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California Coastal Commission Staff Recommend Support of Proposed Desalination Facility on the Monterey Peninsula

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The California Coastal Commission staff has recommended approval for the California American Water Monterey Peninsula Water Supply Project (MPWSP) at a hearing on November 17, 2022. This project aims to provide a reliable water supply to the region, addressing a long-standing water crisis that has limited affordable housing and economic growth since the 1990s. With a phased approach, the initial phase will produce 4.8 million gallons of water per day, with potential expansion up to 6.4 million gallons. California American Water is committed to affordability and renewable energy for the project.

Positive
  • Recommendation for approval of the MPWSP addresses a decades-long water supply crisis.
  • Initial phase of the project will produce 4.8 million gallons of water daily, with potential expansion.
  • Commitment to affordability initiatives to assist low-income customers.
Negative
  • None.

The Monterey Peninsula Water Supply Project will bring a much-needed reliable water source to the region for generations to come

PACIFIC GROVE, Calif.--(BUSINESS WIRE)-- The California Coastal Commission staff released its report yesterday recommending that the Coastal Commission approve the California American Water Monterey Peninsula Water Supply Project at a hearing on November 17, 2022.

The recommendation for approval comes with special conditions and modifications to the project that California American Water is looking forward to implementing collaboratively with the California Coastal Commission. The project, as recommended, will provide the region with the reliable, drought-proof water supply it urgently needs.

“The Coastal Commission staff completed a comprehensive review and thorough report on the project,” said Ian Crooks, vice president of engineering for California American Water. “The staff report recognizes that historic drought conditions are making additional water supplies critical in the coming years and that there are no alternatives to ensure a reliable supply of water except for the desalination project. The report also includes several conditions to ensure that the project’s potential impacts to coastal resources and low-income ratepayers are mitigated to the maximum extent feasible. We have worked for the last 10 years with community advocates and stakeholders, cutting edge researchers, coastal experts and industry leading engineers to develop a solution that meets the community’s needs. Moreover, this project will ensure the most vulnerable among us have access to safe, affordable water.”

If approved by the Commission, this project would end a decades-long water supply crisis that has affected the Peninsula since the 1990s, limited the building of affordable housing and impacted equitable access to safe water for too long. In 2009, the State Water Resources Control Board issued a cease-and-desist order that placed a building moratorium in much of the area, exacerbating the local housing crisis for working families, including military families stationed in the area and workers in the hospitality industry.

“Today’s news is a relief for the tens of thousands of residents and businesses who have been worried about the future of their water supply,” said Yvette Padilla, a Castroville community leader. “Limited water supply has resulted in a building moratorium that has restricted the expansion of affordable housing, has stifled economic growth in the region and has left residents living under the constant threat of water rationing for far too long. The Coastal Commission staff recommendation to approve the MPWSP is the right decision to help our community move forward.”

The project has undergone extensive public review since it was proposed to the California Public Utilities Commission in 2012, including numerous stakeholder meetings and public hearings before multiple state and local government agencies. California American Water has held more than two dozen additional meetings and community workshops and conducted further extensive outreach to stakeholders in the region over the last four months to gather additional feedback and inform the public about the project.

In response to community input, California American Water recently announced a phased approach to the project to better fit the needs of the region, including in Marina, where the project’s source water slant wells will be located. Under this approach, the first phase of the project would be built to produce 4.8 million gallons per day. In the future, California American Water could seek approval to expand the project if needed to produce up to 6.4 million gallons per day.

California American Water also has proposed additional affordability initiatives to ensure that customers needing financial assistance can afford access to adequate water for drinking, sanitation and health needs. In addition to these important project elements, California American Water has reaffirmed its commitment to renewable energy to ensure the desalination facility has net zero GHG emissions, and to expand the existing groundwater monitoring network with the Monterey County Water Resources Agency to ensure that project operation does not harm local groundwater users.

About California American Water: California American Water, a subsidiary of American Water (NYSE: AWK), provides high-quality and reliable water and wastewater services to more than 725,000 people. Information regarding California American Water’s service areas can be found on the company’s website www.californiaamwater.com.

About American Water: With a history dating back to 1886, American Water is the largest and most geographically diverse U.S. publicly traded water and wastewater utility company. The company employs more than 6,400 dedicated professionals who provide regulated and regulated-like drinking water and wastewater services to more than 14 million people in 24 states. American Water provides safe, clean, affordable and reliable water services to our customers to help keep their lives flowing. For more information, visit amwater.com and diversityataw.com. Follow American Water on Twitter, Facebook and LinkedIn.

Media

Evan Jacobs

Director of External Affairs

Phone: 707-495-6135

Email: evan.jacobs@amwater.com

Source: California Coastal Commission

FAQ

What is the status of the California American Water Monterey Peninsula Water Supply Project?

The California Coastal Commission staff has recommended approval for the project at a hearing on November 17, 2022.

How much water will the Monterey Peninsula Water Supply Project produce?

The initial phase of the project will produce 4.8 million gallons per day, with potential expansion to 6.4 million gallons.

What are the benefits of the Monterey Peninsula Water Supply Project for local residents?

The project aims to provide a reliable water supply, address the water supply crisis, and support affordable housing development.

When was the Monterey Peninsula Water Supply Project proposed?

The project was proposed in 2012 and has undergone extensive public review since then.

What initiatives has California American Water proposed for affordability?

California American Water has proposed initiatives to ensure financial assistance for customers needing help with their water access.

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