Public Utilities Reports

PUR Guide 2012 Fully Updated Version

Available NOW!
PUR Guide

This comprehensive self-study certification course is designed to teach the novice or pro everything they need to understand and succeed in every phase of the public utilities business.

Order Now

Federal Drinking Water Act Seen Favorable to IOUs

Fortnightly Magazine - November 15 1996

According to Standard & Poor's (S&P), the recently reauthorized federal Safe Drinking Water Act should have a favorable, long-term credit impact on investor-owned water utilities.

The new act requires the Environmental Protection Agency to give states the flexibility to modify testing and monitoring requirements based on a local water system's actual health-risk exposure. The act will also form a state revolving fund program, which will assist small water systems in complying with regulations and in conducting other drinking water projects. But according to S&P, the modest $7.6-billion, eight-year fund will not be not enough to help small, private, and municipal water systems finance the total cost of complying with water-quality standards and upgrading deteriorating water infrastructure.

S&P believes that given the limited financial and technical resources typically found in small, private, and municipal water systems, investor-owned water utilities are uniquely positioned to help the systems meet existing and future compliance, and will benefit by leveraging assets to assist small water utilities.


Articles found on this page are available to Internet subscribers only. For more information about obtaining a username and password, please call our Customer Service Department at 1-800-368-5001.