PACIFIC GROVE, Calif.--(BUSINESS WIRE)--
California American Water has submitted a grant application to the
California Department of Water Resources seeking $1 million to help fund
the installation of a $3-million slant test well, which is needed for
its proposed desalination project. The company is applying for the
maximum amount the grant program allows for a pilot or test project.
The grant monies are available from Proposition 50, the Water Security,
Clean Drinking Water and Coastal and Beach Protection Act of 2002.
Utilities such as California American Water are eligible for the
funding, which is designated to support projects that advance
desalination as part of California’s water supply.
“This funding would help reduce costs to our customers,” said California
American Water President Robert MacLean. “We have been tracking this
opportunity for some time. I can’t imagine anyone has a better fit. If
we are awarded this grant, it would fulfill the State’s objective and
provide a direct benefit to the Monterey Peninsula community.”
California American Water is moving forward with the Monterey Peninsula
Water Supply Project, a multi-sourced approach to solving the Monterey
Peninsula’s perennial water shortage and reducing pumping from the
Carmel River. The largest component of the project is a either a 6.4 or
9.6 million gallon per day desalination plant that would draw seawater
from slant wells that are buried in the sand and extend beneath the
ocean floor. Slant wells, also called subsurface intakes, are the
preferred technology of California permitting agencies, including the
State Water Resources Control Board and the California Coastal
Commission. The Monterey Bay National Marine Sanctuary and the National
Oceanic and Atmospheric Administration recently issued guidelines for
desalination projects within the sanctuary and directed any project
proponent to pursue subsurface intakes where feasible. The company is
building a slant test well to determine the feasibility of the slant
well construction techniques in addition to determining the quantity and
quality of the source water that can be drawn from the well.
The company’s grant application adds to a robust cost saving plan
embedded in the project, which includes low-interest State Revolving
Fund loans and an innovative proposal to accept a local public agency
contribution of either $78 or $99 million, depending on the plant size.
The total project cost is currently estimated at $277 or $320 million,
depending on the plant size. Construction of the test well is estimated
at $3 million. California American Water plans to begin construction of
the test well in November of this year. The larger project is expected
to be complete in late 2018.
For more information on this and other news and updates about this
project, please visit the project website at www.watersupplyproject.org.
California American Water, a subsidiary of American Water Works Company,
Inc. (NYSE: AWK), provides high-quality and reliable water and/or
wastewater services to approximately 600,000 people.
Founded in 1886, American Water Works Company is the largest publicly
traded U.S. water and wastewater utility company. With headquarters in
Voorhees, N.J., the company employs approximately 6,700 dedicated
professionals who provide drinking water, wastewater and other related
services to an estimated 14 million people in more than 30 states, and
parts of Canada. More information can be found by visiting www.amwater.com.
California American Water
Source: California American Water