Press Release

PUC Takes Action on Rate Increase Requests by Erie County Water, Wastewater Companies

Published on 10/19/2006

Filed under: Water and Wastewater

HARRISBURG – The Public Utility Commission (PUC) today acted on rate increase requests by two Erie County water and wastewater companies.

Imperial Point Water Co.

The Commission voted unanimously to investigate Imperial Point Water Service Co.’s request to increase water rates by $80,679 (46 percent). Under the company’s proposal, the annual bill for an average residential customer using 60,000 gallons of water a year would increase about $157 from $211 to $368. 

By order of law, the proposed increase will be suspended for up to seven months from its effective date.  The Commission action assigns it to a PUC administrative law judge for a recommended decision or settlement.  PUC Commissioners will then make a final decision by May 30, 2007, at a public meeting in Harrisburg.

The increase would affect approximately 500 customers in Girard Township. According to the company, the increase is needed to realize a reasonable rate of return on the company’s fixed capital investment and to recover increased operating expenses.

Fairview Sanitation Co.

The Commission voted unanimously to offer Fairview Sanitation Co. a lower rate than requested. The company has the option to accept the amended rate as presented. If the company does not accept that rate, the proposal will be suspended for up to seven months from its proposed effective date and assigned to a PUC administrative law judge for a recommended decision or settlement. A final decision would then be made at a public meeting in Harrisburg.

Under the Commission-approved rates, Fairview Sanitation would increase rates by $7,086 (16 percent). The annual bill for an average customer would increase by about $40. The average residential bill would increase from about $252 to $292. The company’s original proposal called for a rate increase of about $8,400 (19 percent) with average residential bills increasing to about $300 a year.

Fairview Sanitation serves about 175 customers in Fairview Township. The company said the proposed rate increase will bring the company to a financially sound position whereby it will maintain economic viability, provide its owners with a modest profit and continue to provide its customers with rates that are below those of neighboring communities.

The Pennsylvania Public Utility Commission balances the needs of consumers and utilities to ensure safe and reliable utility service at reasonable rates; protect the public interest; educate consumers to make independent and informed utility choices; further economic development; and foster new technologies and competitive markets in an environmentally sound manner.

For recent new releases, audio of select Commission proceedings or more information about the PUC, visit our website at www.puc.state.pa.us.

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Imperial Point Water Service Company - Docket No. R-00061618
Fairview Sanitation Company – Docket No. R-00061624

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