Daphne Utilities

What Daphne Utilities does

Daphne Utilities is a privately-held municipal utility company headquartered at 900 Daphne Avenue, Daphne, Alabama. Founded in 1953, the company provides water, sewer, and natural gas services to residential and commercial customers in Daphne and the surrounding Eastern Shore communities of southwest Alabama. The utility serves approximately 11,051 water customers and 5,197 natural gas customers, supported by an installed infrastructure base of 180+ miles of water lines, 200 miles of sewer lines, 1,450 fire hydrants, and 13 production wells tapping the Miocene Aquifer.

The company's core technology is centered on its water treatment and distribution infrastructure. Drinking water is drawn from the Miocene Aquifer, a natural underground reservoir covering approximately 6,500 square miles, through 13 wells ranging from 250 to 450 feet in depth. Treatment consists of aeration, fluoride addition, lime-based pH adjustment, and disinfection prior to distribution through a clearwell and pressurized main network. Water production capacity stands at 6.5 million gallons per day and wastewater treatment capacity at 3 million gallons per day. A piped natural gas distribution network supplements the water and sewer franchises, with rates indexed to monthly pass-through gas costs.

Daphne Utilities operates on a regulated utility revenue model with recurring monthly charges based on consumption. Water and sewer services use tiered unit pricing differentiated by inside versus outside city limits, while natural gas combines a fixed monthly service charge with consumption-based rates that fluctuate monthly with procurement cost. The utility also generates one-time capacity fees for new service connections ($2,100 water, $2,800 sewer, appliance-based for gas), miscellaneous service fees, and acts as billing agent for the City of Daphne's garbage collection. Customer engagement is conducted on a direct-to-consumer basis through a web portal offering bill payment, service transfers, automatic bank draft enrollment, e-billing, and the Lend A Hand customer assistance program.

Name

Daphne Utilities

Legal name

Daphne Utilities

Website

https://daphneutilities.com

Company type

Private

Founded year

1960

Operating status

Operating

Headcount range

11–50 employees

Short description

Daphne Utilities is a privately-held municipal utility providing water, sewer, and natural gas services to approximately 11,051 water customers and 5,197 gas customers in Daphne, Alabama, operating regulated infrastructure across the Eastern Shore since 1953.

Ownership category

akta.pro rank

Product category

Municipal Water, Sewer, and Natural Gas Utility Services

NAICS

Water, Sewage and Other Systems (2213), Water Supply and Irrigation Systems (22131), Sewage Treatment Facilities (221320), Utilities (221)

SIC

Water Supply (4941), Electric, Gas & Sanitary Services (4900)

akta.pro primary industry

Water Supply & Wastewater Utilities Administration (BPAIACAG)

akta.pro secondary industries

Source Water Intake & Pretreatment (Screens, Pre-oxidation, Algae/Cyanotoxin Control) (EUANABAI), Municipal Wastewater Collection (Sewer Networks) (BPALAMAA)

Keywords

• Municipal water services
• Natural gas distribution
• Wastewater treatment services
• Utility infrastructure
• Sewer services

Headquarters

HQ city

Daphne

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2C

Offering type

Services

Cost components

Supply Chain, Infrastructure, Operations, Personnel, Technology or R&D

Revenue model

1. Water Service: Monthly water service charges based on consumption (measured in 1,000 gallon increments), with tiered rates for inside and outside city limits customers.
2. Sewer Service: Monthly sewer service charges based on consumption, with tiered rates for inside and outside city limits customers.
3. Natural Gas Service: Monthly natural gas service with base service charge plus consumption charges based on cost of gas purchased by the utility.
4. Capacity Fees: One-time capacity fees for new service connections: Water $2,100, Sewer $2,800, Natural Gas based on appliance type (Aid to Construction fees).
5. Garbage Billing Services: Daphne Utilities provides billing services for Daphne Public Works Solid Waste division (garbage collection), collecting fees on behalf of the city.

Pricing tiers

Go-to-market motion1 record

Distribution channels1 record

Marketing channels4 records

Core offering

Daphne Utilities provides drinking water, piped natural gas, and sewer/wastewater services to residential and commercial customers within its exclusive service territory in Daphne, Alabama and the surrounding Eastern Shore. The utility sources water from the Miocene Aquifer through 13 wells, treats and distributes it through 180+ miles of water lines, and supplies natural gas and sewer collection/treatment to over 11,000 water and 5,000 gas customers. Revenue comes primarily from monthly consumption-based utility charges, new-connection capacity fees, and miscellaneous service fees.

Product overview

Daphne Utilities is a municipal utility company that provides essential public utility services to the Daphne, Alabama community. The company operates three core product lines: Water Services (sourcing, treating, and distributing drinking water from the Miocene Aquifer), Natural Gas Services (piped natural gas distribution), and Sewer Services (wastewater treatment). These core utility services are supported by customer-facing portal modules for bill payment, service management, and a Lend A Hand assistance program. The infrastructure includes 13 water wells, 180+ miles of water lines, 200 miles of sewer lines, and over 1,450 fire hydrants, serving approximately 11,051 water customers and 5,197 natural gas customers.

Differentiator

Problem solved

Functional benefit

Products and services

• Water Services Treated drinking water sourced from the Miocene Aquifer via 13 wells, distributed through 180+ miles of water lines to approximately 11,051 customers daily. Production capacity is 6.5 million gallons per day (2,372,500,000 gallons annually). Water is treated via aeration, fluoridation, lime pH adjustment, and disinfection before distribution.
• Natural Gas Services Piped natural gas distribution service to approximately 5,197 customers. Pricing consists of an $8.50 monthly base service charge, a $1.05 per 100 cubic feet base consumption rate, plus the actual cost of gas purchased by the utility (rates adjust monthly).
• Sewer Services Wastewater collection and treatment service maintaining approximately 200 miles of sewer lines and treating over 3 million gallons per day (1,095,000,000 gallons annually). Customers are billed monthly based on consumption, with tiered rates for inside vs. outside city limits.
• Utility Capacity/Connection Services (Aid to Construction) One-time capacity fees for new water ($2,100) and sewer ($2,800) connections, plus per-appliance Aid-to-Construction fees for natural gas (e.g., Furnace $250, Range/Dryer $300, Log Lighter/Light/Grill/Logs/Generator $500; 4+ appliances $0). Commercial capacity fees are established individually based on household equivalents.
• Garbage Billing Services

Quantifiable outcome

• Serves approximately 11,051 water customers daily
• +1 more outcomes

Named customers1 record

Segments2 records

Ideal customer profiles2 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature2 records

Scale indicators8 records

Recent moves6 records

Expansion highlights6 records

Broad incumbents

• American Water Works Company: Largest publicly traded water and wastewater utility in the U.S., serving over 14 million people across 14 states. Comparable as a regulated water/wastewater operator with infrastructure-heavy rate-base economics, though materially larger and geographically diversified compared to Daphne Utilities.
• Essential Utilities (formerly Aqua America): Regulated water, wastewater, and natural gas utility serving ~5 million people across 10 states. Highly comparable to Daphne Utilities due to its multi-utility (water + gas) platform structure and regulated municipal-style service model.
• Atmos Energy Corporation: Largest natural gas distributor in the U.S., serving over 3 million customers across 8 states. Relevant broad peer for Daphne Utilities' natural gas distribution business, though at a significantly larger scale and gas-only focus.
• California Water Service Group: Investor-owned water utility serving ~2 million people in California, Washington, New Mexico, and Hawaii. Comparable as a regulated, rate-base water/wastewater operator, though materially larger and multi-state.

Regional players

• Spire Inc. (Spire Alabama): Natural gas distribution utility serving Alabama (formerly Alagasco) plus Missouri. Spire Alabama is the most direct regional peer for Daphne Utilities' natural gas operations, operating under the same regulatory framework within Alabama.

Direct peers

• Utilities Inc. (subdivision of Corix Infrastructure): Owns and operates regulated water and wastewater utilities for small communities and subdivisions in multiple U.S. states. Closest comparable in terms of small, geographically concentrated municipal-style water/sewer operations serving thousands of customers.
• Middlesex Water Company: Small-cap regulated water and wastewater utility serving ~500,000 people in New Jersey and Delaware. Comparable scale profile and business model to Daphne Utilities, focused on water/wastewater with a defined service territory.
• Artesian Resources Corporation: Small-cap regulated water and wastewater utility serving Delaware, Pennsylvania, and Maryland. Directly comparable in customer scale (tens of thousands), regulatory structure, and capital-intensive rate-base model to Daphne Utilities.
• York Water Company: The oldest investor-owned water utility in the U.S., serving ~200,000 people in Pennsylvania. Small-cap regulated water utility with a long operating history, comparable in scale, single-state focus, and infrastructure-heavy economics to Daphne Utilities.

Emerging players

• SJW Group: Regulated water utility holding company operating in California, Texas, Connecticut, and Maine, serving ~1.5 million people. Comparable business model and customer scale bracket, with similar water-and-wastewater platform dynamics as Daphne Utilities.

Market position

Strengths4 records

Weaknesses5 records

Competitive moat4 records

Key risks6 records

Key highlights6 records

Customer concentration

• Xx.com/DaphneUtilities

Revenue estimate

Valuation estimate

Number of profiles

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Daphne Utilities