PROJECTS

Tariff Submission for Puerto Rico Water Utility

The problem

The wholesale water supplier (PRASA) to the Coco Beach Utility Company (CBUC) was planning to increase the tariff charged to CBUC by 49 percent. CBUC was already paying a high price for the water it provided to its customers because PRASA charged it a commercial tariff instead of a more appropriate industrial tariff.

How we helped

Castalia prepared a tariff submission arguing that CBUC should be charged an industrial tariff. We found that CBUC covered the costs for water distribution, metering and billing. Given that PRASA covered these costs for other commercial customers but not for CBUC, it was unfair for CBUC to pay a commercial tariff.

Impact

CBUC presented the tariff submission to PRASA. As a public body, we expected PRASA to make a fair decision regarding CBUC’s tariff submission.

Our team

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