Virginia American Water Files Rate Request Driven by $110 Million in Investment

Request reinforces company’s commitment to providing safe, reliable and affordable water and wastewater service

Alexandria, Va. (November 1, 2023) – Virginia American Water filed a general rate application today with the State Corporation Commission (SCC) requesting recovery of $110 million in capital investments between May 2023 and April 2025, to continue providing safe and reliable service. The company continues to make needed investments to replace aging infrastructure, comply with water quality and environmental regulations, and meet customers’ other water and wastewater service needs. The filing includes the acquisition of the water and wastewater assets of the Town of Cape Charles and the drinking water assets of E.L. Goddard Inc.  

“Our approach of long-term, consistent investments in both our water and wastewater systems helps maintain the quality of service our customers expect today and in the future. As a company, we believe that the service we provide must be safe and comply with EPA regulations and Safe Drinking Water Act standards; reliable, so that it is resilient in the face of floods, droughts, and other weather-related risks; and affordable,” said Barry Suits, Virginia American Water president. “One of the steps we are taking to address the issue of affordability is proposing a universal affordability tariff in our request to help keep rates affordable and expand our low-income discount program.”

In today's filing, Virginia American Water is seeking an annual revenue increase of approximately $19.7 million. Interim rates, based on the company’s proposed increase, are planned to take effect on or about May 1, 2024. Rates for Virginia American Water’s residential customer using 4,000 gallons of water per month will change in each service area as follows:

  • Alexandria: $10.36 increase per month
  • Hopewell: $8.91 increase per month
  • Eastern: $17.40 decrease per month
  • Prince William: $7.42 increase per month for water service, and $11.76 increase per month for wastewater service


*Amounts include the third and final phase of purchased water consolidation.

This filing includes the final step toward fully consolidated rates. Once rates are fully consolidated, all of Virginia American Water’s residential water customers will have the same base rates. Consolidated rates allow costs associated with infrastructure investment to be allocated statewide among Virginia American Water’s growing customer base helping to stabilize future rates and maintain affordability.

Results of a customer affordability study conducted as part of the filing demonstrate that the affordability of the company’s water and wastewater services as a comparison of monthly bills to monthly household income has steadily improved over the past decade and will remain affordable under the company’s proposed rates.

Recognizing that affordability may still be an issue for some customers, the company is proposing a new universal affordability tariff to help families experiencing hardship with their water bills as part of this filing. The new affordability tariff, if approved by the SCC, would be available to qualified residential customers. Under this expanded tariff, eligible households would receive monthly bill discounts of between 20 and 80 percent for water and wastewater service.

Final rates are subject to the SCC’s final decision, which includes a thorough public review of Virginia American Water’s rate application. The SCC’s rate review process offers multiple opportunities for customer involvement. Customers can participate through written comments, attendance at public input hearings, and consumer advocacy organizations that participate in the proceedings. For more information on the company’s rate proposal and to find out what actions customers may take, visit and select “Your Water and Wastewater Rates” under the Customer Service & Billing menu.

Virginia American Water, a subsidiary of American Water (NYSE: AWK), is the largest investor-owned water utility in the state, providing high-quality and reliable water services to approximately 350,000 people. For more information, visit and follow Virginia American Water on Twitter and Facebook.

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Marybeth Leongini

External Affairs Manager