be updated to reflect the amount of water used – and customers will only be charged for the water they actually used.
Support available includes:
Program vendors
Two key industry vendors have been contracted to carry out this work. Neptune Technology Group (Canada) will lead the installation effort. The company oversaw the original rollout of the City’s water meters and meter transmission units between 2009 and 2015, a project that laid the groundwork for today’s automated meter reading network.
The devices will come from Aclara Technologies, the sole supplier compatible with Toronto’s existing infrastructure. Along with providing the updated MTUs, Aclara will supply the field-programming tools to bring the new equipment online and maintenance support for the devices.
Safety and Security
The City is reminding residents that clear safety measures are in place as Neptune moves through neighbourhoods to replace MTUs.
Neptune’s technicians will travel in clearly marked vehicles labelled “Neptune Technology Group – Under Contract of the City of Toronto.” They will also wear Neptune branded uniforms and carry City-authorized photo identification at all times.
Contractors will never request payment for any part of the visit.
Additional resources
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