Newfoundland Power has filed its application with the PUB for a rate increase of 7 per cent come July 1st of this year.

It’s part of Newfoundland Power’s General Rate Application process which began in late 2023.

The PUB asked the utility to go back to the drawing board after rejecting its initial request for a 10.6 per cent increase in rates.

Newfoundland Power was seeking an increase in its rate of return from 8.5 to 9.85 per cent. The Public Utilities Board asked Newfoundland Power to adjust that to 8.6 per cent.

President and CEO Gary Murray acknowledges that any rate increase is difficult for customer and they are working hard to manage costs within their control and keep rates as low as possible.

If approved, the increase would amount to another $7 dollars a month for every $100 in electricity charges.

According to Newfoundland Power, even if the rate increase is accepted, the average monthly power bill in St. John’s would still come in lower than comparable monthly bills in Nova Scotia and PEI. )