Website: www.puc.idaho.gov
Commission denies surcharge, allows some conservation
programs
State regulators have denied a request by United Water
Idaho Inc. to initiate a 0.33 percent surcharge to pay for seven water
conservation programs. However, the Idaho Public Utilities Commission did
approve four of the programs, allowing the Boise area water company to defer
their expenses for possible recovery from customers at a later date.
At the conclusion of United Water’s 2004-05 rate case, the
commission directed the company to update its 1993 conservation plan. After
evaluating 91 potential water conservation measures, the company proposed to
implement seven programs, adding about $120,000 to the existing $124,000
conservation budget. To pay for the additional $120,000 in program costs,
United Water proposed a 0.33 percent surcharge, which would increase an average
residential customer bill by about $1.20 per year.
However, the commission said some of the proposed new
programs, while expanding educational and recognition efforts, would not
produce tangible conservation of water. “The updated plan filed by United Water
does not make a compelling case for increasing the budget to educate the public
generally about water conservation measures,” the commission said.
The commission did approve four programs, at an estimated
annual cost of $108,000, aimed at directly reducing water consumption. Those
programs include:
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Vouchers for customers who purchase a sensor that shuts
off water for irrigation when it rains.
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Vouchers for customers who buy hose timers and trigger
shut-off valves.
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Free installation of 1.6 gallon-per-minute spray nozzles
for the rinse-and-clean operations in restaurants and other commercial
kitchens.
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A xeriscape garden demonstration project.
The commission said United Water
could track the expenses for the programs for possible recovery from customers
after the commission reviews and audits the programs. The company will be
required to show that the deferred costs are above amounts already included in
base rates.
A full text of the commission’s order, along with other documents related to this case, are available on the commission’s Web site at www.puc.idaho.gov. Click on “File Room” and then on “Water Cases” and scroll down to Case Number UWI-W-06-05.