Suez Water Delaware, formerly United Water, is seeking a $33 million increase in a rate case slated to go before the Delaware Public Service Commission.
Suez stated that the $33 million matches investments made in its water systems. The PSC typically gives the applicant a temporary rate increase pending a final decision.
Suez noted that its rate base has been affected by rising costs and the loss of larger business customers that have closed their doors.
Savings in buying electric power and chemicals were offset by a changing customer base and rising costs in other areas, according to the utility.
Suez, like other utilities, also deals with an aging infrastructure. Last summer a water main broke in a partially submerged tidal area near the Amtrak railroad line. While the main was quickly bypassed, permanent repairs proved to be difficult.
In the announcement on the rate increase request, Suez Water Delaware disclosed that it plans to accelerate its water main replacement program.
This is the first rate increase request by the company in six years. The Suez system covers a large portion of northern New Castle County with a population of 100,000 and 38,000 Suez customers.
Suez also provides connections with other water systems, including Newark’s city-owned utility.
The average customer would pay an additional $6.18 a month, if the request is improved by the PSC.
Suez Water rates are among the lowest in New Castle County
The company disclosed that it plans to install meters that can be read remotely and reduce the amount of miles driven by meter readers. Customers will also receive added information on their accounts that could help detect leaks or even the theft of water.
Suez Water Delaware is part of a French-based company that operates throughout the U.S. It operates water and wastewater systems in several dozen nations.
