Revelstoke dam on the Columbia River is due to have a sixth water turbine added

BC Hydro rates rise as demand slows

Four per cent rate hike already in effect, more to come as BC Hydro looks for savings to offset slow industrial demand

BC Hydro is going ahead with its planned four per cent rate increase this year and deferring more debt to future years as it revises its electricity demand forecast downward.

The provincially-owned utility has not asked for an increase in its government-imposed rate plan despite a revised demand forecast with $3.5 billion less revenue over the next 10 years. BC Hydro has filed a three-year plan with the B.C. Utilities Commission that would increase rates four, 3.5 and three per cent in the next three years. The four per cent increase is already showing up on customer bills as an interim increase.

With the Site C dam on the Peace River and other upgrades amounting to $2 billion a year, the plan includes additional deferred debt until 2023, when Site C is due to be completed. BC Hydro CEO Jessica McDonald said the long-term nature of capital projects means its capital cost savings don’t start until the next decade.

BC Hydro has also cut some of its familiar Power Smart activities, such as the fridge buy-back plan and incentives for energy efficient light bulbs.

McDonald said BC Hydro is seeing lower revenues due to two warm winters and downturns in mining and forest products. It still projects growing overall demand as population and economic growth continue.

NDP energy critic Adrian Dix said the new deferred debt represents roughly $500 for each of BC Hydro’s two million customers, and it is a political move to get the B.C. Liberal government past next year’s election.

The 10-year rates plan imposed by Energy Minister Bill Bennett in 2013 overstated demand to justify the construction of Site C, and translates to a 28 per cent rate increase. It allows the utilities commission to regain control over approving customer rates by 2020, after five years of political direction.

Dix said with the new demand forecast and commodity prices expected to remain low, BC Hydro should have added a sixth turbine to its Revelstoke dam for $450 million before embarking on the $9 billion Site C project.

 

Just Posted

Aussies buy majority stake in Red Chris mine

Company looks forward to relationship with Tahltan Nation

B.C. First Nations’ intake of essential nutrients to drop by 31 per cent: study

Professors project the nutrient decrease by 2050 if climate change mitigation continues as is

B.C. minister says rural internet is ‘railroad of the 21st century’

Jinny Sims talks details about the $50-million provincial and possible $750-million federal funds

CityWest to reopen its Kitimat office

The company anticipates growth in demand for services with LNG Canada’s project

Astronaut’s visit uplifts Telegraph Creek

Chris Hadfield visit part of field research on world’s first electric polar-exploration vehicle

VIDEO: Can you believe it? This B.C. hill pulls cars backwards up a slope

Sir Isaac Newton had clearly never been to this Vernon anomaly when he discovered gravity

Mayor meets with B.C. health minister on homeless taxi transfers

Two homeless people were discharged from Surrey Memorial and sent to a Chilliwack shelter

B.C. lottery winner being sued by co-workers

They claim he owes them $200,000 each, in a lawsuit filed in B.C. Supreme Court in Vancouver

Teacher reprimanded for conduct towards special needs student

Alan Stephen Berry told vice principal he did not have time to use positive strategies

‘Full worm super moon’ to illuminate B.C. skies on first day of spring

Spring has sprung, a moon named in honour of thawing soil marks final super moon until 2020

Having phone within sight while driving does not violate law: B.C. judge

The mere presence of a cell phone within sight of a driver is not enough for a conviction, judge says

Woman punched on the sidelines of B.C. soccer game

Both involved were watching the U21 game in West Vancouver from the sidelines when things got heated

Fraser Health under fire again for taxiing homeless man from Langley to Hope

Patient sent to Hope shelter because a spot in the man’s home community couldn’t be located

B.C. launches immunization program at schools to stamp out measles resurgence

Vaccination records to be checked at B.C. schools next fall

Most Read