The US Environment Protection Agency (EPA) is providing $1 billion (£0.77bn) for water infrastructure projects.
Its Water Infrastructure Finance and Innovation Act (WIFIA) received 43 letters of interest from prospective borrowers for projects to update the nation’s infrastructure.
The loans will support more than $2 billion (£1.5bn) worth of projects, which includes drinking water treatment, seawater desalination, drought mitigation and water recycling.
EPA Administrator Scott Pruitt said: “As a federal-local-private partnership, this programme will help expand water infrastructure systems to meet the needs of growing communities. This investment will empower states, municipalities, companies and public-private partnerships to solve real environmental problems in our communities, like the need for clean and safe water.”
Last month, the world’s largest retail water market was opened in England, allowing more than 1.2 million eligible businesses, public sector organisations and charities to choose who they pay for their water and wastewater services.