Premier 'shocked' by Nova Scotia Power's proposal, plans to intervene during public hearings

Nova Scotia Premier Tim Houston says he was shocked by a proposal from Nova Scotia Power to increase residential power rates by 10 per cent over the next three years.

Houston said the government will sit as an intervener during the Nova Scotia Utility and Review Board's (UARB) public hearings to argue against the proposed rate hike.

"We will be intervening in that process and we are exploring other actions because our only priority is to the ratepayers of this province,” said Houston.

All parties in the Nova Scotia legislature agreed, saying the proposed increase was “unreasonable” and “disappointing.”

“This increase that Nova Scotia Power is asking for is unaffordable to all Nova Scotians,” said Liberal Leader Iain Rankin. “The Houston government should do whatever it can to ensure Nova Scotians that their pocketbooks are protected."

This is Nova Scotia Power’s first general application to the province’s Utility and Review Board since 2012. Since then, the rate has increased annually on average by the rate of inflation.

The NDP says the proposed rate will hurt Nova Scotians and comes at a time when many are struggling to put food on the table and pay rent.

“Considering the unreliability of the grid and the frequent power outages experienced by Nova Scotians, especially in stormy weather like we are expecting this weekend, asking people to pay 10 per cent more over three years is shocking,” said Claudia Chender, the NDP's natural resources and renewables spokesperson.

"They (NS Power/Emera) are a company worth tens of billions of dollars and the maintenance that we need, the basic maintenance isn't done."

Chender says Nova Scotia Power has no accountability to its customers under the current regulatory structure and that needs to change.

She points to frequent outages that impact customers and businesses.

Some companies, like Covered Bridge Chips, have made an effort to capitalize on what Chender says is a falling infrastructure and weak power grid.

"The whole popularity of storm chips, why do we have that?” said Chender. “We have that because we lose power all the time."

In its application, Nova Scotia Power proposed a new "service access fee" to charge solar customers a fee to sell energy back to the grid. The solar industry has railed against it, saying the new fees would devastate the industry.

Rankin said the “solar fee” could be a distraction tactic or bargaining chip used by Nova Scotia Power to get the 10 per cent rate increase they are looking for.

"They could be aiming high and hoping to get somewhere in the middle,” said Rankin. “But I am fearful the solar exercise is just a distraction from the rate increase that they are asking for."

Nova Scotia Power said it won’t be commenting on the status of its application now that it has been submitted to the Utility and Review Board.

It’s anticipated the UARB will open up the public review of the 3,100-page application later this week.

With Files from The Canadian Press.