Poseidon gains approval for revised terms on Huntington Beach project

Orange County Water District has approved an updated term sheet including a revised water purchase agreement with Poseidon Water for the Huntington Beach Desalination Plant project.

The proposed desalination facility will be located along the Pacific coast at Huntington Beach, southern California

The proposed desalination facility will be located along the Pacific coast at Huntington Beach, southern California

The new agreement includes amendments that have been welcomed by ratepayers’ lobby groups. They are:

  • A new cost-of-service pricing structure that is expected to provide a lower cost of water compared to imported water;
  • A 30 or 35 years water purchase agreement, down from 50 years;
  • Option for Poseidon to finance and construct the delivery system; and
  • Option for OCWD to purchase the plant after five or seven years, down from 30 years.


Poseidon will now continue through the permitting process, with the aim to finalise a contract on the proposed 189,250 m3/d desalination plant, for approval by OCWD by 30 June 2019.


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