Ask Janet: Yukon Energy’s Future Business Model?

Today's question: I see Yukon Energy has resumed secondary sales (to Whitehorse General Hospital), because electricity sales have dropped due to a warm winter. Global warming is not the only reason we can expect electricity sales to drop; Demand Side Management initiatives such as inCharge is another and the Micro-Generation and Independent Power Producers programs are others. How will Yukon Energy address these threats to its business model?

It's a good question and not one that can easily be answered in a paragraph or two on this blog. We are certainly monitoring the various trends that you speak of, and are also looking at emerging issues such as energy storage options, alternative energies, etc. We believe that, in spite of possible changes on the horizon, there will still be a need for our services for many years to come. Our harsh climate suggests that at -30, grid power is probably the best option for most people, whether that power is supplied through hydro, wind, or other sources.

I should note that while one would hope our inCharge program is making some difference, the vast majority of the reason for our drop in sales over the last two years is weather-related.