🔒CT Water seeks 19% rate increase, citing $129M infrastructure investment

Clinton-based Connecticut Water Co. has notified state regulators of its intent to seek a 19% rate increase, citing a need to recover $129 million in infrastructure investments made since its last rate case. In a letter of intent filed March 13 with the Public Utilities Regulatory Authority, Connecticut Water President Craig J. Patla said the company plans to file a general rate case application within the next 60 days seeking to increase annual revenues by roughly $26 million. The proposed increase would raise the cost of a gallon of water from 1.5 cents to 1.8 cents for the company’s more than 108,000 customers across 60 Connecticut communities. The new rates would take effect Feb. 1, 2027. Connecticut Water said the investments driving the proposed increase include addressing emerging contaminants like PFAS, known as “forever chemicals,” replacing aging or outdated infrastructure and enhancing system resilience against the impacts of climate change. “Reliably delivering drinking water to more than 100,000 customers is no small feat. Since our last rate case in 2024, we’ve invested more than $129 million in infrastructure not included in current rates,” the company said. “These prudent investments are important and necessary. Putting them off only makes them cost more later.” The company said it has taken steps to address affordability concerns, including expanding its Water Rate Assistance Program and growing its partnership with Generation Power CT to provide utility assistance. Connecticut Water also pointed to investments in solar panels as a way to shield customers from unpredictable electricity price increases, and said proactively replacing aging pipes reduces costs compared to emergency repairs during breaks. The filing comes as Connecticut’s water utilities face rising costs from PFAS remediation and other infrastructure needs. Aquarion Water Co., which serves roughly 230,000 customers in the state, filed an $88 million rate increase request with PURA in January. Aquarion said it has invested more than $448 million in infrastructure improvements since its last rate case in 2022, including mains, storage tanks, treatment plant upgrades, dam improvements and pump stations — none of which are recovered in current rates. Connecticut Water is expected to file its full application within the next 30 to 60 days. Connecticut Water, a subsidiary of California-based H2O America, employs more than 200 people in the state.