Regulators propose phase-in for big water rate increases

Susan Bitter Smith, a member of the Arizona Corporation Commission / Photo by Kyle O'Donnell:Cronkite News
Susan Bitter Smith, a member of the Arizona Corporation Commission / Photo by Kyle O’Donnell:Cronkite News

By Kyle O’Donnell | Cronkite News

Some Arizonans, especially those in rural areas, face having their water bills dramatically increase when providers need to finance infrastructure improvements.

To solve this problem, the Arizona Corporation Commission wants to provide companies with scheduled rate increases to replace and repair equipment.

For example, a water company could get on a five-year schedule with an annual 2 percent rate increase as opposed to a large increase in one year.

“This is a very inexpensive way for Arizona water companies and Arizona water customers to know they have a water future,” said Susan Bitter Smith, a member of the Corporation Commission.

Dubbed the System Improvements Benefits mechanism, the program is still under consideration due to an appeal by the state’s Residential Utility Consumer Office.\

Continued:  

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September 2013
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