Turning on the tap could soon cost more.

New Jersey American Water has proposed a water rate hike, adding even more pressure to household budgets.

If approved, the proposal would raise water bills for millions of customers across the state.

The typical residential customer would pay about $10 more a month for water and roughly $8 more for sewer service.

The utility says the increase would help pay more than $1 billion in system upgrades, including replacing aging pipes, removing lead service lines and addressing toxic chemicals like PFAS.

"We've really worked hard at keeping our operating and maintenance costs below inflation. When you look at the cost, for about $3 a day, customers get safe, reliable drinking water," said Mark McDonough, president of New Jersey American Water.

State regulators will now review the proposal, with public hearings expected before a final decision.

If approved, higher water bills could take effect as early as September 2026.