AQUARION WATER COMPANY OF NEW HAMPSHIRE, INC.
Order No. 25, 977
DW 16-828
New Hampshire Public Utilities Commission
January 13, 2017
Water
Infrastructure and Conservation Adjustments (WICA) 2017
Surcharge and Project Approvals
Order
Nisi Granting Petition
Martin
P. Honigberg, Chairman
In this
order nisi, we approve a modified 2017 WICA
surcharge of 5.69 percent for Aquarion. We approve
Aquarion's 2017 WICA projects and preliminarily approve
the Company's 2018 projects. This change will result in
an estimated monthly increase of $0.72 in the average WICA
surcharge over that for 2016.
This
order is being issued on a nisi basis to ensure that
all interested persons receive notice of the Commission's
determination and have the opportunity to request a hearing
prior to the effective date of this order.
I.
BACKGROUND
Aquarion
Water Company of New Hampshire, Inc. (Aquarion) is a
regulated public utility as defined by RSA 362:2 and 362:4,
and provides water service to approximately 9, 000 customers
in the Towns of Hampton, North Hampton, and Rye. In DW
08-098, the Commission approved a pilot Water Infrastructure
and Conservation Adjustment Program, or WICA, intended to
accelerate the replacement of aging infrastructure and allow
Aquarion to recover ilie fixed costs of non-revenue producing
capital improvements completed and placed in service through
surcharges on customers' bills following approval by the
Commission. See, Aquarian Water Company of New Hampshire,
Inc., Order No. 25, 019 (September 15, 2009). The WICA
program was extended and modified in Aquarion's last rate
case. Aquation Water Company of New Hampshire, Inc.,
Order No. 25, 539 (June 28, 2013).
On
October 13, 2016, Aquarion filed a petition for approval of
its 2017 WICA surcharge and its 2017 through 2019 capital
projects under its WICA tariff provision. Aquarion supported
its petition and request for relief with the prefiled
testimony of Carl McMorran, its Operations Manager, and Troy
M. Dixon, Director of Rates and Regulation for Aquarion Water
Company of Connecticut, Inc., an affiliate of Aquarion.
Aquarion
requested approval of a 2017 WICA surcharge of 5.72 percent
based on its WICA capital projects completed in 2014 through
2016, to be effective for service rendered on and after
January 1, 2017. Aquarion requested approval for its planned
2017 expenditures, estimated to cost within the range of
$360, 000 to $523, 500 and preliminary approval of its
planned 2018 projects, estimated to cost within the range of
S340.000 lo $503, 500. Aquarion also submitted its
preliminary budget for its 2019 projects for informational
purposes. Aquarion's filing included details about the
actual costs for projects completed in 2013 through 2016.
Aquarion also provided specific detail about the planned or
proposed WICA projects for 2017, 2018, and 2019.
Aquarion's petition and subsequent docket filings, other
than information for which confidential treatment is
requested of or granted by the Commission, are posted to the
Commission's website at
hitp://www.puc.nh.gov/Reimlatorv/Dockelbk/2016/16-828.html.
In
accordance with the procedure approved by the Commission in
Docket No. DW 08-098, Commission Staff (Staff) contacted the
parties to both DW...
