CWA adds desal projects to eligible supply incentive program

The San Diego County Water Authority board authorized revisions to the SDCWA’s Local Water Supply Development Program which will make seawater desalination projects eligible for the incentive program.

The CWA’s February 28 board approval also approved guidelines and funding principles for brackish groundwater and seawater desalination projects covered by the Local Water Supply Development Program.

The Local Water Supply Development Program provides financial incentives to CWA member agencies to develop reliable local supplies which currently are more expensive than the cost of water purchased from the CWA.

The program promotes development of supply projects which prevent or reduce demand for imported water, and the maximum incentive for such projects is currently $200 per acre foot.

In November 2006, when the CWA board increased the maximum incentive level from $147 per acre foot, the program was expanded to include brackish groundwater recovery.

That November 2006 approval also directed CWA staff to work with interested member agencies to develop terms for eligibility, definition of financial need, and other program guidelines specific to brackish groundwater recovery projects.

The discussion between CWA staff and member agency staff included revising the eligibility criteria to include local seawater desalination projects.

The principles and guidelines for the Local Water Supply Development Program state that financial need will be based on a comparison of the agency’s cost of production and delivery compared to the CWA’s treated water rate.

Any Federal, state, or Metropolitan Water District funding will be subtracted from the calculation of the agency’s net cost.