Turn wastewater into a lifesaving supply for water-stressed communities
The Colorado River is the lifeblood of communities and economies across seven states, all facing high or extremely high water stress. Arizona tops the list as the most water-stressed state in the country. With demand for water increasing and supply steadily decreasing, communities across Arizona are grappling with aquifer restrictions and declining water allocations.
As the population grows, more water is needed, not less, so the state needs new solutions. One sustainable strategy to enhance Arizona’s long-term water security is treating and recycling wastewater for potable reuse. Safely treating wastewater to a high quality suitable for drinking ensures that every drop of water is used twice, preventing waste, conserving freshwater sources, and ensuring a sustainable supply.
Modern financing models, such as leasing and Water-as-a-Service® (WaaS®), allow utilities to quickly deploy permanent reuse systems without the heavy burden of upfront capital, building resilience in a short time.
The Case for Potable Reuse in Arizona
With minimal surface water available, Arizona has relied heavily on groundwater, which supplies 41% of the state’s water. Cities were using groundwater faster than it was replenished, so to prevent depletion, cities are heavily restricted. In the Tucson, Phoenix, and Prescott active management areas, the amount of water withdrawn may not exceed the amount refilled annually.
These rules mean that cities and developers can’t simply drill deeper or draw more without proving long-term sustainability. If unable to prove that a 100-year supply will be continuously available, cities and developers may proceed with subdivisions but must notify the purchasers of the first lots that the water supply is not guaranteed, or they may be sold as dry lots, where the owners provide their own water.
Meanwhile, drought has forced historic cuts to Colorado River allocations, a lifeline that historically has contributed 36% of Arizona’s water. With less surface water available and groundwater pumping limited, the pressure is mounting, and demand continues to grow. Phoenix, Tucson, and fast-growing suburbs are adding new homes, businesses, and industries. With conventional water supplies dwindling, it’s clear that an alternative is desperately needed.
Potable reuse offers a sustainable, long-term solution. By treating wastewater to drinking water standards, communities can create a reliable, locally controlled supply that isn’t vulnerable to river allocations or aquifer depletion.
Policies and Regulations
Arizona has taken steps to implement potable reuse as part of its water strategy. The Arizona Department of Environmental Quality recently released a draft rule for its Advanced Water Purification Program to establish regulations for direct potable reuse, creating clear guidelines for utilities.
While public acceptance of potable reuse historically has been cool, the initial skepticism is giving way to growing support as communities learn more about the safety of advanced treatment technologies and see successful examples across the United States and globally.
Decentralized and Modular Potable Reuse Systems

Decentralized, modular potable reuse systems are changing the game. Unlike traditional infrastructure projects that take years to design and build, these factory-built systems can be installed and producing safe drinking water in just months. The modular design allows them to be easily scaled, giving utilities and developers the flexibility to start with a small system and add capacity as demand increases, avoiding the cost and risk of overbuilding.
The compact design of these systems allows them to be deployed in dense urban neighborhoods and new master-planned developments, or even as add-ons to existing plants. They deliver water exactly where it’s needed without the expense associated with large, centrally located treatment plants and extensive pipelines.
Advanced treatment technologies such as membrane bioreactors, reverse osmosis, ultraviolet disinfection, and advanced oxidation processes within these systems produce high-quality drinking water that consistently meets or exceeds the strictest regulatory standards. For a state experiencing fast growth and dwindling water supplies, modular potable reuse offers a practical and viable solution.
Financing Pathways: Leasing and WaaS®
A key benefit of decentralized water reuse systems is that they are pre-engineered, can be installed quickly, and are affordable. Seven Seas’ financing options make these systems readily accessible, even for municipalities and utilities working on tight budgets.
- Lease Plant Program: Seven Seas’ Lease Plant Program requires zero upfront capital for pre-engineered modular wastewater treatment systems and empowers communities to manage their potable reuse facilities onsite with their own operators or Seven Seas’ water professionals.
- Water-as-a-Service® (WaaS®): With our Water-as-a-Service® option, Seven Seas designs, builds, owns, and operates the water reuse system for a monthly fee based on the quality and quantity of water delivered.
Both financing models require no upfront investment, eliminating the bonding requirements and capital hurdles typically associated with large infrastructure projects. This makes them ideal for municipalities and developers who need permanent reuse infrastructure without waiting years for budget cycles and approvals.
Applications for Potable Water Reuse in Arizona
Some of the most promising applications for potable reuse in Arizona include these.
- Phoenix and Tucson suburbs: Rapidly expanding master-planned communities need reliable, long-term water supply guarantees to secure approvals and attract homebuyers. Potable reuse systems provide a sustainable, locally controlled source of drinking water that grows with the community.
- Rural municipalities: Smaller towns and rural communities often lack the budget for large-scale infrastructure projects. Modular potable reuse systems can be deployed in phases, allowing them to scale affordably with population growth while keeping costs predictable.
- Industrial corridors: Industrial manufacturers and data centers require a reliable supply of water to maintain operations. Potable reuse offers a resilient, drought-proof supply, reducing dependence on strained aquifers and imported sources, while supporting long-term economic growth.
Potable reuse is poised to play a pivotal role in ensuring Arizona’s future water security. As drought intensifies and traditional supplies become less reliable, communities must look to solutions that are both sustainable and immediately deployable. Contact Seven Seas to learn more about our potable reuse systems and how they can build long-term resilience in your community.
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