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Indiana American wins 1 percent water rate hike

Updated: July 8, 2012 7:03PM



Indiana American Water Co. customers will see an increase in their bills soon: but not as big an increase as sought by the company.

IAWC proposed an 8 percent increase for its annual operating revenues; however, a decision Wednesday from the Indiana Utility Regulatory Commission denied the request. Instead, the company will be granted a 1 percent increase in operating revenues.

The IAWC said the increase will generate $1.948 million in revenues for the company.

In a statement, the company said it asked for the increase due to a $115 million investment made to improve infrastructure between 2009 and 2011.

IAWC president Alan DeBoy said the company works to control costs and still provide high quality water.

Still, the Office of Utility Consumer Counselor recommended a 4 percent decrease for the rates customers pay, but the department on Wednesday said it is satisfied with the regulatory commission’s decision.

“On behalf of IAWC ratepayers, I’m very pleased with today’s outcome, which reflects the efforts of OUCC staff who have worked diligently on this case over the last 13 months,” said David Stippler, who works for the Utility Consumer Counselor’s Office. “The commission’s order sends a clear message that while utilities are entitled to a fair return on their investments, rate requests will continue to be closely scrutinized.”

The utility company applied to adjust its rates in 2011, and last increased rates in April 2010.





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