Siemens expands USFilter to Global Water Business
After its recent acquisition of USFilter, Siemens announced that the company will further integrate the USFilter portfolio into its global operations to benefit from the brand awareness and know-how of the leading water treatment company in the U.S. "The increased capabilities resulting from the acquisition enable Siemens to offer more comprehensive solutions for municipal and industrial markets," said Dr. Roger Radke, chief executive officer of Siemens Water Technologies and USFilter Corporation, at a breakfast meeting with water trade editors during the 78th annual Water Environment Federation WEFTEC conference in Washington, D.C. on November 1.
As stringent environmental standards for water and wastewater treatment are being introduced across the globe, according to Radke, pressure is growing on existing facilities for the treatment of clean drinking and process water, safe industrial effluents, sewage and the resultant sludge. "Siemens offers a broad range of products and services for the water industry as being a new focus of its contribution to securing the development of cities, regions and industry today and in the years to come," Radke said. In the U.S., new standards are forcing the domestic water industry to increase investment in technology upgrades and system expansion at a faster pace after years of relative inactivity. According to a recent Frost & Sullivan study, the overall spending on water in the U.S. grew by only 2% between 1992 and 2003, while the Environmental Protection Agency (EPA) estimates that $138 billion is required by 2016 to upgrade or replace the water infrastructure. The Congressional Budget Office (CBO) recently set projections over the next 20 years for investments on drinking water and wastewater systems in the U.S. with a low estimate of $24.6 billion annually.
"It's no wonder, then, that the industry has seen recent consolidation with the entry of large companies like Siemens AG which are able to capitalize on this opportunity by providing an expanded portfolio of solutions and services," Radke said.
The Siemens Group Industrial Solutions and Services (I&S) purchased USFilter Corporation of Warrendale, Pa., from Veolia Environnement in 2004, making it the cornerstone of the new Siemens Water Technologies global business - which now generates nearly $1.9 billion in annual revenues.