Essential Utilities’ Aqua Pennsylvania Agrees to Purchase Greenville Water System for $18 Million
Transaction builds on more than $335 million in current purchase agreements; follows wastewater system purchase in May
BRYN MAWR, Pa., October 04, 2023--(BUSINESS WIRE)--Essential Utilities today announced its Aqua Pennsylvania subsidiary signed a purchase agreement to acquire the water system in Greenville, PA for $18 million. The transaction is expected to close in the third quarter of 2024.
The water treatment plant and distribution system are currently operated by the Greenville Municipal Water Authority. The system consists of 40 miles of main line in Greenville, Hempfield Township and West Salem Township with nearly 3,000 service connections.
"Although the system is in relatively good condition, we’re not poised to meet new and evolving regulatory and environmental requirements in the years ahead," said Greenville Municipal Authority Board Chair Tom Strahler. "We need to plan ahead and ensure the system is in capable hands for the long term. We knew Aqua – a trusted and professional partner – could manage the required upgrades and operate the system safely and effectively for years to come."
The transaction builds on Essential’s strategy to invest in system operations, employees and infrastructure that deliver clean, safe, reliable natural resources to residential and business customers, including water and wastewater services, with a focus on positively impacting the environment.
$10 million in planned investments in 10 years
Essential plans to invest more than $10 million in the water system within the next 10 years to meet regulatory, environmental and cybersecurity demands. All Greenville Municipal Authority employees will be offered employment at Aqua, pending the company’s standard hiring practices.
"We have a long-established working relationship with the Greenville Water Authority, as well as the expertise and technical resources to manage the system’s future needs," said Essential Chairman and CEO Chris Franklin. "We look forward to expanding in the region and providing clean, safe, reliable water and wastewater services to the residents of Greenville and surrounding communities."
The Greenville water system is the second purchase agreement to be signed by Aqua Pennsylvania this year, following the announcement to acquire Greenville’s wastewater system in May. Including Greenville water, Essential’s Aqua companies have signed five purchase agreements for water and wastewater systems. Together these systems represent over 211,000 equivalent retail customers or equivalent dwelling units with nearly $354 million in purchase price. So far in 2023, the company has acquired seven water and wastewater systems, adding more than 11,000 new customers or equivalent dwelling units to the company’s footprint.
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.
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