Hedlund, Bradley 'Outraged' By Hingham Water Rate Increase

Hingham water prices will be raised 10 percent and Hingham officials are upset.

On Friday, The Massachusetts Department of Public Utilities granted the Aquarion Water Company permission to raise prices 10 percent which is almost  50 percent less than they requested.

According to the DPU, Aquarion requested a $2,801,403 – or 18.72 percent – increase in its water revenues. The DPU’s order shrunk this increase to $1,499,223 (or almost a 50 percent reduction).

When the new rates go into effect, for residents in Cohasset, Hingham, and Hull, a typical household’s bill will increase by $5.83 per month or about 10 percent. For residents in Millbury and Oxford, a typical household’s bill will increase by $3.99 per month (about 12.5 percent).

On Monday State Rep. Garrett Bradley,(D-Hingham), and State Senator Robert Hedlund (R-Weymouth), issued a joint statement criticizing the decision.

“DPU gave them 50 percent of the cost of their Oxford litigation, and a 10.25 percent return on equity, which in this economy is too high,” said Bradley. “Why should Hingham ratepayers pay for litigation involving Oxford and, at a time when some municipal officials are concerned their pension funds might not meet 8% mandated returns over time, how can they justify Aquarion getting a 10.25 percent guaranteed return for their shareholders paid for by ratepayers?  This is another example of why we need the Attorney General’s assistance in advocating on behalf of the ratepayers of Massachusetts.”

Hedlund shared a similar reaction to Bradley.

“Frankly, I am outraged that Aquarion was awarded any rate increase given the complaints I have received from constituents regarding their water quality,” said Hedlund in a written statement. “To have the cost of litigation in another part of the state borne on the backs of South Shore ratepayers is absurd, and illustrates why the oversight of the Attorney General’s office is necessary in these cases.”

According to Aquarion Vice President of operations Harry Hibbard, the water company proposed to raise prices because expenses for the company have risen by $1.9 million. The company has also stated that revenues are down by $300,000, and there has been Capital investment of $3.9 million over three years.

Aquarion Water Company serves approximately 7,800 customers in Hingham, 4,575 in Hull, and 325 in Cohasset.

Officials from Cohasset, Hingham and Hull are currently reviewing the 297 page order to determine the full impact of the document on local communities.