Georgia lawmakers have approved a change in state law that will enable a private utility to offer water service for new homes near Hyundai's forthcoming electric vehicle (EV) plant without prior approval from local governments. The state Senate passed House Bill 1146 by a vote of 32-22 on the final day of the legislative session, sending it to Governor Brian Kemp for signing.
Hyundai initiated construction on its first U.S. factory dedicated to EVs in October 2022, with plans to start manufacturing cars by the end of this year. The $7.6 billion EV plant in Bryan County, west of Savannah, is expected to employ 8,500 workers, making it the largest economic development project in Georgia's history.
Advocates of the bill argue that the legislation is crucial to expedite home construction in Bryan County to meet the demand generated by Hyundai's plant. They claim that the county's existing water system is insufficient to support the area's housing needs, prompting the need for private utility involvement.
Opponents of the bill contend that allowing private utilities to bypass local governments undermines water resource management in Georgia's rapidly growing coastal region. Concerns have been raised about potential violations of safe drinking water regulations designed to safeguard consumers.
The bill's passage would grant private utilities temporary authority to provide water service without local government consent, with the provision set to expire at the beginning of 2029. The measure aims to address water supply challenges faced by projects seeking water from coastal aquifers, affecting various regions in southern Georgia.
Water Utility Management, a Savannah-based private water provider, has lobbied for the bill's approval, citing the need to prevent county interference in private water systems. The company asserts that the legislation would facilitate timely water supply for residential developments near the Hyundai plant.
The bill's sponsor, Rep. Ron Stephens, has highlighted the impact of state-imposed water withdrawal limits on Bryan County's ability to accommodate Hyundai's workforce. The county is currently expanding its water and sewer system to serve the plant and surrounding residences, with completion expected next year.
The debate over water service expansion in Bryan County stems from restrictions imposed by the Georgia Environmental Protection Division in 2013 to mitigate excessive water pumping from the Floridan aquifer. These restrictions have prompted efforts to secure alternative water sources, including drilling wells in neighboring counties to meet the demands of major industrial projects like Hyundai's EV plant.
