BRYN MAWR, PA — Aqua Pennsylvania Inc., a subsidiary of Essential Utilities Inc. (NYSE: WTRG), has filed an application with the Pennsylvania Public Utility Commission (PUC) to adjust water and wastewater rates for its customers. The request, made on May 23, 2024, aims to recover $953 million in infrastructure investments through the end of 2025. These upgrades are part of Aqua’s efforts to enhance reliability and service across the state.
“We are at a critical point when it comes to our water and wastewater infrastructure here in Pennsylvania and across the country,” said Aqua Pennsylvania President Marc Lucca. “Our replacement of older pipes not only improves customer service by reducing water main breaks and leaks but also decreases environmental impacts.”
The proposed rate adjustment is Aqua’s first in almost three years. It covers capital investments and system repairs made since April 2023 and those planned through 2025. Among these improvements is the replacement of approximately 200 miles of aging water main, along with associated valves and customer service lines, within Aqua’s 5,900-mile distribution system. Hundreds of fire hydrants have also been replaced, enhancing public safety.
Lucca acknowledged that rate changes can be challenging for customers. “We are aggressively seeking grants and low-interest loans to moderate rate impacts,” he said. Aqua has secured around $32 million in state grants and low-interest loans over the past few years and has an additional $85 million request pending.
Aqua also provides financial assistance options for customers in need. “We want to help our customers with limited incomes connect with programs and resources that make utility bills more affordable,” said Rita Black, Director of Community Assistance Programs.
Aqua’s requested rate increase requires PUC investigation and approval. This process can take up to nine months, meaning any approved increases would likely take effect at the end of February 2025.
If fully approved, the new rates would raise the typical residential water bill for customers using 3,870 gallons per month from $80.91 to $97.01, an increase of $16.10 per month. The average monthly residential wastewater bill would rise from $81.18 to $96.10. Despite these increases, a typical Aqua residential customer would still pay about 2 cents per gallon for water used in daily activities like cooking, drinking, and sanitation. Aqua is requesting an overall rate increase of $126.7 million per year for its water and wastewater operations.
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