Treasure Valley water customers are getting a rate hike, but it won’t be as high as originally requested.
On Thursday, French-owned water company Suez announced they earned the Idaho Public Utilities Commission’s approval to hike water rates 8.75% over two years. This is down from their original request for a 22.3% rate hike in 2020.
According to company estimates, this increase will add an additional $1.08 per month to the average residential customer’s bill in the first year and an additional $1.52 per month in the second year. Average commercial customers will pay an extra $3.84 monthly in the first year of the increase and another $5.40 in the second year.
“We believe we have struck a fair and equitable balance between investing in critical infrastructure and keeping rates at moderate levels,” Suez Vice President and general manager of Idaho Operations Marshall Thompson said in a press release.
Lower rates due to settlement
These changes will impact 98,000 customers, both residential and commercial. It will raise an additional $3.996 million in new revenue for the company instead of the $10.2 million the company expected to raise with it’s initial rate increase request.
This lower-than-proposed rate increase comes after Ada County, Micron Technology, the City of Boise, Suez Water Customer Group, Community Action Partnership Association of Idaho, and the Idaho Fair Housing Council filed in opposition to the company’s proposed rate increase. On March 17th, a few of these parties reached a settlement with Suez and agreed to a lower rate increase.
Part of the settlement also included PUC oversight of Suez’s work to address the persistent problem of brown water on the Boise Bench.