Middlesex Water customers may see bill increase

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Gas bills may be dropping around the state, but some residents’ water bills could be getting larger.  

Middlesex Water Co. filed a petition with the New Jersey Board of Public Utilities (NJBPU) May 15 requesting an increase of approximately $33.9 million, or 31.23%, to its base rates. 

If approved, a residential customer using approximately 15,000 gallons of water per quarter would see their water bill increase about $20.22 per month, or $0.66 per day, the company estimated. 

The Iselin-based company said it’s requesting the increase to recover maintenance and upgrade investments it has made to improve service to its customers. 

Since its last base rate filing in May 2021, the company said it has invested approximately $136 million as part of its Water for Tomorrow capital improvement program in drinking water infrastructure projects that are not currently reflected in customer’s rates. 

This program included the Granular Activated Carbon water treatment system at the Park Avenue wellfield facility; replacement of aging water main and other equipment in its service area as part of its RENEW program; and the replacement of approximately 25,000 feet of additional distribution mains and related services and equipment to ensure ongoing compliance with the New Jersey Water Quality Accountability Act. 

“Compliance with ever increasing regulations and protecting against risks posed by climate change, new emerging contaminants and cybersecurity threats requires continual assessment of our labor resources and water distribution assets to ensure the service we provide supports public health, area fire protection and meets reliability and resiliency system requirements,” Middlesex Water Chairman, President and CEO Dennis Doll said in a statement. 

Doll added that the rate increase would also cover ongoing training and workforce expansion, support more water monitoring needs and meet additional regulatory requirements. 

Also on May 15, Middlesex Water made two separate filings with the NJBPU: one for a plan to recoup the costs of replacing lead service lines pursuant to the New Jersey Lead Service Line Replacement Law, and another to implement a Distribution System Improvement Charge to recover costs associated with improvements to its distribution system. 

The need for a rate increase is not unique to Middlesex Water. In February of this year and in August 2022, New Jersey American Water initiated a small surcharge and rate increase, respectively, for its clients. These were also initiated to cover costs of upgrades, American Water said.