SaskPower adjusts demand charges, offering relief to farms, rinks, campgrounds

SaskPower is making adjustments to its demand charges, which should provide some relief to heavy seasonal power users like ice rinks, some farms, campgrounds and ski hills.

The Crown power company said demand charges are issued to customers when they use a large amount of power in a short time.

“The charge is necessary because SaskPower must hold adequate power capacity in reserve in case the customer needs it,” SaskPower said in a statement.

Starting May 1, SaskPower said, the period used to calculate the minimum demand charges will drop from 11 months to six months “for eligible seasonal farm and commercial customers.”

The demand period will now reset every November and May, meaning that peak power use for some customers will not be part of the calculations for the minimum monthly charges applied during their off-seasons.

For example, the power company said an ice rink won’t have to pay for the effects of its winter demand charges during the summer months, resulting in lower summer bills.

“SaskPower recognizes the financial challenges that demand charges can place on some of our seasonal customers,” Don Morgan, minister responsible for SaskPower, said in a statement. “That’s why we’re adjusting our billing practices to better reflect how they use that power.”

The changes will benefit about 1,400 customer accounts, SaskPower said, with the average saving about $1,140 each year.

More information on rates can be found on SaskPower’s website.