After reviewing the recommendations of the Saskatchewan Rate Review Panel (SRRP), the Government of Saskatchewan has advised SaskPower to proceed with a 4.5 per cent system average rate increase, effective August 1, 2010.
You can find the SRRP Report, our rate application and associated appendices on the Saskatchewan Rate Review Panel Website.
What does it mean for me?
On average, typical residential customers will see an increase of about $5-10 per month on their power bills.
Lower than expected
SaskPower had requested a 7 per cent system average rate increase. During the rate application review process, SaskPower was able to provide updated economic forecasts to the SRRP. These updated economic forecasts were incorporated into the review and resulted in the recommendation of a 4.5 per cent system average rate increase.
Comparatively, SaskPower rates are about 20 per cent lower than other thermal-generation based utilities across Canada.
Why increase the rates?
We're renewing our electricity system
The majority of our generation facilities, as well as the power lines, poles and other equipment needed to deliver electricity to our customers were built 30–50 years ago.
The much-needed upgrades to our infrastructure require significant capital investments—now and in the coming years. New facilities and equipment will cost much more than the equipment being replaced—in part because of rising costs, and also because it needs to meet much stricter environmental regulations.
We need to meet the power needs of a growing province
We've recently set records for new service applications, as well as peak load (the amount of power required by customers at one time). We expect this higher demand for service to continue into 2010 and beyond.
Meeting this demand requires significant investment in new generation, as well as significant investment in existing and new transmission and distribution infrastructure, to ensure we have enough power available to sustain our province's growth.
We must invest now to ensure the future energy needs of the province are met in an environmental, sustainable and affordable manner.
Contact us
For more information, contact us about our rate application. You can also contact the Saskatchewan Rate Review Panel.
