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Pennsylvania American Water Seeks Rate Hike for System Upgrades

Main Water Shutoff Valve, Hand Shutting Off lever controls supply.

Photo: Grigorev_Vladimir / iStock / Getty Images

Pennsylvania American Water has filed a request with the Pennsylvania Public Utility Commission (PUC) to increase water and wastewater rates. If approved, the typical residential water bill could rise by approximately $14 per month, while wastewater bills may increase by about $10 monthly. Customers with combined stormwater and wastewater systems might see an increase of around $20 per month.

The company aims to support $1.2 billion in investments through 2027, focusing on critical system upgrades to improve water quality and reliability for over 2.4 million people statewide. These investments include replacing 117 miles of aging water mains, eliminating lead service lines, and addressing emerging contaminants like PFAS in drinking water. The proposal also includes replacing 32 miles of aging sewer mains.

Pennsylvania American Water President Justin Ladner emphasized the benefits of these investments, stating they will enhance service reliability and water quality from treatment to the tap. In addition to the rate increase, the company proposes a Deduct Adjustment to calculate summertime wastewater charges based on average winter water usage, potentially saving customers money by excluding seasonal outdoor water use.

The company also seeks to implement a Renter Assistance Pilot Program (RAPP) to aid low-income renters in master-metered buildings, providing quarterly stipends in Scranton and Butler. The PUC review process allows for public input, and if approved, the new rates would take effect in August 2026. For more details, visit Pennsylvania American Water's press release.


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