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Power price increase could shock some consumers

Monday, February 1st, 2010 | 9:28 am

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By John McDonald

City council may shock some power consumers with a six per cent rate increase.

It’s technically two rate hikes, this one 3.5 per cent, on top of an additional 2.5 per cent increase granted to power utility FortisBC.

Both came into effect Jan. 1 and now the city wants to pass the hike – worth $1.1 million annually – on to its own customers.

The recommendation from city electrical utility manager Cindy McNeely is that council approve a rate increase of six per cent, beginning April 1, to rates for all annual residential, municipal, school and commercial customer revenues.

The rate increase for Fortis was given through a negotiated settlement with consumer representatives, and the B.C. Utilities Commission. The increase took effect Jan. 1, 2010.

Council will consider the increase at this afternoon’s public meeting, beginning at 1 p.m. in chambers at City Hall, 1435 Water St.

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2 Responses to “Power price increase could shock some consumers”

  1. Eileen Robinson says:
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    Don’t forget that the HST will kick in also, adding to the 6%. I am wondering if any of us will be able to afford to stay in our homes. It will surely have a heavy impact on us fixed incomers. Something will have to go by the wayside. Probably have to cut back on my donations to charity.

  2. Andrew B says:
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    Why wouldn’t the cost be passed on? City buys power from Fortis, Fortis raises rates by 6%… something must give.

    Doesn’t make sense for this $1.1 mil to be drawn from general revenue or for Kelowna taxpayers to subsidize the electricity rates of fellow citizens. User pay.

    Much ado about nothing – we still have incredibly cheap electricity.

    Please continue discussion on the forum: link

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