MECHANICSBURG, Pa., May 1, 2026 /PRNewswire/ -- Pennsylvania American Water reinforces the need for long-term investments in U.S. water infrastructure following the release of a new report from the American Water Works Association (AWWA). The report, titled Beyond the Replacement Era: Balancing Compounding Infrastructure Needs with Household Affordability, finds that $2.1-$2.4 trillion is required over the next 25 years to sustain and modernize the nation's drinking water systems, underscoring both the accelerating costs of delivering safe, reliable water and the growing pressure on household affordability.

"The AWWA report reflects the reality that delivering high-quality water to customers and communities in Pennsylvania and across the nation is growing more complex due to evolving standards, aging systems and rising industry demands," said Pennsylvania American Water President Justin Ladner. "Pennsylvania American Water is committed to investing more than $631 million in 2026 to modernize infrastructure, strengthen resilience and support safe, clean, reliable and affordable water and wastewater services for more than 2.5 million Pennsylvanians."

American Water, the parent company of Pennsylvania American Water, maintains its commitment to invest up to $48 billion over the next ten years to modernize infrastructure, strengthen resilience and support safe, reliable service for more than 14 million people nationwide. In 2025, Pennsylvania American Water invested $722 million in water and wastewater infrastructure across the state. These investments support system reliability, enhance water quality and strengthen resilience against extreme weather and other emerging challenges.

These national findings reflect challenges utilities are actively managing in Pennsylvania:

• A structural shift in costs: Utilities manage compounding pressure beyond infrastructure replacement, including regulatory requirements, climate resilience, cybersecurity and treatment of more complex water sources.

• Rising affordability pressures: Household water bills could more than double by 2050 if the funding gap is addressed primarily through rate increases.

• The importance of financing tools: Programs like State Revolving Funds (SRF) and Water Infrastructure Finance and Innovation Act (WIFIA) remain critical to supporting investment while helping maintain affordability.

Pennsylvania American Water supports policies and partnerships at the local, state and federal levels that enable continued investment while helping to manage customer costs. This includes access to customer assistance programs, infrastructure funding and solutions that support affordability for customers.

Pennsylvania American Water emphasizes that addressing these cost pressures requires a long-term, balanced approach – one that balances critical infrastructure investment with affordability for customers in Pennsylvania and across the country.

To learn more, the full report is available here.

About American Water
American Water (NYSE: AWK) is the largest regulated water and wastewater utility company in the United States. With a history dating back to 1886 and celebrating 140 years in 2026, We Keep Life Flowing® by providing safe, clean, reliable and affordable drinking water and wastewater services to approximately 14 million people with regulated operations in 14 states and on 18 military installations. American Water's approximately 7,000 talented professionals leverage their significant expertise and the company's national size and scale to achieve excellent outcomes for the benefit of customers, employees, investors and other stakeholders. For more information, visit amwater.com and join American Water on LinkedIn, Facebook, X and Instagram.

About Pennsylvania American Water
Pennsylvania American Water, a subsidiary of American Water, is the largest regulated water utility in the state with approximately 1,200 dedicated employees working to provide safe, clean, reliable and affordable water and wastewater services to approximately 2.5 million people.

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SOURCE American Water