The Utility Regulation and Competition Office (OfReg) granted a new 25-year license to Cayman Water Company Limited, effective August 1, 2026. The license provides an exclusive right to produce, distribute, and sell potable water in the Seven Mile Beach and West Bay areas of Grand Cayman. The agreement establishes a long-term regulatory framework, including specific base rates, meter rental fees, and energy cost recovery mechanisms. Pro forma estimates suggest that if the new rate structure had been applied to historical volumes, revenues would have been approximately $2.1 million lower in 2024, $1.9 million lower in 2025, and $0.6 million lower in Q1 2026. The license includes provisions for annual rate adjustments based on a formula tied to the Cayman Islands Consumer Price Index (CI CPI) and the U.S. Producer Price Index (US PPI).