American water raises rates for new jersey customers

CAMDEN, N.J. – The New Jersey Board of Public Utilities (BPU) has approved new water and wastewater rates for New Jersey American Water, following a settlement with the N.J. Division of Rate Counsel and BPU Staff. The rate changes, effective September 15, will result in an annualized revenue increase of approximately $79.5 million for the company.

The increase is primarily driven by over $1.3 billion in investments in infrastructure, including upgrades to treatment systems and distribution networks. “We are committed to making appropriate investments to continue to provide safe, reliable services, while maximizing efficiencies to balance the impact to customers,” said Mark McDonough, president of New Jersey American Water.

For most water customers using an average of 5,642 gallons per month, the increase will amount to about $5.33 per month. Wastewater customers will see an increase of approximately $5.68 per month, depending on the service area. Despite the increase, water and wastewater services remain among the lowest household utility costs, the company said.

In addition to the rate adjustment, the BPU approved New Jersey American Water’s Universal Affordability Tariff. This new measure provides discounts on both the fixed service charge and usage charge for income-eligible customers, expanding the company’s H2O Help to Others assistance program.

Details about the new rates and assistance programs will be sent to customers in upcoming bills and are available on the company’s website.

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