Poseidon Water Purchase Agreement: Private Profit, Public Risk

Coastal Environmental Rights Foundation, California Coastal Protection Network, Surfrider Foundation – San Diego Chapter and Orange County Coastkeeper, ocean conservation organizations active in Southern California and focused on sustainable, responsible local water supply, have released an in-depth briefer on the local history and current status of the Carlsbad desalination project.

The San Diego County Water Authority (SDCWA) is signing a 30-year “take or pay” contract with Poseidon for at least 48,000 (and up to 56,000) acre-feet of water per year. This amounts to $115 million per year, or $3.5 billion for the initial 30-year term of the contract. Though this $3.5 billion has yet to be accurately translated as a rate increase to end users, ratepayers can expect their water bills to increase by a minimum of 8-11 percent. With no firm cap either in the cost to purchase the water or the price the consumer is required to pay, water bills will likely go up well beyond this estimate.

The briefer is available here:Joint SDCWA Briefer (pdf)

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