Government Will Introduce Legislation to Limit Power Rate Increases

The Nova Scotia government will introduce legislation this spring to help protect Nova Scotia electricity consumers by restricting the Nova Scotia Utility and Review Board to granting only one power rate increase per year.

The utility and review board today, March 10, allowed an 8.9 per cent increase in the domestic residential power rate. This is the second rate increase in slightly less than a year.

"We understand the rate increase will be difficult for all Nova Scotians," said acting Energy Minister Kerry Morash. "For most Nova Scotians, it might not sound like a lot of money, but it is a substantial increase for low-income earners."

Government will also continue energy relief packages for those most in need of energy assistance. To help low-income Nova Scotians, government will develop programs similar to the Keep the Heat and Smart Energy Choices programs. The expanded energy relief packages will reflect the electricity rate increase. Low-income Nova Scotians who heat with electricity also have until March 31 to apply for this year's Keep the Heat program.

"We are in the budget planning process now and we will be looking at ways we can help all electricity users," said Mr. Morash. "In an ideal world, we wouldn't need to have short-term energy programs, but rising energy prices are a reality for governments across the country, and we are committed to working with Nova Scotians to find ways to reduce our energy use."

"The province is pleased the board has also recognized that the rate mechanism for large industrial organizations isn't working," said Mr. Morash. "Large industrial companies are an important part of Nova Scotia's economy. This decision should ensure that a large industrial rate mechanism, that is fair for all parties, will be put into effect."