American Water Reinforces Need for Long Term Investments as AWWA issues New Report on U.S. Water Systems

CAMDEN, N.J., April 13, 2026 /PRNewswire/ -- American Water (NYSE: AWK), the largest regulated water and wastewater utility company in the U.S., reinforces the need for long-term investments in U.S. water infrastructure following the release of a new report from American Water Works Association (AWWA). The report, titled 

, 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 increasing pressure on household affordability.



"The AWWA report reflects the reality that delivering high-quality water is growing more complex due to aging systems and evolving standards," said . "American Water is committed to investing up to $48 billion over the next ten years to modernize infrastructure, strengthen resilience and support safe, clean, reliable and affordable water and wastewater services for approximately 14 million people nationwide. Our focus is on making the right investments, while leveraging our scale, size and expertise to continue to deliver long-term value for our customers and communities." 

Key findings from the report include:

• 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.  
• A widening investment gap:
  Current annual capital investment of $33.6 billion falls short of the approximately $90.2 billion needed, creating a $56.6 billion annual gap. 
• Rising affordability pressures:
  Household water bills could more than double by 2050 if the funding gap is not addressed
• The importance of Federal infrastructure programs:
   Programs like State Revolving Funds (SRF) and Water Infrastructure Finance and Innovation Act (WIFIA) remain critical to supporting investment while helping maintain affordability.

American Water emphasizes that addressing these cost pressures requires a long-term approach that balances infrastructure investment with affordability.

 adds, "American Water is committed to providing safe, reliable service, while keeping customer affordability a priority. We also continue to work with local and federal leaders to provide expertise and investment in communities that need to strengthen their water systems. Communities across the country are faced with remediating emerging contaminants, system resiliency and aging infrastructure—it all needs to be addressed. The solution is an 'and' not 'or' approach that requires the public and private sectors to work together."

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.

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SOURCE American Water