Global Water Resources Ekes Higher on Recent Legislation
Global Water Resources, Inc. (NASDAQ: GWRS) shares began Wednesday in the green. The Phoenix-based company, a pure-play water resource management concern, today recognized the recent passage of Arizona’s Assured Water Supply “Ag-to-Urban” program as a transformative development for water sustainability, housing, and economic growth across the state.
The program allows landowners who cease agricultural operations to convert their water rights to the municipal sector for use in new development.
By supporting the conversion of irrigated agricultural land—historically consuming an average of 3.8 acre-feet of water per acre annually in Phoenix Active Management Area (AMA) and 3.0 acre-feet in the Pinal AMA—into residential uses that require only a fraction of that volume, the program directly alleviates pressure on aquifers while enabling new development opportunities.
The initiative is expected to significantly benefit the company’s Global Water – Santa Cruz Water Company, Inc. (GW-Santa Cruz) and Global Water – Palo Verde Utilities Company, Inc. (GW-Palo Verde) utilities that provide water, wastewater and recycled water services in Pinal County, Arizona.
These two utilities are the company’s largest, collectively representing more than 56,000 active service connections in and around the City of Maricopa which represents approximately 87% of the company’s total active service connections.
GWRS shares captured 18 cents, or 1.8%, to $10.26.
