Nova Scotia Power has forwarded a proposed settlement to the provincial regulator for a rate application it says will adhere to the province’s 1.8 per cent cap on non-fuel rates.
The privately-owned utility is asking the Nova Scotia Utility and Review Board (UARB) for an average rate increase of 6.9 per cent in 2023 and 2024, which includes both fuel and non-fuel increases.
““There’s no question this is a hard time for Nova Scotians and great attention must be paid to the current concerns over the rising cost of living, while also ensuring we maintain the most basic needs for a reliable electrical system,” said Peter Gregg, NS Power president and CEO, in a statement late Thursday.
The application also includes conditions for the company to recover fuel costs for generating electricity, as well as a customer surcharge of $19.17 per month for residential customers and $21.28 for businesses.
A Storm Rider is also being proposed, to allow NS Power to apply to the UARB to recover costs for severe storms, such as Juan, Dorian and Fiona.
“NS Power can apply to the UARB if the amount exceeds $10.2 million in 2023, $10.4 million in 2024, and $10.4 million in 2025. The Storm Rider will end after the recovery of any 2025 storm costs,” noted NS Power in a fact sheet provided to media.
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In September, a nine-day UARB hearing was held during which NS Power asked to increase rates by an average of 11.6 per cent by 2024 to upgrade its grid.
On Nov. 8, Nova Scotia passed Bill 212 to limit non-fuel rate increases to no more than 1.8 per cent over the next two years — excluding increases linked to fuel costs.
NS Power said it worked with several intervenors to arrive at the new rate proposal, including consumer and small business advocates, the Ecology Action Centre, Dalhousie University the Affordable Energy Coalition and municipal utilities.
The proposed settlement is now with the UARB for consideration.
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