By Pam Wright, Local Journalism Initiative Reporter, Chatham Voice
In an effort to keep pace with capital projects and necessary upgrades, Chatham-Kent’s urban residents will see a nine-per-cent increase on their water bill next year.
That amounts to just over $100 in 2025, raising the amount from $1,234 to $1,343. The cost is based on the average residential customer’s consumption of 188 cubic metres per year.
Another nine per cent will follow in 2026, with a third nine per cent increase slated for 2027.
According to a Water and Wastewater Rates Study presented to the C-K Public Utilities Commission board last week, the municipality needs to spend close to $2 billion over the next nine years to accommodate moderate growth and maintain the system.
Prepared by Watson and Associates, the report outlines work that’s necessary, as well as options to set aside money in reserves for future projects.
C-K PUC general manager Darren Galbraith said the commission’s master plan lifecycle and growth capital project demands are an estimated $870 million for water and $305 million for wastewater, amounting to $1.175 billion.
The board heard the PUC is currently playing catch-up, hard hit by inflation and runaway construction costs.
The last PUC master plan was conducted in 2019-20, Galbraith explained following the meeting, noting construction costs have doubled since then; capacity at existing treatment plants has decreased due to growth, and infrastructure demands are growing due to an aging system.
Additional expected hikes for water and waste water users are seven per cent each year from 2028 to 2030 followed by five per cent annual increases in the years 2031 to 2034.
“The PUC needs to ensure through its revenue streams that it’s going to be sustainable now, and in the future,” Galbraith said after the meeting. “Chatham-Kent is not alone in the province with its infrastructure needs.”
Rates for large water users, such as greenhouses, are going up as well after a long period of lower-than-average rates intended to attract new business. However, Galbraith said new rates are still competitive compared to other Ontario jurisdictions.
But that didn’t sit well with West Kent Coun. Lauren Anderson, who sits on the board.
Anderson questioned why the PUC wasn’t better prepared financially for projects it knew were coming.
As part of new business Anderson put forward a motion to lobby upper tier governments for infrastructure funding, in light of the fact no new funding is anticipated from either the provincial or federal governments.
A motion by Mayor Darrin Canniff to review how the PUC is governed was also approved.
Water and wastewater increases still need to come before council for approval.