Aqua Pennsylvania Secures up to $6.7 Million PENNVEST Grant for PFAS Treatment Facility Serving 25,000 People in Bucks County

Rhea-AI Summary

Aqua Pennsylvania has secured up to $6.7 million in grant funding from PENNVEST to construct a PFAS treatment facility at its Edgely Water Treatment facility in Bristol Township. This grant will allow Aqua to install six large filter vessels using ion exchange media to remove PFAS from the drinking water of approximately 25,000 residents in Bristol Township and Bristol Borough at no additional cost to customers. The project aligns with newly established federal standards for PFAS removal. Construction is set to begin in July, ensuring enhanced water safety without financial burden on ratepayers.

Positive

• Secured $6.7 million PENNVEST grant.
• No additional cost to Aqua customers.
• Enhanced water safety for 25,000 residents.
• Utilizes advanced ion exchange media for PFAS removal.
• Aligned with new federal PFAS regulations.
• Construction scheduled to begin promptly in July.
• Successful temporary water service adjustments ensured uninterrupted supply.

Negative

• Temporary facility shutdown required prior to grant approval.
• Dependency on external grants for critical infrastructure.

Insights

Environmental Analyst

The securing of the PENNVEST grant to address PFAS contamination is a significant development. PFAS, or Per- and Polyfluoroalkyl Substances, are often referred to as 'forever chemicals' due to their persistence in the environment and human body. This initiative aligns with growing regulatory scrutiny and public concern regarding water quality. The implementation of ion exchange media in the new treatment facility is a sophisticated method to effectively remove these chemicals, demonstrating Aqua Pennsylvania's proactive approach. From an environmental perspective, this project addresses a critical health concern and ensures compliance with upcoming federal standards. It also highlights the company's commitment to sustainable practices and public health, which could enhance its corporate reputation among stakeholders.

Financial Analyst

The grant funding of up to $6.7 million alleviates significant financial pressure from Aqua Pennsylvania's balance sheet. This external funding reduces the capital expenditure that Aqua would have otherwise needed to fund through debt or equity, thereby not impacting its current financial structure. Importantly, the company has ensured that the installation will not incur additional costs to its customers, potentially safeguarding its consumer base from rate hikes and preserving customer satisfaction. Furthermore, securing such grants shows Aqua Pennsylvania's ability to leverage external funding sources, which is a positive indicator of its financial acumen and strategic planning.

Funding is part of Aqua’s commitment to remove “forever chemicals” to meet new federal standard; alleviates associated costs for ratepayers.

BRYN MAWR, Pa.--(BUSINESS WIRE)-- Aqua Pennsylvania announced today it has secured grant funding through the Pennsylvania Infrastructure Investment Authority (PENNVEST) to construct PFAS treatment at its Edgely Water Treatment facility in Bristol Township. The grant, which provides funding up to $6.7 million, will allow Aqua Pennsylvania to complete the installation of this treatment at no cost to Aqua customers.

This new facility will provide additional treatment that will remove PFAS from drinking water for about 25,000 people in Bristol Township and Bristol Borough. Aqua will install six 7-foot diameter filter vessels that will use an ion exchange media to remove PFAS and meet regulatory limits.

“We’ve been working for years on testing and removing PFAS from drinking water in the communities we serve in Pennsylvania, setting an aggressive removal target before regulations existed and now continuing to lead the way in this work to meet the new regulations,” said Aqua Pennsylvania President Marc Lucca. “This project highlights our commitment to our customers as well as our efforts to seek alternative funding to mitigate the cost impact on customers.”

Aqua’s Edgely facility treats water from nine groundwater wells in Bristol Township and Bristol Borough. Aqua was able to temporarily turn off the facility until treatment could be built. During that time, Aqua ensured uninterrupted customer service by bringing drinking water from other local sources, specifically its Bristol Water Treatment plant, which treats water from the Delaware River.

Construction on the facility is scheduled to begin in July.

About Aqua Pennsylvania 
Aqua Pennsylvania serves approximately 1.5 million people in 32 counties throughout the Commonwealth of Pennsylvania. Visit Aquawater.com for more information or follow Aqua on Facebook at facebook.com/MyAquaWater and on X at @MyAquaWater.

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” 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 in Aqua’s water and wastewater infrastructure, that it will continue to seek and receive grants and low-interest loans, and that it will receive its requested rate increase. 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 the Company’s Annual Report on Form 10-K and our Quarterly Reports on Form 10-Q, which are 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.

WTRGG

View source version on businesswire.com: https://www.businesswire.com/news/home/20240521447045/en/

Media:

Patrick Wenger

Aqua Communications Manager

O: 610.645.1175

PMWenger@aquawater.com

Source: Aqua Pennsylvania

FAQ

What is the funding amount for Aqua Pennsylvania's PFAS treatment facility?

Aqua Pennsylvania secured up to $6.7 million in grant funding from PENNVEST.

When will construction start on Aqua Pennsylvania's new PFAS treatment facility?

Construction is scheduled to begin in July.

How many people will benefit from the new PFAS treatment facility in Bristol Township?

The facility will serve approximately 25,000 residents.

What type of technology will Aqua Pennsylvania use to remove PFAS?

Aqua Pennsylvania will use ion exchange media in six large filter vessels to remove PFAS.

Will Aqua Pennsylvania's customers have to pay for the new PFAS treatment installation?

No, the grant funding ensures that the installation will be at no additional cost to Aqua's customers.

How has Aqua Pennsylvania adjusted water service during the temporary shutdown of the Edgely facility?

Aqua Pennsylvania ensured uninterrupted service by sourcing water from its Bristol Water Treatment plant.