Nova Scotia’s private electric utility is in no position to ask the public to pay more for power, say opposition parties and an affordable energy coalition.
Household income is stagnant, the utility’s power grid is unreliable, and public trust in the corporation is at an all-time low in the aftermath of an April cybersecurity breach, Opposition NDP Leader Claudia Chender told the province’s energy board on Wednesday.
“Nova Scotians have no trust in Nova Scotia Power right now, and it’s not hard to understand why,” Chender said on the first day of hearings into the utility’s proposal to raise residential rates by about eight per cent by next year.
Residents, Chender said, are still dealing with the fallout from a cybersecurity breach that may have affected all 550,000 of the utility’s customers. The president of Nova Scotia Power has previously said a Russia-based actor is likely behind the attack.
“Following a data breach that saw Nova Scotia Power fail to protect people’s personal information, including social insurance numbers that the company never should have had to begin with, people are dealing with estimated bills double and triple what they actually owe,” Chender said. The NDP leader was referring to complaints from customers who had said they were overbilled following the attack.
The province’s largest power utility has proposed residential rate increases of about eight per cent by next year. If they are approved by the board, the first 3.8 per cent increase would be effective retroactive to Jan. 1, and the second 4.1 per cent hike would come into effect Jan. 1, 2027.
“We’ve heard from Nova Scotians across the province — parents, students, business owners, farmers, seniors — who all tell us they cannot afford more increases on their bills,” Chender said.
Get breaking National news
Nova Scotia Power has said rate increases are needed to support its $1.3-billion plan to strengthen the grid, expand tree-trimming and vegetation management, and improve its storm response to cope with extreme weather events.
Blake Williams, a senior director of regulator affairs, delivered an opening statement on behalf of Nova Scotia Power Wednesday. He said the company is focused on improving the reliability of its system, and is “committed to continuing to work relentlessly on the full recovery of all systems and services and building back the trust of Nova Scotians.”
“Nova Scotia Power was the victim of a foreign, sophisticated cyberattack, we know it has affected the trust we’ve built with our customers,” he said.
Williams said the utility’s general rate application does not include any costs related to the cyberattack, and the 2026-27 forecasts were developed before the security breach and have not been adjusted to account for costs related to the incident.
“We know that there is never a good time to request an increase in electricity rates and that even small increases can have a big impact on families and businesses,” Williams said.
Peter Duke, speaking on behalf of the Affordable Energy Coalition, said Nova Scotia already has one of the highest rates of energy poverty in Canada due to lower incomes and higher energy costs from the province’s reliance on oil and coal.
He said low-income households already need support as they deal with the “intolerable costs of living” in Nova Scotia, and he told the board the proposed rate increases represent “yet another unmanageable burden.”
Liberal member Iain Rankin said his caucus opposes the proposed rate increase, telling the board that Nova Scotians already pay too much for power. “And the pattern of repeated, unpredictable increases has become unsustainable for families, small businesses, and our provincial economy,” he said.
Premier Tim Houston has previously slammed the utility, a branch of Emera, over the proposed hikes and has called on Nova Scotia Power to withdraw or “significantly reduce” its application. He has said the utility is “out of touch” for requesting a rate hike in the aftermath of the massive data breach.
A spokesperson for the premier’s office said Wednesday the Department of Energy will submit a statement to the board next week.
“Nova Scotians cannot afford another large power rate increase. We need practical solutions for Nova Scotians to get clean, reliable and affordable electricity. We’re looking at all the options to make sure that happens,” said Catherine Klimek in an email.
The public hearings are scheduled to resume Thursday and can continue until Jan. 16 if needed.
Comments