REGINA – The Saskatchewan government has approved a two-year delivery service rate hike for SaskEnergy.
Starting on Sept. 1, the average monthly bill for residential customers will go up 2.1 per cent, an average increase of $1.46.
Rates will then go up another 1.2 per cent on Sept. 1, 2014, an average increase of 87 cents monthly.
“SaskEnergy’s delivery service rate reflects the need to provide vital investments in safety and pipeline integrity programs for a natural gas system that has seen unprecedented residential, business and industrial customer growth over the last six years,” said Tim McMillan, the minister responsible for SaskEnergy.
Prior to the second year increase, SaskEnergy is required to provide updated financial information to the rate review panel.
The government says even with the rate increase, delivery costs will remain the lowest of any natural gas utility in the country.
At the same time, the province announced SaskEnergy will not be applying for a commodity rate change this winter.
The current commodity rate is $3.82/Gigajoule, the lowest it has been since 2000.
The next review of the commodity rate will be in the spring of 2014.
Comments