Water and Sewer

The Commission regulates 10 water utilities. The 10 water utilities own approximately 105 separate systems, ranging in size from 37 customers to about 28,300. Pennichuck Water Works, Inc. is the largest water utility, serving the greater Nashua area and several smaller systems in the southern part of the state.

The 10 water utilities regulated by the PUC serve roughly 15% of all of New Hampshire's residents. The majority of residents are served by either a municipal utility or by private wells. It is estimated that 38% of New Hampshire residents receive their water from private, on-site wells.

The water utilities are grouped by size into Classes A, B and C pursuant to N.H. Code Admin. Rules Puc 602. Class A represents water utilities having annual water operating revenues of $750,000 or more, including Aquarion Water Company of New Hampshire, Inc. (owned by the Eversource Energy parent company); Pennichuck Water Works, Inc.; Pennichuck East Utility, Inc.; Pittsfield Aqueduct Company, Inc.; Lakes Region Water Company, Inc.; and Hampstead Area Water Company, Inc. Class B represents water utilities having annual water operating revenues of $150,000 or more, but less than $750.000. Class C represents water utilities having annual water operating revenues of less than $150,000.

Water Utility & Area Served

In general, the Commission does not regulate municipal water and sewer utilities. Municipal utilities include the town- or city-owned systems, water districts and water precincts where customers participate in the management of the utilities through a democratic voting process. 

Only in circumstances where a municipal water or sewer utility serves customers outside its corporate boundaries does state law require Commission review. Municipal utilities are not regulated if the rates charged to customers outside its boundaries are the same as those set within. If the municipal utility wishes to assign its outside customers a higher rate, it must seek Commission approval. However, a municipal water utility may charge new customers outside its boundaries a rate up to 15% higher than its inside customers and remain exempt from regulation if those new customers are added through the main extension or other expansion of the municipal system.

In response to water supply and water pollution problems in southern New Hampshire, the Department of Environmental Services has promoted a large water infrastructure investment project referred to as the Southern Interconnect Project (SIP). The SIP is primarily funded by the New Hampshire Drinking Water and Groundwater Trust Fund. The SIP infrastructure improvements include a new source of supply taken from the Merrimack River in Hooksett, New Hampshire developed by Manchester Water Works. The additional water supply is distributed south through several regulated water utility service territories to deliver additional supply to towns along the route. The initial phase of the SIP is in service with additional phases planned as population and demand for water increase in the southern tier of the state.

The Commission regulates five sewer utilities.

Sewer Utility & Area Served