Acquisition reflects company’s commitment to providing reliable wastewater treatment and environmental protection
BRYN MAWR, Pa.–(BUSINESS WIRE)–Essential Utilities, Inc. (NYSE: WTRG) announced today its Aqua Pennsylvania subsidiary has finalized its $18 million purchase of the Greenville Sanitary Authority’s wastewater system in Mercer County, PA. The system serves Greenville Borough, Hempfield and West Salem Townships. The Pennsylvania Public Utility Commission (PUC) approved the sale on December 12, 2024.
This is the first transaction approved by the Pennsylvania PUC since implementing improvements over the summer to the fair market value statute passed in 2016. Essential Utilities, Inc. expects the improvements made by the Commission to reenergize the municipal acquisition market in Pennsylvania in 2025.
“We are well-positioned and deeply committed to make the necessary investments to ensure safe and reliable service to our customers in Mercer County,” said Essential Utilities Chairman & CEO Christopher Franklin. “We’re happy to welcome these new customers to the Essential family.”
As part of the transaction, Aqua Pennsylvania plans to invest $20 million dollars over the next decade in system improvements to resolve safety, operational and environmental deficiencies including:
- Storage, labeling, and dechlorination issues
- Wastewater treatment plant ventilation concerns
- Insufficient emergency/standby power generation
- Permit compliance issues
The cost of these planned improvements is less than half of what the Greenville Sanitary Authority planned to spend to address a Consent Order Agreement with the Pennsylvania Department of Environmental Protection, saving customers more than $20 million.
“Our expertise affords us the knowledge to provide necessary improvements at a fraction of the cost that would otherwise have been borne by the authority and its customers,” said Aqua Pennsylvania President Marc Lucca. “The repairs and upgrades we will make to Greenville’s wastewater system are cost effective and will improve reliability and performance,” said Lucca.
Customers’ base rates will not change after Aqua begins operating the system. Any future rate change will be subject to approval of the PUC. Eligible customers seeking assistance with their sewer bills will gain access to Aqua’s low-income Customer Assistance Program (CAP) and the hardship fund Aqua Aid.
As part of the transition, residents can expect to receive communication from Aqua Pennsylvania outlining service schedules and procedures.
This is the fourth water and wastewater acquisition Essential Utilities, Inc. has completed in the past 12 months, adding 2,600 customers or 4,520 equivalent dwelling units (EDUs).
About Aqua Pennsylvania
Aqua Pennsylvania provides water and wastewater service to approximately 1.5 million people in 32 counties throughout the Commonwealth of Pennsylvania. Visit AquaWater.com for more information or follow @MyAquaWater on Facebook and @MyAquaWater on X.
About Essential
Essential Utilities, Inc. (NYSE:WTRG) delivers safe, clean, reliable services that improve quality of life for individuals, families, and entire communities. With a focus on water, wastewater and natural gas, Essential is committed to sustainable growth, operational excellence, a superior customer experience, and premier employer status. We are advocates for the communities we serve and are dedicated stewards of natural lands, protecting more than 7,600 acres of forests and other habitats throughout our footprint. Operating as the Aqua and Peoples brands, Essential serves approximately 5.5 million people across nine states. Essential is one of the most significant publicly traded water, wastewater service and natural gas providers in the U.S. Learn more at www.essential.co.
Forward-Looking Statements
This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which generally include words such as “believes,” “expects,” “intends,” “anticipates,” “estimates,” “will” and similar expressions. The company can give no assurance that any actual or future results or events discussed in these statements will be achieved. Any forward-looking statements represent its views only as of today and should not be relied upon as representing its views as of any subsequent date. Readers are cautioned that such forward-looking statements are subject to a variety of risks and uncertainties that could cause the company’s actual results to differ materially from the statements contained in this release. Such forward-looking statements include, but are not limited to, statements relating to the capital to be invested by the company over the next ten years, efficiencies created, and expansion of capacity in the system. There are important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements including the factors discussed in our Annual Report on Form 10-K and our Quarterly Reports on Form 10-Q, which is filed with the Securities and Exchange Commission. For more information regarding risks and uncertainties associated with the company’s business, please refer to the company’s annual, quarterly and other SEC filings. The company is not under any obligation – and expressly disclaims any such obligation – to update or alter its forward-looking statements whether as a result of new information, future events or otherwise.
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Contacts
Media:
Amanda Burge
Regional Communications Specialist
M: 610.329.2015
O: 610.520.6440
AEBurge@aquawater.com
