Yukon Energy has filed an application with the Yukon Utilities Board for its first rate increase since 2013. The Corporation is asking for a nine percent increase over two years (2017 and 2018). Yukon Energy hasn’t had a rate change since 2013, meaning this increase would equate to 1.75 percent a year between 2014 and 2018.
The increase would impact both Yukon Energy and ATCO Electric Yukon customers.
“Over the last four years Yukon Energy has worked hard to avoid the need for any rate changes,” Yukon Energy President Andrew Hall said. “However we are facing increased costs to modernize our aging infrastructure and to ensure reliable energy during winter peaks. We are also seeing inflation in some of our operating expenses.”
“Delaying an increase would just compound the problem and mean even higher rate hikes down the road,” Hall said.
Yukon Energy has completed a number of projects since its last General Rate Application (GRA) that address aging assets and it is appropriate to now put those into rates. The projects include the Whitehorse LNG project and major repairs to the elevator shaft at the Aishihik hydro facility.
A GRA would also allow Yukon Energy to pass on the benefit of lower LNG pricing (compared to diesel) to ratepayers.
The increase that Yukon Energy is asking for on an annual basis is consistent with inflation on a number of other consumer costs such as housing, telephone and internet, and water and sewer.
Hall noted that even with an increase, Yukon rates remain the lowest in the North and are competitive with many other jurisdictions in Canada.
“We recognize that even a small increase can be a hardship for some people,” Hall said. “There are steps most Yukoners can take to keep their bills affordable. Our inCharge program provides rebates and energy saving tips, as does the Yukon government’s Good Energy Program. We will work with customers to provide them with the tools and information they need to take more control over their electricity bills.”
Yukon Energy Corporation
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