Job Growth Flows With Water Infrastructure Spending

VOORHEES, N.J.--(BUSINESS WIRE)--New Jersey American Water’s plans to invest approximately $1.3 billion in water infrastructure upgrades over the next five years will create more than 20,000 employment opportunities. Speaking at the New Jersey Alliance for Action on Tuesday, New Jersey American Water President Bill Varley discussed how energizing New Jersey’s economy is dependent on continued renewal of the state’s aging water infrastructure.

“For every $1 million we invest in water systems, five direct jobs are created and 11 indirect jobs are created,” said Varley. “Since 2012, New Jersey American water has spent more than $270 million in water main projects.”

“We have nearly 9,000 miles of main in the ground, about 15 percent of which is approaching a hundred years old or older and in need of renewal. We have stepped up our investment because simply waiting for pipes to break is not an option. Emergency repairs can easily cost ten times the price of proactively renewing the infrastructure.”

In the past two years, New Jersey American Water has completed 525 infrastructure projects, replacing approximately 160 miles of water main.

This accelerated effort is possible due to a distribution system improvement program developed by the New Jersey Board of Public Utilities. The program to accelerate renewal of the state’s aging water infrastructure was developed by the BPU following a lengthy public stakeholder process that lasted almost two years. The program’s infrastructure projects are funded through a Distribution System Improvement Charge that appears as a separate item on customers’ bills.

New Jersey American Water, a wholly owned subsidiary of American Water (NYSE: AWK), is the largest investor-owned water utility in the state, providing high-quality and reliable water and/or wastewater services to approximately 2.5 million people. Founded in 1886, American Water is the largest publicly traded U.S. water and wastewater utility company. With headquarters in Voorhees, N.J., the company employs approximately 6,600 dedicated professionals who provide drinking water, wastewater and other related services to an estimated 14 million people in more than 40 states and parts of Canada. More information can be found by visiting www.amwater.com.