Watchdog probes alleged fraud in digital water meter contracts

Greece’s National Transparency Authority (EAD) is conducting a confidential investigation into alleged fraud and mismanagement in multimillion-euro contracts for digital water meters supplied to municipalities and local utilities, according to officials familiar with the matter.

The probe, ongoing for several months, reportedly stems from a whistleblower complaint that provided internal documents and information about the procurement process. Early findings are said to be “particularly damaging” for several officials and contractors involved, one source told Kathimerini, describing the situation as “hard to contain.”

Part of the disputed procurements were financed through European Union funds under the National Strategic Reference Framework (ESPA), raising the likelihood of a criminal investigation by the European Public Prosecutor’s Office (EPPO). If confirmed, this would mark the second major EPPO case involving Greek local authorities after an earlier probe into recycling equipment purchases.

Digital meters, designed to replace analog devices and monitor consumption remotely, are intended to reduce leaks and waste. But the EAD has already uncovered serious irregularities in at least two northern municipalities, including falsified certifications, unauthorized contract changes and payments for undelivered equipment.

Authorities estimate the total value of the contracts could approach €300 million, with the market dominated by just a handful of suppliers. The Ministry of Environment and Energy has launched spot audits, while the EAD continues to gather evidence that could lead to criminal referrals.

According to official sources, the EAD has already completed three investigations into digital water meter procurements by local authorities in northern Greece. Two of the probes uncovered serious evidence of mismanagement, while a third was closed without findings. In one Central Macedonia municipality, auditors found “unlawful actions” by local officials, including falsified certifications and an improper acceptance of equipment by an unauthorized committee. A second case in the same region revealed irregular amendments to procurement contracts and conflicts of interest within the oversight committee. A third probe, launched in March 2025 after an anonymous tip, was ultimately shelved for lack of evidence.