The primary and apparently only function of it and it's sister stations is funneling sewage away from its location to a nearby biome (In this case an area close to the house of Nijuuni). When powered, the facility has the potential to terraform a biome into that of a mud biome.
In Magic Police episode 15, after conducting a surprise magic search of Nijuuni's house, Duncan and Sjin decide to solve the mystery of what caused the biome to turn into mud after Nijuuni reveals that it hadn't always been that way. Following a pipe trail, Duncan, Sjin, and Nijuuni come across the pump station, where, upon reading some signs, discover that SipsCo. is behind its creation, and the subsequent pollution of the surrounding area.
After taking some photos for evidence, Sjin attempts to free the lone employee manning the station, but Duncan murders him, stating that he was "part of the problem," before retreating to what they thought was a safe distance away and forcing Nijuuni to activate the station's self-destruct system. Not realising the power of the explosives, Nijuuni, Sjin, Duncan, the entire station, and a good portion of the surrounding area were wiped out in the ensuing blast. Nijuuni was the only person to not respawn. According to Sjin and Duncan, squibs (Nijunni) do not respawn.