Settlement would halve water rate increase

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Indiana American Water Co.’s proposed 18-percent rate hike would be cut nearly in half under a settlement agreement with the Indiana Office of Utility Consumer Counselor filed yesterday.

The proposal would allow the Greenwood-based firm a 9.9-percent increase in rates and charges.

Indiana American Water also agreed to develop a long-range water conservation plan, to eliminate a proposed energy-rate adjustment mechanism, and to include certain revenue sources to partially offset the need to boost rates, according to the agency.

The office initially recommended a 2.94-percent rate hike.

The settlement would have to be approved by the Indiana Utility Regulatory Commission. Public hearings are planned for Sept. 4 in Indianapolis.

Indiana American Water serves Indianapolis-area cities including Franklin, Greenwood, Noblesville and Shelbyville, as well as other Indiana communities.

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