Illinois American Water has received a rate increase following a ruling this week by the Illinois Commerce Commission. The water company says it needs the extra revenue to help offset the costs of upgrading infrastructure in the area. In some cases, the water is flowing through 2 inch diameter pipe that is 80 years old.
Illinois American Spokesman Karen Cotton says the increase will amount to about $3 a month for the typical residential customer using 4,500 gallons of water per month.
The new rates go into effect October 1. About $17.9 million in additional annual revenue is expected as a result of the new rates, according to calculations by the ICC.