ENV Plans to Increase its Sewer Service Charges Beginning in Fiscal Year 2026
- Sewer fees will increase annually over a 10-year period
- Fee structure will change to a 50% fixed (or base) charge and 50% volumetric charge for greater customer control of bill
- $10 million per year dedicated to a new low-income customer assistance program
ENV at a glance
As the largest sewer utility on Oʻahu, ENV provides comprehensive sewer services to ensure the proper collection, transportation, and treatment of wastewater across the island. ENV strives to ensure that the wastewater system is self-sufficient and not reliant on general property taxes or other City resources. ENV relies on the sewer fee revenues to fund infrastructure operations and improvements. Customer fees must be adjusted to meet required program expenses.
Reason for Increase
ENV’s efficient spending has allowed us to keep sewer fees unchanged since 2016. However, additional revenue is now required for wastewater operations and maintenance (O&M) and the Capital Improvement Program (CIP). ENV’s CIP will cost $10.1 billion between 2025 and 2040. The largest CIP project is the final phase of the 2010 consent decree, the Sand Island Wastewater Treatment Plant upgrade, to be completed by 2035 at a cost of $1.8 billion. The CIP includes many other projects to repair and upgrade facilities to meet regulatory requirements and to continue preparing our critical infrastructure for climate change/sea level rise. Sewer fees must increase to fund these critical programs.
How will additional revenue be used?
Additional sewer fee revenue is required to pay increasing O&M expenses and Capital Improvement Projects (CIP) costs, including debt service for the CIP program. The rate adjustments aim to accomplish the following objectives: continue providing safe and reliable sewer services, account for inflation and strengthen ENV purchasing power, comply with the consent decree and other evolving regulatory requirements, address aging infrastructure and protect infrastructure from the impacts of climate change, and encourage water conservation and give customers more control over their bills. The following figures show O&M expenses, CIP costs and total sewer fee revenue requirements. The revenue requirements are used to calculate the needed fee increases.
Amount of Increase
Sewer fees will increase 9% per year for six years from Fiscal Years (FY) 2026-2031, and then increase by 8%, 7%, 6%, 5%, from FYs 2032-2035, respectively. This is a cumulative increase of 115%, which includes 36% for inflation. FY 2026 starts July 1, 2025.
The average single-family home on Oʻahu uses 9,000 gallons of water per month. Here is what a sewer bill for the average single-family home will be over the 10-year duration of the rate increases:
Fiscal Year
Sewer Bill
Base + Volumetric = Total
Fiscal Year
Sewer Bill
2025 (current)
$77.55 + $33.34 = $110.89
2026
$77.83 + $44.21 = $122.04
2031
$88.80 + $104.40 = $193.20
2027
$77.52 + $56.81 = $134.33
2032
$95.90 + $112.82 = $207.72
2028
$76.53 + $71.28 = $147.81
2033
$102.62 + 120.67 = $223.29
2029
$74.74 + $87.91 = $162.65
2034
$108.77 + $127.94 = $236.71
2030
$81.47 + $95.83 = $177.30
2035
$114.21 + $134.35 = $248.56
Shifting the Rate Structure
Beginning with the rate increase in FY 2026, the basis for calculating sewer bills will change from a 70% base (or fixed) charge to a 50% base charge, and from a 30% volumetric (or usage) charge to a 50% volume charge. This change will occur in equal increments over four years. New sewer bills will then be 50% base charge and 50% volumetric. This shift of fee structure from base to volumetric allows greater control of your sewer bill and means that conserving water will have a significant impact on reducing your bill.
New Customer Assistance Program
ENV is starting a program called Customer Assistance for Residential Environmental Services (CARES) to help with affordability and equity. Sewer customers who qualify based on household income of less than 80% area median income will be eligible for a $20 to $25 credit on their monthly base fee. The program will be funded at $10 million per year. Customers will have to apply for the program to prove eligibility and then be re-verified every six months.
Year | Base Fee ($/month) | Vol. Fee ($/1k gal) | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 12 | 14 | 16 | 18 | 20 | 25 | 30 |
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
2024 | 77.55 | 4.63 | 84.96 | 88.66 | 92.37 | 96.07 | 99.77 | 103.48 | 107.18 | 110.89 | 114.59 | 122.00 | 129.41 | 136.81 | 144.22 | 151.63 | 170.15 | 188.67 |
2025 | 77.83 | 6.14 | 87.65 | 92.57 | 97.48 | 102.39 | 107.30 | 112.21 | 117.13 | 122.04 | 126.95 | 136.77 | 146.60 | 156.42 | 166.25 | 176.07 | 200.63 | 225.19 |
2026 | 77.52 | 7.89 | 90.14 | 96.46 | 102.77 | 109.08 | 115.39 | 121.70 | 128.02 | 134.33 | 140.64 | 153.26 | 165.89 | 178.51 | 191.14 | 203.76 | 235.32 | 266.88 |
2027 | 76.53 | 9.90 | 92.37 | 100.29 | 108.21 | 116.13 | 124.05 | 131.97 | 139.89 | 147.81 | 155.73 | 171.57 | 187.41 | 203.25 | 219.09 | 234.93 | 274.53 | 314.13 |
2028 | 74.74 | 12.21 | 94.28 | 104.04 | 113.81 | 123.58 | 133.35 | 143.12 | 152.88 | 162.65 | 172.42 | 191.96 | 211.49 | 231.03 | 250.56 | 270.10 | 318.94 | 367.78 |
2029 | 81.47 | 13.31 | 102.77 | 113.41 | 124.06 | 134.71 | 145.36 | 156.01 | 166.65 | 177.30 | 187.95 | 209.25 | 230.54 | 251.84 | 273.13 | 294.43 | 347.67 | 400.91 |
2030 | 88.80 | 14.50 | 112.00 | 123.60 | 135.20 | 146.80 | 158.40 | 170.00 | 181.60 | 193.20 | 204.80 | 228.00 | 251.20 | 274.40 | 297.60 | 320.80 | 378.80 | 436.80 |
2031 | 95.90 | 15.67 | 120.97 | 133.51 | 146.04 | 158.58 | 171.12 | 183.65 | 196.19 | 208.72 | 221.26 | 246.33 | 271.40 | 296.48 | 321.55 | 346.62 | 409.30 | 471.98 |
2032 | 102.62 | 16.76 | 129.44 | 142.84 | 156.25 | 169.66 | 183.07 | 196.48 | 209.88 | 223.29 | 236.70 | 263.52 | 290.33 | 317.15 | 343.96 | 370.78 | 437.82 | 504.86 |
2033 | 108.77 | 17.77 | 137.20 | 151.42 | 165.63 | 179.85 | 194.07 | 208.28 | 222.50 | 236.71 | 250.93 | 279.36 | 307.79 | 336.23 | 364.66 | 393.09 | 464.17 | 535.25 |
2034 | 114.21 | 18.66 | 144.07 | 158.99 | 173.92 | 188.85 | 203.78 | 218.71 | 233.63 | 248.56 | 263.49 | 293.35 | 323.20 | 353.06 | 382.91 | 412.77 | 487.41 | 562.05 |
Total % increase over 10 years | 70 | 79 | 88 | 97 | 104 | 111 | 118 | 124 | 130 | 140 | 150 | 158 | 166 | 172 | 186 | 198 |