Press Release

HARRISBURG -- The Pennsylvania Public Utility Commission (PUC) today voted to allow Pennsylvania American Water to increase water rates by $23.9 million, an 7.7 percent increase.

The company had requested an overall revenue increase of $38.7 million, a 12.4 percent increase.

Under the new rate, the average residential bill will increase approximately $32 annually, from $395 to $427. The increase affects approximately 562,000 customers in Allegheny, Armstrong, Beaver, Bucks, Butler, Centre, Chester, Clarion, Clearfield, Columbia, Cumberland, Dauphin, Fayette, Indiana, Jefferson, Lackawanna, Lancaster, Lawrence, Lebanon, Luzerne, McKean, Monroe, Montgomery, Northampton, Northumberland, Pike, Schuylkill, Susquehanna, Union, Warren, Washington, Wayne and York counties.

The increase will become effective on Jan. 26.

In May 2001, the Commission voted to investigate the company’s request. Administrative Law Judge (ALJ) Michael A. Nemec held hearings in July and August in Kingston, Tobyhanna, Scranton, Camp Hill, Hickory, Butler and Clarion to receive public comment on the general rate increase. More than 50 customers filed formal complaints against the increase. ALJ Nemec reviewed the facts and issued his recommended decision on Dec. 3.

Pennsylvania American Water Company said it needs to increase rates to recover the costs of constructing and replacing treatment facilities and to recover operating expenses.

The Pennsylvania Public Utility Commission ensures safe, reliable and reasonably priced electric, natural gas, water, telephone and transportation service for Pennsylvania consumers, by regulating public utilities and by serving as responsible stewards of competition.