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Press Release

PUC Investigates Possibility of Ordering Acquisition of Water Company Serving Wyoming, Luzerne Counties and a Wyoming County Sewer Company.

Published on 7/11/2007

Filed under: Water and Wastewater

HARRISBURG –The Pennsylvania Public Utility Commission (PUC) today initiated an investigation into the possibility of ordering another public utility to acquire a water company that serves customers in Wyoming and Luzerne counties and a sewer company serving customers in Wyoming County.

The Commission voted 5-0 to investigate whether or not the Commission should force the sale of W.P. Water Co. and W.P. Sanitary Co. saying that the PUC has “serious concerns regarding whether W.P. has the financial, technical and managerial ability to provide, or make improvement to provide adequate, efficient, safe and reasonable service to its customers.

Under Section 529 of the state’s Public Utility Code, the PUC – after providing the company and other parties including any acquiring companies with the opportunity for due process – may direct the acquisition of a non-viable water or sewer company by a capable public utility. The Commission’s action is in response to a petition by the state’s Office of Consumer Advocate (OCA) that called for the sale of the company to a capable public utility located nearby.

In initiating the investigation, the PUC said the company failed to appropriately respond to the Commission’s June 15, 2007 Emergency Order that required W.P. Water and Sanitary Co. to provide immediate relief to its customers who are experiencing frequent water outages and low water pressure.  The Commission and OCA have been receiving customer complaints regarding poor service, specifically outages and low water pressure.

In trying to comply with the Emergency Order, the company did not following proper permitting procedures; has not taken steps for ensuring continuous satisfactory service; and failed to advise what steps it has taken to assure that customers will have adequate alternative drinkable water supplies during low pressure and outage events.

The company provides service to about 150 customers in the development of Washington Park, Wyoming County.

The Pennsylvania Public Utility Commission balances the needs of consumers and utilities to ensure safe and reliable utility service at reasonable rates; protect the public interest; educate consumers to make independent and informed utility choices; further economic development; and foster new technologies and competitive markets in an environmentally sound manner. For recent news releases, or more information about the PUC, visit our Internet homepage www.puc.state.pa.us.

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Docket No. P-00072313

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