New Castle News
NEW CASTLE —
A water rate increase has been authorized by the Pennsylvania Public Utility Commission.
As a result, Pennsylvania America Water Co. said, its consumers will see a small increase, starting Jan. 1.
The company gave an example of a customer using 3,960 gallons per month, considered typical for a household. That consumer’s bill rill rise from $52.51 to $55.45 under the terms of the rate hike.
“We believe this is a fair and reasonable settlement that balances our customers’ interests with the company’s need to recover costs associated with the hundreds of millions of dollars that we have invested for system improvements,” company president Kathy L. Pape said.
Pape cited the company’s approximately $731 million in system improvements since its last rate case in 2011 as the primary driver of the rate increase.
Pape said Pennsylvania American Water’s reinvestment is designed to provide “prudent and proactive capital improvements that are more cost-effective and save money in the long run.”
The settlement approved by the PUC grants an increase of approximately $26 million in annual revenue. The company had filed the rate request with the PUC on April 30, seeking an annual revenue increase of approximately $58.6 million.