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American Water (AWK) Unit To Purchase Sewer Assets For USD 231 Million

WD News: Pennsylvania American Water, a subsidiary of American Water (AWK), has signed an agreement with the Butler Area Sewer Authority (BASA) to purchase its wastewater system for US 231.5 million.

The system serves nearly 15,000 customers over 32.5 square miles. Pennsylvania American Water is already the drinking water service provider to approximately 19,500 customers in the region, and its predecessor companies have served the Butler area since the late 1800s.

“This agreement was achieved through a collaborative process between all parties and tailored to meet the specific needs of residents, BASA employees, and infrastructure of the wastewater system,” said Pennsylvania American Water President Mike Doran.

Pennsylvania American Water is already the drinking water service provider to approximately 19,500 customers in the region.

The company will also petition the Pennsylvania Public Utility Commission (PUC) for approval to initiate a pilot program allowing the company to replace broken customer sewer laterals.

“Since the beginning of this process, our board prioritized the needs of our employees and customers,” said Paul Sybert, Chairman of BASA’s Board of Directors.

Upon taking ownership, Pennsylvania American Water will make necessary treatment and collection system upgrades to improve the wastewater system which are expected to total more than USD 75 million. Specifically, the company plans to make significant investments in improving and replacing pump stations, making electrical, safety and treatment improvements at the treatment plant, conducting a system wide infiltration & inflow assessment, conducting a system wide inspection and cleaning of sewer collection mains and manholes, and replacing certain sewer mains, among other projects.

Source & Photo: American Water

 

 

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