Water Stocks To Buy #3 – Northwest Pipe
One of the biggest issues for water here in the U.S. occurs during transportation. Analysts estimate that roughly one-third of all water transported in the nation leaks out through our aging pipe network and is wasted. There are currently areas and cities here that are still using clay pipes laid over 100 years ago.
The Environmental Protection Agency (EPA) estimates that the United States will need to spend a staggering $500 billion over the next 20 years to replace and upgrade all of this aging water infrastructure.
Enter Northwest Pipe (NWPX).
NWPX is the leading supplier of high-pressure steel pipe used in wastewater, hydroelectric power and potable drinking water applications. While Northwest’s steel pipes are more expensive to install and use than similar concrete ones, water authorities in dryer climates prefer them as they have zero evaporation rises.
With recent drought conditions in places like California and Arizona prompting officials to begin upgrading their water infrastructure, NWPX should get the nod to begin supplying these projects.