The Consumer Advocate has concerns and wants to see big changes in how and when electricity rates will be set for Newfoundland and Labrador Hydro prior to a formal rate mitigation plan from government.
The Public Utilities Board’s recommendations on rate mitigation are due by January 31 of next year, but Hydro plans to submit its general rate application to the board for 2021 before the PUB report is done. Advocate Dennis Browne says, therefore, rates should be frozen as of the end of the current calendar year.
He also wants the consultants hired by the board to be given more options regarding rate mitigation, and he would like government to allow a competitive process whereby Newfoundland Power is given the authority to purchase and sell electricity.
Browne also says it may actually be less expensive to important power through the Maritime Link than generate it at Muskrat Falls.
He wants to see increases in rates spread over a longer period of time. Without mitigation, rates would nearly double in just a few years.