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SFPUC approves wholesale rate increase, adds environmental surcharge
Summary
The San Francisco Public Utilities Commission adopted a wholesale treated-water rate increase to $2.63 per unit (about a 38% rise) and approved an environmental enhancement surcharge framework to apply if deliveries exceed the interim 265 MGD threshold; commissioners added an amendment directing staff to work closely with wholesale customers on transparency and projections.
The San Francisco Public Utilities Commission on May 10 approved a rate adjustment for wholesale treated water and put in place an environmental enhancement surcharge that would take effect only if system deliveries exceed the contract trigger.
Todd Reedstrom, assistant general manager and chief financial officer, told the commission the proposed wholesale rate for treated water would rise from $1.90 to $2.63 per unit beginning July 1, closing a projected $50 million shortfall that staff attributed largely to higher anticipated debt service and partial repayment of a long-standing balancing-account receivable. Reedstrom said the proposal assumes wholesale deliveries of…
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