PURA Blocks Sale of Aquarion Water Company in Connecticut

The future of water access and affordability in Connecticut got a lot of attention this week. The state’s Public Utilities Regulatory Authority (PURA) officially shot down a proposed $2.4 billion sale of Aquarion Water Company.

Eversource Energy wanted to transfer Aquarion to a new nonprofit, the Aquarion Water Authority. But state leaders, municipal officials, and consumer advocates pushed back hard.

Find Your Ideal Getaway in Connecticut
Explore top-rated stays with no booking fees and instant confirmation. Your dream trip starts here!
Start Exploring Now

People worried about possible rate hikes, heavy debt, and weaker oversight. In the end, those concerns led to the deal’s collapse, which is a big deal for residents in places like Bridgeport, Stamford, Hartford, and Greenwich.

Why PURA Said “No” to the $2.4 Billion Sale

PURA’s decision came after critics called the proposal dangerous and risky for Connecticut’s water customers. The plan would’ve turned Aquarion into a nonprofit that shared resources with South Central Regional Water Authority in New Haven.

Eversource said the state encouraged this model through a 2024 special act. But regulators felt it was just too complicated, too expensive, and too risky for regular people.

Attorney General William Tong led the charge against the deal. He called it a “costly loser” for families and warned that rates could jump by as much as 65% in towns like Stratford, Norwalk, Trumbull, and Shelton.

Local leaders and lawmakers from both parties agreed with him. The deal just didn’t win much political support.

The Role of State Leaders and Consumer Advocates

PURA’s process involved a lot of moving parts. State officials kept pressing their case and, honestly, probably tipped the scales against the sale.

Consumer Counsel Claire Coleman argued the merger would mean too much debt and higher bills, with less public accountability. She thanked PURA for protecting consumers and keeping oversight strong.

The South Central Regional Water Authority, though, wasn’t happy with the decision. They insisted their nonprofit plan could have helped customers in cities like Meriden, Waterbury, and New Britain.

Still, most PURA commissioners didn’t buy that argument. Four of them voted against the sale.

Conflict of Interest and Voting Dynamics

PURA Chairman Tom Wiehl didn’t vote because of a possible conflict of interest. That left four commissioners, and they all said no to the deal.

This highlighted how closely regulators examined the proposal. Aquarion serves more than 750,000 people across the state, so the stakes were high.

Eversource’s Position

Eversource saw the proposal as a way to turn Aquarion into a nonprofit, which could, at least on paper, be less driven by investors. Spokesperson Sarah Paduano admitted the plan had some legislative backing, but said PURA just found it too tangled to make work.

This setback leaves Eversource at a bit of a crossroads. What happens next for water utilities in Connecticut? That’s anyone’s guess right now.

What This Means for Connecticut Residents

For now, people in Middletown, Danbury, and other towns can breathe a little easier. Their water rates aren’t about to jump by 65% overnight.

PURA’s ruling shows how important oversight is in big utility deals. It also highlights the tricky balance between public ownership, keeping water affordable, and making sure infrastructure holds up.

Protection against significant water rate increases—avoiding the feared 65% hike suggested by opponents.
Preservation of regulatory oversight—keeping an eye on utility service standards.
Prevention of increased debt loads—shielding customers from financial burdens linked to the sale.
Support for consumer advocacy—acknowledging the work of the Office of Consumer Counsel and other advocates.

Moving Forward

The sale’s on pause for now, but the debate over water utility ownership and converting to nonprofit models isn’t going anywhere. Lawmakers, city officials, and advocacy groups will probably keep digging for ways to make water service affordable and reliable across Connecticut, whether you’re out in rural Litchfield or packed into Fairfield.

Right now, PURA’s decision makes one thing obvious: big proposals like this need to prove real benefits for customers. Nobody wants surprise bills or less public oversight. Water’s essential in Connecticut, and honestly, so is making sure everyone can count on it.

Here is the source article for this story: PURA denies sale of Aquarion Water Company

Discover Your Perfect Stay in Connecticut
Find available hotels and vacation homes instantly. No fees, best rates guaranteed!
Check Availability Now