Pennsylvania American Water customers can expect to see their next bills increase under a new rate schedule aimed at funding $1.2 billion in infrastructure investments to the utility’s water and wastewater systems across the state.
The new rates, which took effect last Thursday, will result in an overall bill increase of about $3 per month for typical residential water customers, according to the utility. Wastewater system customers will see an increase of about $14 per month, while customers who get their water and sewer service from the utility can expect their bills to go up by about $17.
In Scranton, the rate increase will be $16.73 per month increase for combined water and wastewater service, company spokeswoman Alana Roberts said. Wilkes-Barre customers, who only get water service from the utility, can expect their bills to go up by about $3, she said.
The utility’s estimates are based on a typical residential customer who uses 109 gallons of water per day.
“The changes customers will see on their bills help continue to improve the safe, clean, reliable water and wastewater service they and their communities depend on every day,” Pennsylvania American Water President Justin Ladner said in a statement. “We are focused on expanding customer assistance and helping customers access the support available to them if eligible, freeing up money for everyday household needs.”
The increased rates are expected to help fund $1.2 billion in infrastructure improvements that the company is planning through the middle of next year, including the replacement of 117 miles of aging water mains, eliminating lead service lines and addressing “contaminants of emerging concern” such as PFAs from the water supply, according to the company.
The utility noted that it is spending $1.5 million to modernize the wastewater system in Foster Twp. that it purchased in 2022. Another 41 projects that have taken place since the utility bought the Scranton Sewer Authority have prevented an estimated 118 million gallons of overflow from entering the Lackawanna River each year, according to the utility.
The company noted that financial assistance is available to customers via its H2O Help to Others Program as well as from the Dollar Energy Fund.
Last year, customers received more than $16 million in discounts and $1.8 million in grants through the H2O Help to Others Program, the utility reported.
The company also said it will “enhance its bill forgiveness program” to help customers who are behind on payments. Changes include increasing monthly financial assistance from $25 to $40, allowing eligible customers to earn forgiveness credits for each complete payment made, and providing customers an opportunity to get “complete arrearage forgiveness” over a two-year period.
“While these investments are necessary to continue delivering high-quality water and wastewater services, we remain committed to helping customers facing financial challenges,” Ladner said. “These enhancements will provide eligible customers with more opportunities to reduce past-due balances, maintain service, and improve household affordability.”