Skip to main content

Chester County Press

Chester Water Authority board calls on DELCORA to cancel sale to Aqua

Noël Brandon, the chair of the Chester Water Authority (CWA) board, called on DELCORA to cancel the long-stalled 2019 agreement to sell its sewer system to Aqua Pennsylvania, citing changed circumstances, massive projected rate increases, and Aqua’s proposed acquisition by American Water. Brandon sent a direct letter to the Delaware County Regional Water Quality Control Authority (DELCORA) board.

A press release from the Chester Water Authority board stated, “Six years after DELCORA signed an Asset Purchase Agreement with Aqua, the sale has still not closed. In that time, every major justification cited in 2019 to support the sale has become moot. The costly tunnel project DELCORA sought to avoid is no longer needed. DELCORA’s concern that it would face an unaffordable renewal of its contract with the Philadelphia Water Department has proven unfounded. DELCORA renewed that contract in 2023 on highly favorable terms that extend well beyond 2028. The ‘rate stabilization trust’ promoted by Aqua and DELCORA as a safeguard against rate shocks is illusory and unenforceable, offering no real protection to ratepayers. 

“While the original rationale for the sale has collapsed, the harm to ratepayers has only intensified. DELCORA customers currently pay approximately $33.28 per month for average residential sewer service. Aqua charges $103.09 per month for the same usage—more than a 300% increase. If the sale closes, DELCORA ratepayers will be forced onto Aqua’s substantially higher rates, with ongoing compounding increases and no corresponding improvement in service.”

The statement continued, “The risk has grown following Aqua’s 2025 announcement that it intends to be acquired by American Water. American Water’s comparable residential rate is $133.16 per month, more than 30% higher than Aqua’s and over 400% higher than DELCORA’s current rates. If American Water acquires Aqua and then completes the acquisition of DELCORA, ratepayers will ultimately be shifted to these higher rates. In addition, American Water currently has a rate case in front of the Public Utility Commission (PUC). If granted, rates will soar even higher.  

“These outcomes were never contemplated in 2019 and are plainly against the public interest,” noted Brandon. “A 300%, 400%, or greater rate increase for the same service cannot be justified.”

The proposed Aqua–American merger creates a clear opportunity for DELCORA to walk away from the deal. The 2019 agreement prohibits assignment to American Water and allows DELCORA to terminate the contract upon a “material adverse event.” Aqua’s failure to close the transaction after six years, combined with the prospect of American Water’s merger and higher rates, constitutes a “material adverse event.”

CWA is urging DELCORA’s board to cancel the agreement and to file a protest with the Pennsylvania PUC, which is currently accepting public comment on the Aqua–American merger (Docket # A-2025-3058927). All ratepayers of DELCORA and all townships and boroughs that use DELCORA are encouraged to make a formal complaint or comments on the application.

In addition to higher rates, privatization of the sewer services would eliminate all local public accountability. 

Margo Woodacre, a New Garden Township resident and current Aqua sewer ratepayer said, “Aqua’s takeover meant higher bills and no one local to turn to for help. I do not wish our fate on DELCORA’s ratepayers. It’s a constant fight for fairness and transparency with a private multi-billion dollar company that answers to CEOs and shareholders. DELCORA’s board must do right by their ratepayers and cancel this sale.”

DELCORA, a public entity, would be governed by a for-profit monopoly accountable to shareholders, not a locally appointed public board of ratepayers as it is now. CWA, which is a DELCORA ratepayer and currently assists in resolving customer shut-off issues, would no longer play a role, leaving customers to deal solely with a private utility. 

“The circumstances have fundamentally changed,” Brandon concluded. “DELCORA should act in the best interests of ratepayers and the community, cancel this ill-advised agreement, and keep DELCORA in public hands.”