Rates that Pittsburgh Water and Sewer Authority customers pay for service will increase next month — but not by as much as the authority initially requested.
The Pennsylvania Public Utility Commission last week approved a joint settlement reached last October between PWSA and customers and consumer advocates regarding proposed rate increases during a three-year period.
The City of Pittsburgh and Pittsburgh Public Schools are also parties to the agreement.
PWSA initially had requested a multiyear increase that would have boosted base rate revenues by $146.1 million during the three years ending in fiscal year 2026. Instead, the PUC has authorized PWSA to increase revenues by $35.9 million per year. The new rates will go into effect on Feb. 15.
In addition, PWSA is barred from requesting further increases until 2025 for rates that would go into effect in 2026.
Currently, the average monthly bill paid by a residential customer who uses 3,000 gallons of water per month for water, wastewater conveyance and stormwater collection is $86. The increases initially requested by PWSA would have pushed that figure up to $103 per month in 2024. Under the settlement, the average bill in 2024 will be about $100 per month.
Along with the provisions governing rate changes, the PUC-approved settlement includes a PWSA commitment to increase the breadth and generosity of its low-income assistance programs.
“The new rates approved by the commission balance PWSA’s immediate need to protect public health by investing in our aging water infrastructure and the need to provide assistance for customers with affordability concerns,” said PWSA CEO Will Pickering in a statement. “I want to thank the commissioners and all of the parties involved in our rate case for their efforts to bring us to this positive resolution.”
Under the agreement, residents who earn 200% or less than the federal poverty level will be eligible for discounts. The assistance level now is set at 150%.
Eligible residents will receive a 60% discount on every 1,000 gallons of water they consume. Right now, the discount is 50%.
And customers who fall behind on their water bill and begin to make payments would receive an additional $40 credit on every bill to help them catch up. Right now, the credit is $30. These customers may also be eligible for up to two $450 hardship grants, one for water and one for sewage. The previous hardship grant was $300, and customers could receive only one.
PWSA is also required to collaborate with the City of Pittsburgh and the Allegheny County Department of Human Services on issues related to low-income customer assistance programs. It’s also required to work with Pittsburgh Public Schools to address stormwater-management issues.
Regardless of the rate increase approved last week, customer bills were already set to rise this year for reasons unrelated to services provided by PWSA. That’s because the Allegheny County Sanitary Authority's rates are set to go up 7%. The average customer currently pays about $38 a month to ALCOSAN to have their sewage pumped away and processed at its treatment plan. Customers pay for ALCOSAN's services on their PWSA bill.
