A pulp mill company in northern Saskatchewan said it’s very concerned about a proposed rate hike from SaskPower. SaskPower is asking the Saskatchewan Rate Review Panel for a rate increase of five per cent effective July 1 and another five per cent effective Jan. 1.
Paper Excellence, which owns Meadow Lake Mechanical Pulp, said in a letter that it needs to look for ways reduce its overall electrical load, but insists it does not have plans for layoffs.
READ MORE: SaskEnergy and SaskPower applying for rate adjustments
Opposition NDP Leader Trent Wotherspoon blames the rate increase on the $1.5 billion cost of the province’s carbon capture facility and said the hike will force employers to lay off workers.
SaskPower CEO Mike Marsh said on the company’s website that the Crown corporation knows no one wants to hear about a rate increase and times are tight.
But Marsh said most of the province’s power system is 30 to 50 years old and needs ongoing repair or replacement.