Cal Water General Rate Case
Every three years, California Water Service (Cal Water) is required to submit an Infrastructure Improvement Plan to the California Public Utilities Commission (CPUC), including all rate changes, to ensure water rates accurately reflect the costs of providing safe, reliable water service. In this General Rate Case (GRC) process, the CPUC sets rates to cover the costs of providing service. Major costs to operate a water system include but are not limited to capital projects, purchased electric power, purchased water, labor, and chemicals.
Cal Water submitted its 2021 General Rate Case (GRC) application on July 1, 2021, which, if approved, would affect all Cal Water ratepayers from 2023-2025. If Cal Water’s proposal is approved by the CPUC as submitted, it is anticipated to increase the average residential customer’s bill by approximately $2.64 or 2.5% per month in 2023, $3.89 or 3.6% per month in 2024, and $3.75 or 3.3% per month in 2025. The average residential customer in Rancho Palos Verdes has a 5/8” x 3/4" meter, using 15 CCF (one-hundred cubic feet), or 11,221 gallons of water per month.
The proposed GRC additionally includes a substantial reduction in the rate of the first 6 CCF of water usage per month for all customers. The CPUC has recognized this six-unit block as essential for basic needs.
The City has prepared an interactive calculator to help residents estimate the change to their bill, as currently proposed in the GRC. Calculation is approximate based on rate proposals submitted to the California Public Utilities Commission (CPUC) on July 1, 2021 that, if approved, would be effective January 1, 2023. Actual CPUC-approved rates may vary. Notification will be provided by Cal Water to ratepayers in advance of January 1, 2023 of final approved rates. This calculator is intended to help homeowners estimate water bills prior to final approved rates. Actual bills may vary based on additional taxes, fees, and/or discounts. For questions on your bill, please contact Cal Water at (310) 257-1400. For more information on the ratemaking process, visit calwater.com/help/rate/water-rates-set/.
The CPUC is hosting a public hearing on the rate case on April 20 at 5:30 p.m. Information on participating in the hearing is available on the CPUC website. Comments may be submitted in advance via the CPUC Docket Card.