Connecticut Water Co. has filed an application with the Public Utilities Regulatory Authority seeking a $21.4 million, or 18.1%, increase over the company’s current rates.
The new rates would take effect July 1, 2024, according to the application, filed with PURA on Tuesday.
Connecticut Water said the increase is driven primarily by capital investments in infrastructure.
“The primary drivers of this request are the more than $135 million invested in our water and wastewater system infrastructure that have been made, to ensure reliable service and high-quality drinking water for families and communities, and higher operating costs driven by inflation, neither of which are included in current water rates,” said Craig J. Patla, president of Connecticut Water.
To mitigate the increase, the company has proposed to expand its Water Rate Assistance Program through income-eligibility levels and tiered discounts. The program is designed to provide an average water bill at, or below, 2% of a household’s income.
Connecticut Water included dozens of pages of documentation in its application outlining recent investments.
PURA, which in recent months has denied rate increases proposed by Aquarion and United Illuminating, has 270 days to review the application.
Connecticut Water says the higher rates would allow it to recover more than $135 million in drinking water and wastewater infrastructure investments, including:
- Solar arrays in Clinton, Colchester and Naugatuck
- $12 million in a new ground water treatment facility in East Windsor
- A 5.3-mile interconnection between the water systems in Somers and Stafford
- 3,500 feet of new main to improve water quality in Middlebury
- A new 1 million gallon storage tank in Plainfield
Connecticut Water provides service to more than 107,000 customers in 60 municipalities statewide. The company, which has about 200 employees, is a subsidiary of San Jose, California-based SJW Group.
