Saskatchewan NDP critical of increase to power and energy bills

The Saskatchewan NDP said Monday the upcoming increases to power and gas bills in the province were outrageous.

The SaskPower increase would see the average power bill increase by $11 per month (10 per cent) by next April.

SaskEnergy, meanwhile, is proposing a rate hike that would see residential customers pay on average $11.95 more per month in the first year, $2.43 more per month in Year 2, and $2.53 more per month in the third year.

Aleana Young, the NDP’s critic for SaskPower and SaskEnergy, stressed the increase in power and gas bills will negatively impact Saskatchewan people.

“This is just another way that Saskatchewan people are being squeezed by a government that has record revenues,’” she said during a media conference Monday.

“What we see today isn’t surprising given the cost of natural gas and that is out of the control of SaskEnergy. What is surprising is we see a government who is intent on pillaging a Crown corporation.”

Young says the Saskatchewan Party government has taken a $22-million dividend from SaskEnergy in addition to a $50-million divestment of equity this year. She suggests the government also is bypassing the Saskatchewan Rate Review Panel with a three-week timeline for SaskEnergy rate application.

Young feels the government is flush with cash right now because of more revenue coming to the province from a bounceback in oil prices.

But she adds despite the revenue, the government is refusing to do anything to give people a break on their bills.

“This isn’t about a lack of funds, this is a lack on the willingness to do literally anything about affordability,” she explained. “This isn’t optional, this isn’t about cutting out your avocado toast or lattes, this is about keeping your home heated or cool.”

Young thinks the Sask. Party government will continue to say the utilities have some of the lowest rates in Canada. While that is true, she says a rise in power and energy costs now is just another burden for those already struggling.

She suggests there are ways to avoid making Saskatchewan people pay more to heat and cool their homes.

“You have a government right now flush with cash, (its) taxation revenue is through the roof and instead of using Crown corporations to help offset the crushing cost of living, they’re turning around with everything in their control and increasing rates and costs to households,” she said. “It’s truly mind-boggling.”

The minister responsible for the two utilities, Don Morgan, wasn’t made available for comment, but he sent a statement to 980 CJME following the announcement.

Morgan says the increase in rates is being done so SaskPower can provide a reliable supply of power and ensure the company remains on solid financial footing. He added this is the first rate increase customers have seen in four years.

The carbon tax also was cited as a reason for why rates need to be increased, as it has cost SaskPower an estimated $51 million in the first quarter of 2022.

As for why prices from SaskEnergy are increasing, Morgan said that has to do with a spike in natural gas prices.