Water Bills In NJ May Climb $62

Water rates may go way up across New Jersey this year.

"If New Jersey American Water gets approval for the full rate hike it's seeking, the average customer in the state would pay an additional $62 per year for service. The company, which has customers in parts of 17 New Jersey counties, petitioned the state's Board of Public Utilities last week for the rate hike, it said," NJ Advance Media reported.

The company is trying to recover money it spent on infrastructure, according to a statement.

“In less than three years, we have invested more than $775 million in infrastructure upgrades and replacements, including more than 160 miles of new water main,” said William Varley, president of New Jersey American Water. “At the same time, we reduced our business operating costs by approximately $19 million.”

The company says this is the smallest rate hike it has requested in a decade.

"Rates last rose in May 2012 by 4.8 percent. The company sought a 15.1 percent hike," the news report said.

"The new rate request would result in an increase of just under 17 cents per day for the average residential water customer, and raise revenues by approximately $66 million," the statement said.

Customers would likely notice the rate hike on their monthly bills.

"If it were granted in full, the increase would result in the average monthly water bill rising by $5.16, said Richard Barnes, spokesman for N.J. American Water," according to the Press of Atlantic City. That amounts to 9.9 percent higher.

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