Delnicki Opposes New Surcharge on Water

HARTFORD- State Representative Tom Delnicki (R-14) testified in the Energy and Technology Committee against a proposal that allows water companies to impose a surcharge on residential water customers.

“Water customers, like the ones I represent in South Windsor, should NOT be forced to pay for the elimination of Per- and polyfluoroalkyl substances (PFAs) by Connecticut Water,” said Rep. Delnicki. “When is enough, enough? From, electric, natural gas to health insurance these big companies are punishing Connecticut working families.”

Under House Bill 6777, An Act Concerning Water Utility Systems and Water Quality And Treatment Surcharges, the water companies would be permitted to recover costs for infrastructure projects needed to meet unforeseen water regulations, with oversight and approval by the Public Utilities Regulatory Authority.

The Public Utilities Regulatory Authority (PURA) is empowered to authorize these surcharges for projects deemed eligible, which include major upgrades or replacements of critical water infrastructure not previously included in a company’s rate base. The surcharge is calculated based on the actual cost of the project, including associated taxes and depreciation, and is capped at 15% of the company’s annual retail water revenues, with a maximum of 7.5% for any twelve-month period.

The largest advocacy group in Connecticut for seniors, AARP submitted testimony opposing the special surcharges, writing that the water companies, ‘can fast track rate increases without the necessary regulatory review that protects consumers. Water utilities are free to file a rate case to recover costs such as those outlined in the bill.’