News Briefs: California Wineries Now Under Statewide Wastewater Regulations

Also in this week's sewer and water news, Fitch Ratings reports that the new Lead and Copper Rule could raise costs for utilities

Wineries in California will now be under statewide wastewater regulations in an effort to protect waterways. It marks a change from the state’s previous approach that left it up to regional authorities.

The State Water Resources Control Board finalized the regulations, which will affect wastewater processes at more than 3,600 wineries in California.

For more information, read the Associated Press report.

Xylem Donates 300,000 PPE to Essential Workers

Xylem, a leading global water technology company, has donated and delivered more than 300,000 pieces of PPE to frontline workers in 2020, working alongside its partners. The equipment went to healthcare facilities and to water utility operators working to keep essential services flowing in local communities.

In March, Xylem began re-purposing some internal manufacturing capacity, including 3D printing and injection molding, to develop protective face shields for essential workers. The program continued through the 2020, as Xylem worked with distribution partners to deliver 150,000 shields across the United States, Europe and Latin America.

New Lead and Copper Rule Could Raise Costs for Utilities 

The Environmental Protection Agency’s new Lead and Copper Rule is not expected to impact utility credit quality over the near-term, but it could have a material effect on certain water utilities’ capex and credit profiles over the medium- to long-term, particularly for those utilities that serve communities with a large proportion of older homes and buildings that will likely require greater lead service line remediation, Fitch Ratings says.

The LCR is expected to raise near-term operational costs for all utilities and negatively affect capital budgets in the longer term as LSLs are identified and replaced. Overall, the EPA expects annual costs to implement the LCR to be as much as $839 million, up to 80% more than the prior rule, with most of these costs borne by the water utilities. The increased costs of monitoring, outreach and lead service line replacement may crowd out other operating costs and infrastructure projects and could lead to higher rate increases than currently anticipated by utilities, heightening concerns in the industry over service cost affordability.



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