Higher water, sewer bills expected after Pennsylvania American Water rate increase

Cameron LobleyMECHANICSBURG, Pa. —

Customers with Pennsylvania American Water will soon need to pay more for their water and sewer bills.

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The boost comes after the Pennsylvania Public Utility Commission approved a $74.9 million rate increase for the company back in July. That breaks down into around $45.3 million intended for water operations – a 4.75% increase — and around $29.6 million for wastewater projects – a 14.17% increase.

According to the PUC, the new rates take effect “on and after August 13, 2026.”

A spokesperson for Pennsylvania American Water says that as of Wednesday, the company is still reviewing the PUC’s order and is laying out how it will affect customer rates across its 10 water and two wastewater rate zones.

The July order is down from Pennsylvania American Water’s original request of $159.5 million, in which water rates would have increased by more than $143.4 million — around 15% — and wastewater rates would have increased by more than $16.1 million — around 7.7%.

Pennsylvania American Water says the new funding will support $1.2 billion in infrastructure maintenance and development, including projects in Fairview, Hershey, and York.

The July order also includes several measures geared toward customer service and consumer protections, including an expansion to the company’s bill discount program and a new arrearage forgiveness credit.

Pennsylvania American Water serves more than 2.4 million customers across the state, with service areas in 37 counties.