San Jose Water Files General Rate Case Application Focused On Infrastructure Replacement and Water Quality Projects

San Jose Water Company, a wholly-owned subsidiary of SJW Group, announced the filing of its 2021 General Rate Case (GRC) application with the California Public Utilities Commission (CPUC).

The application supports a $435 million capital investment program to ensure a safe and resilient water system for the customers and communities served. San Jose Water provides water service to over one million people in the greater San Jose metropolitan area.

The company has served customers since 1866, and its aging infrastructure must be replaced as it reaches the end of its service life. Since 2005, San Jose Water has spent more than $1.2 billion to upgrade water infrastructure — ensuring the continued safe and reliable delivery of high-quality water service.

“At about a penny a gallon, water remains one of the greatest values and most critical resources that we rely on in our daily lives,” said Andy Gere, President and COO. “A safe and reliable water delivery system is essential to hygiene and public safety, and also supports fire protection and economic vibrancy. Our investment in local water infrastructure creates jobs locally and helps to ensure resiliency and reliability for generations to come.”

Every three years, water utilities regulated by the CPUC are required to submit a filing detailing proposed rate adjustments and the reasons for these rate adjustments. The CPUC and Public Advocates Office analyze each aspect of the rate application as part of a transparent public process to ensure customers pay just and reasonable rates.

This process also offers the utility a reasonable opportunity to recover its costs, while also providing for continued investment in drinking water infrastructure necessary to maintain safe and reliable water service. Importantly, customers have the opportunity to participate and provide feedback during the rate setting process.

The filing begins an anticipated 12-month review process by the CPUC. The rates included in the application are a proposal. Final rates will be approved by the CPUC following a comprehensive review process.

Some of the projects proposed for completion during the period covered by the GRC include:

• Infrastructure and Maintenance: Replacing 72 miles of aging water mains
• Emergency response preparedness: Strengthening the water system and readiess to deliver safe and reliable water service during power interruptions, earthquakes, pandemics such as COVID-19, and wildfires.
• Customer Service: Deploying technology to deliver exceptional customer service.

Said Gere, “This past year, our nation has faced many unique ordeals. The need to protect public health and safety is crucial as we continue to work and live through the pandemic and other challenges stemming from water quality and climate change. We remain committed to delivering outstanding service to our customers.”

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