Toms River, NJ – Higher water and wastewater bills could be on the horizon for thousands of Ocean County residents as the Ocean County Board of Commissioners reviews notices of pending utility rate cases during its July 8 meeting.
While the commissioners will not vote on the proposed increases, the correspondence section of the meeting agenda includes formal notices from the New Jersey Board of Public Utilities regarding separate petitions filed by Aqua New Jersey and New Jersey American Water.
The proposals are currently under review by the BPU and the Office of Administrative Law.
New Jersey American Water seeks major rate increase
New Jersey American Water filed its petition with the BPU in January, seeking approval for increased water and wastewater rates to support more than $1.4 billion in ongoing infrastructure investments.
If approved, the company estimates the average residential customer would see:
- Approximately $10 more per month for water service.
- Approximately $8 more per month for wastewater service.
The utility says the increase would help fund continued replacement of aging infrastructure, system reliability improvements and water quality projects.
Earlier this year, the BPU separately approved the company’s annual Purchased Water Adjustment Clause (PWAC) and Purchased Wastewater Adjustment Clause (PSTAC), which took effect April 1. Those adjustments are separate from the pending base rate case now under review.
Aqua New Jersey proposes double-digit increases
A second notice before the commissioners involves a petition filed by Aqua New Jersey.
The utility is seeking:
- A $6 million increase in water base rates.
- A $1.87 million increase in wastewater rates.
According to the filing, those requests would translate into:
- A 10.9% increase for water service.
- A 28.8% increase for wastewater service.
Like New Jersey American Water, Aqua has already received approval for its annual Purchased Wastewater Treatment Adjustment Clause, but the larger base rate request remains pending before state regulators.
Ocean County customers affected
The proposed increases would affect customers served by the two investor-owned utilities in Ocean County.
New Jersey American Water provides service through its Coastal North system, including:
- Bay Head
- Mantoloking
- Toms River, including Ortley Beach and Pelican Island
The company also supplies water on a wholesale basis to Point Pleasant Borough.
Aqua New Jersey primarily serves portions of Berkeley Township, including the Bayville area, where it operates drinking water and wastewater systems.
Residents served by municipal water systems, authorities or other providers would not be directly affected by these filings.
Commissioners will not decide rates
Although the notices appear on the commissioners’ agenda, Ocean County has no authority to approve or reject the requested increases.
Rate cases for regulated investor-owned utilities are decided by the New Jersey Board of Public Utilities, which reviews financial information, infrastructure investment plans and testimony before determining whether the requested increases are justified.
The correspondence item simply notifies county officials of the ongoing regulatory proceedings and scheduled public hearings.
Customers will have opportunities to participate in the BPU’s public hearing process before any final decision is made.
Key Points
- Ocean County commissioners will receive notices regarding pending water and sewer rate increase requests from Aqua New Jersey and New Jersey American Water.
- New Jersey American Water is seeking increases that could raise average residential bills by about $18 per month for combined water and wastewater service.
- Aqua New Jersey is seeking a 10.9% increase in water rates and a 28.8% increase in wastewater rates, subject to BPU approval.
