Aqua Pennsylvania Acquires Greenville Sanitary Authority Wastewater System in Mercer County, PA

Aqua Pennsylvania Acquires Greenville Sanitary Authority Wastewater System in Mercer County, PA

Essential Utilities, Inc. (NYSE: WTRG) has officially announced the completion of its Aqua Pennsylvania subsidiary’s acquisition of the Greenville Sanitary Authority’s wastewater system in Mercer County, Pennsylvania. The $18 million purchase encompasses wastewater services for customers in Greenville Borough, Hempfield Township, and West Salem Township. The acquisition was approved by the Pennsylvania Public Utility Commission (PUC) on December 12, 2024.

This transaction is particularly notable as it is the first acquisition approved by the Pennsylvania PUC since it implemented improvements to the fair market value statute that was initially passed in 2016. The enhancements to this regulatory framework are expected to reenergize Pennsylvania’s municipal acquisition market in 2025, enabling more streamlined transactions and improved services for residents.

Commitment to Long-Term Investment and Service Improvements

Essential Utilities, Inc. has expressed its commitment to ensuring safe, efficient, and reliable wastewater services for its newly acquired customers in Mercer County. Christopher Franklin, Chairman and CEO of Essential Utilities, highlighted the company’s dedication to long-term investment in critical infrastructure.

“We are well-positioned and deeply committed to making the necessary investments that will enhance the reliability and safety of wastewater services for customers in Mercer County,” said Franklin. “We’re happy to welcome these new customers to the Essential family and look forward to delivering the high-quality service that Aqua Pennsylvania is known for.”

Aqua Pennsylvania has announced a $20 million investment over the next ten years to upgrade and modernize the system. These planned improvements will address a range of safety, operational, and environmental challenges currently affecting the wastewater infrastructure. Some of the key areas that will receive attention include:

  • Storage, labeling, and dechlorination compliance – Ensuring that chemical handling and treatment processes meet regulatory safety standards.
  • Ventilation improvements at wastewater treatment facilities – Upgrading systems to enhance air quality and worker safety.
  • Emergency and standby power generation – Addressing current inadequacies to ensure resilience in the event of power outages.
  • Permit compliance – Bringing the system into full regulatory compliance with Pennsylvania Department of Environmental Protection (DEP) standards.

Cost Savings and Efficiency Gains

The improvements planned by Aqua Pennsylvania represent a significant cost savings for local residents compared to previous municipal estimates. Under the Greenville Sanitary Authority, meeting the DEP’s Consent Order Agreement requirements was projected to cost approximately $40 million. However, with Aqua Pennsylvania’s expertise and economies of scale, these critical upgrades will be completed for less than half that cost, saving customers more than $20 million in anticipated expenses.

Marc Lucca, President of Aqua Pennsylvania, emphasized the company’s ability to leverage industry expertise to enhance efficiency and reduce financial burdens on residents.

“Our extensive experience in wastewater management allows us to implement necessary improvements at a fraction of the cost that would have been borne by the authority and its customers,” Lucca stated. “The repairs and upgrades we will make to Greenville’s wastewater system are not only cost-effective but will also ensure better reliability, compliance, and environmental stewardship.”

Customer Benefits and Transition Plan

One of the most pressing concerns for customers following such acquisitions is potential rate changes. Aqua Pennsylvania has reassured residents that their base rates will not change immediately following the transition. Any future rate adjustments will be subject to review and approval by the Pennsylvania PUC, ensuring a transparent process that considers customer affordability.

Furthermore, customers who qualify for financial assistance will now have access to Aqua’s Customer Assistance Program (CAP), which provides support to low-income households struggling to pay their sewer bills. In addition, residents can apply for aid through Aqua Aid, a hardship fund designed to provide emergency assistance to those in need.

As part of the transition, Aqua Pennsylvania will communicate directly with residents to provide information about service schedules, billing processes, emergency contact details, and any procedural changes they should be aware of. These communications will ensure a seamless handover and minimize any disruption in services.

A Growing Portfolio of Acquisitions

This acquisition marks the fourth water and wastewater system purchase by Essential Utilities, Inc. within the past year. Through these transactions, the company has added approximately 2,600 new customers, equivalent to 4,520 equivalent dwelling units (EDUs).

The growing trend of municipal wastewater system acquisitions is driven by the increasing financial and regulatory challenges faced by small, local authorities. Many municipalities struggle to maintain and upgrade aging infrastructure, comply with stringent environmental regulations, and manage operational costs effectively. By transferring ownership to larger utilities like Aqua Pennsylvania, communities can benefit from improved service, enhanced reliability, and lower long-term

Aqua Pennsylvania is a subsidiary of Essential Utilities, Inc. and is one of the leading providers of water and wastewater services in Pennsylvania. The company currently serves approximately 1.5 million residents across 32 counties. Aqua Pennsylvania is dedicated to delivering high-quality water and wastewater services through sustainable practices and ongoing infrastructure investments.

For more information about Aqua Pennsylvania, visit AquaWater.com or follow the company on social media:

  • Facebook: @MyAquaWater
  • X (formerly Twitter): @MyAquaWater

Essential Utilities, Inc.

Essential Utilities, Inc. (NYSE: WTRG) is one of the largest publicly traded utility companies in the United States, providing essential water, wastewater, and natural gas services to approximately 5.5 million people across nine states. The company operates under the Aqua and Peoples brands and is committed to sustainable growth, operational excellence, and providing an exceptional customer experience.

In addition to its focus on utility services, Essential Utilities is actively engaged in environmental stewardship, managing over 7,600 acres of protected land, including forests and other natural habitats. The company is dedicated to ensuring safe, clean, and reliable services that improve the quality of life for individuals, families, and communities.

With the successful acquisition of the Greenville Sanitary Authority wastewater system, Aqua Pennsylvania is poised to enhance wastewater services in Mercer County through strategic investments and operational improvements. The company’s commitment to regulatory compliance, customer support, and sustainable infrastructure development ensures a brighter future for residents in Greenville Borough, Hempfield Township, and West Salem Township.

As Pennsylvania’s municipal acquisition market continues to evolve, Essential Utilities, Inc. remains at the forefront of providing cost-effective, environmentally responsible, and customer-focused solutions for water and wastewater management. The Greenville acquisition is a testament to the company’s ability to deliver on these commitments while supporting the long-term needs of communities across the state.

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