Aqua Pennsylvania completes $18 million purchase of Greenville Sanitary Authority wastewater system
Essential Utilities, Inc. announced on February 1, 2025, its Aqua Pennsylvania subsidiary has finalized its $18 million purchase of the Greenville Sanitary Authority’s wastewater system in Mercer County, Pennsylvania.
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 in a press release. “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 in a press release. “The repairs and upgrades we will make to Greenville’s wastewater system are cost effective and will improve reliability and performance.”
According to a press release, 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).