CWT · California Water Service Group

The California Public Utilities Commission (CPUC) issued a final decision on California Water Service's (Cal Water) 2024 General Rate Case and Infrastructure Improvement Plan on April 30, 2026. The decision authorizes a $90.5 million revenue increase in 2026 (10.9% rate increase), $43.2 million in 2027 (4.7%), and $48.9 million in 2028 (5.1%). It also approves $1.45 billion in capital investments from 2024 through 2027 for water quality, pipeline, and supply projects, with an additional $229 million subject to advice letter approval. The decision renews the Monterey-style Water Revenue Adjustment Mechanism and establishes a new sales reconciliation mechanism to adjust sales forecasts annually, enhancing revenue stability. A new rate design better recovers fixed costs regardless of water sales, supporting affordability for low-income customers. Cal Water expects to implement new rates effective July 1, 2026. This regulatory outcome provides multi-year revenue visibility and supports the company's infrastructure investment plans, which are critical for maintaining service reliability and compliance with evolving water quality standards.