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Government Reduces 2015 SaskPower Rate Increase

Released on September 17, 2014

The Government of Saskatchewan today announced its decision concerning SaskPower’s multi-year rate application:
  • Approval of the system-wide average rate increase of 5.5 per cent that was effective January 1, 2014. This will not affect current billing as it has been in effect since January 1, 2014, on an interim basis.
  • Reduce SaskPower’s system-wide average rate increase of 5.0 per cent, previously conditionally approved, to 3.0 per cent effective January 1, 2015.
“Saskatchewan’s power infrastructure is aging and needs to be replaced,” Minister responsible for SaskPower Bill Boyd said.  “Our province’s economy and population is growing, creating greater demand for power.  This increase is necessary to ensure every resident and business in Saskatchewan has a reliable and secure source of power.

“SaskPower is forecasting an improved financial outlook for 2015 and is therefore able to reduce the 2015 rate increase percentage from what was originally requested.  The company is always looking for ways to reduce operational costs and find business efficiencies, at the same time balancing the need to invest for Saskatchewan’s future power needs.”

SaskPower submitted its application in October 2013 to the Saskatchewan Rate Review Panel (SRRP) to fund ongoing major investments in the province’s electrical system and keep pace with the growing economy and population base.

After a thorough review of the application, the SRRP recommended government approve the requested 2014 rate increase and conditionally approve the requested system-wide average 5.0 per cent increase for 2015.  After careful consideration, the Government of Saskatchewan has approved the 2014 increase request as submitted, but due to an improved financial outlook for 2015, a 3.0 per cent system-wide average rate increase instead of the conditionally-approved 5.0 per cent has been approved.

The 2014 rate increase took effect on January 1, 2014, on an interim basis and resulted in an average monthly increase of $5 per urban residential customer.  The newly recommended system-wide average 3.0 per cent increase for 2015 will mean an additional $3 per month on average for urban residential customers.

SaskPower’s rate strategy is to maintain competitive and affordable rates while balancing the need to fund an estimated $1 billion per year investment in Saskatchewan’s electrical infrastructure into the future.

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For more information, contact:

Tyler Hopson
SaskPower
Regina
Phone: 306-566-3167
Email: thopson@saskpower.com
Cell: 306-536-2886

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