What is Rate Schedule 39?

Jan 27, 2011  Comment

Today's question: What is Rate Schedule 39 and why have you asked the Yukon Utilities Board to increase that rate?

Thanks for your question. Rate Schedule 39 is the rate charged to industrial customers. Right now we have two industrial customers – the mines at Minto and Keno. This rate was set by the Yukon government for the period from 2007 to 2012 in an Order-in-Council (2007-94) and was later approved by the Yukon Utilities Board (YUB). The rate provides for increases for inflation each year starting in 2010. Last year there was no increase, as inflation was negative. This year, Yukon Energy has requested the adjustment for inflation.

The most recent data available from Statistics Canada indicates that Demand and Energy charges for Rate Schedule 39 need to be increased by 2.8 percent to be brought in line with inflation.

YUB Order 2010-12 established a procedure to review the required adjustments. This process is underway now and will conclude on March 2. Details can be found on the Yukon Utilities Board's website.

In a letter filed with the YUB December 30, Yukon Energy asked that that Demand and Energy charges in Rate Schedule 39 be increased by 2.8 percent on an interim refundable basis effective January 1, 2011. In other words, we asked that we be allowed to charge the mines the increase starting in January, and then any necessary adjustments be made once the YUB process is over and a decision made. YUB Order 2010-15 approved that request.  

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