South Central CT Regional Water Authority looking to extend coverage, leaving residents concerned

NEW HAVEN, Conn. (WTNH) — The South Central Connecticut Regional Water Authority is looking to extend their coverage in Connecticut by over 700,000 customers.

The utility company wants to buy Aquarion Water from Eversource, but consumers have some concerns about how this will impact rates.

“Really high leverage buyout,” Fairfield First Selectman Bill Gerber said.

Aquarion Water customers are wary of a larger company bidding to take over.

“These are factors that play a significant role of cost of living and quality of life in our region,” Bridgeport Regional Business Council’s Dan Onofrio said.

The RWA is among numerous bidders to acquire Aquarion, who serves over 770,000 customers including in Marlboro, Oxford, Southington, Torrington, Southbury and Granby.

“The economy’s of scale that we would be achieve which will result in savings for customers both with RWA and Aquarion,” RWA President and CEO Larry Bingaman said. “We also see the opportunity for providing better career paths for employees.”

But at Tuesday night’s policy board meeting, customers who spoke during public comment had doubts and said rates would increase for both RWA and Aquarion consumers.

“As a rate payer I’m disturbed by the proposed rate increases RWA has scheduled for January 2025. How are rates continue to increase yearly and I don’t understand how this new purchase will prevent future increases,” Local 12160 Union President and RWA Employee Wanda Howard said.

“Will see property tax increases to make up for the loss of revenue from a private company paying tax on their property,” said concerned senior citizen Todd Laudonia. “Inevitable rate increase based on the history shown by the South Regional Water District and you are looking at a scenario of once more pickpocketing the pockets of south western Connecticut residents.”

Over the last decade, RWA rates have spiked 40%, while Aquarion only saw an 8% increase. Bingaman said it’s comparing apples to oranges.

“Aquarion hasn’t had a rate increase in 11 years and during that time they had a decrease in rates due to tax laws. Finally they just had their rates decreased by PURA,” Bingaman said.

Bingaman said neither Aquarion nor RWA customers will pay for the acquisition.

He adds this deal will mark the fourth time in 25 years Aquarion has changed owners and RWA will offer long-term stability.

“This will benefit customers, employees and communities,” Bingaman said.

Aquarion is expected to accept a bid by December. Then, PURA would have a round of public hearings and an approval process that would take another six months.

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