Vancouver – British Columbians will pay less for electricity next spring if the B.C. Utilities Commission (BCUC) approves BC Hydro’s request for a decrease in rates.
“For the past two years, our government has been focused on making sure BC Hydro works for people again,” said Michelle Mungall, Minister of Energy, Mines and Petroleum Resources.
How a rate decrease would look.
On August 22, 2019, BC Hydro submitted a request for a rate reduction of 1% starting April 2020 in an update to its Fiscal 2020 to Fiscal 2021 Revenue Requirements Application with the BC Utilities Commission.
- As part of BC Hydro’s fiscal 2020-21 revenue requirements application the BCUC has already approved an interim net bill increase of 1.8% for 2019-20, which came into effect April 1, 2019.
- If approved, the net bill impacts of the new rates forecast will be:
- April 2020: decrease of 1%
- April 2021: increase of 2.7%
- April 2022: decrease of 0.3%
- April 2023: increase of 3%
- If approved, the cumulative bill increase over the next five years is estimated to be 6.2%. This is:
- 23% lower than the 8.1% cumulative increase announced in February 2019 as part of the results of Phase 1 of government’s review of BC Hydro; and
- 55% lower than the 13.7% cumulative increase for the same period under the previous government’s 10-year rates plan.
- Lower rates also support the government’s goals under CleanBC to encourage the switch from fossil fuels to clean, renewable electricity in vehicles, homes and buildings, and industries.
In July 2019, government launched Phase 2 of the BC Hydro review with the objective of creating a strategy, for the benefit of British Columbians, for BC Hydro to continue to provide its customers with clean energy at competitive rates through the continuing evolution of BC Hydro in response to changes in climate, consumer demand, technology and B.C.’s commitment to reconciliation with Indigenous Nations. Phase 2 will continue to maintain the affordability of BC Hydro rates and the independence of the BCUC.