San Diego's Plan To Combat Excess Water: Selling It.
Amid drought and water scarcity concerns, San Diego faces a unique problem: too much water. The solution? The San Diego County Water Authority is going to sell some of its water to Western Municipal Water District, which serves nearly 1 million people.
Over the next 21 years, the water authority will transfer at least 10,000 acre-feet of water per year, a deal that will be worth about $100 million over the first five years. An additional $74 million in new revenue will be generated by water sold to the Eastern Municipal Water District of Southern California.
The San Diego County Water Authority has “invested heavily” to get more water, and these investments have paid off. But while plentiful, the water is also some of the most expensive in the state.
The new deal will allow San Diego to “maximize the value of the investments San Diego County residents made over decades, strengthen water reliability, and do so in a way that is mindful of affordability,” said Board Chair Nick Serrano.
In June of 2025, an agreement between the Metropolitan Water District of Southern California and the San Diego County Water Authority ended a 15-year legal battle over water costs. This agreement paved the way for San Diego to find a reasonable solution for their excess water.
This deal marks a turning point for San Diego, transforming its costly surplus into a valuable regional asset. By selling water to its neighbors, the Water Authority is finally seeing a financial return on the expensive infrastructure investments made over the last several decades.