The borough’s system had requested an increase of nearly 30 percent, the commission said.
The system serves more than 9,900 jurisdictional customers outside the borough in Penn Township in York County as well as Conewago Township and McSherrystown in Adams County.
The PUC has rate and service jurisdiction over only the system’s customers who are outside Hanover. There are nearly 6,700 customers within the borough, the PUC stated.
Parties reaching the settlement included state governmental entities, the borough and Hanover Foods Corp.
Hanover Foods had filed a formal complaint regarding the proposed rate increase of nearly 30 percent, according to information available on the PUC’s website.