Winter may have you feeling blue, but your NB Power bills will make you see red.
NB Power announced a two per cent rate increase in October of 2013. This may not seem like a big deal, but for students like fourth-year St. Thomas student Kayla Byrne, it was a surprise.
Byrne said she doesn’t remember seeing any mail or notice about it. She was shocked by how high her bill was this month.
“We live in a big old house. It’s almost 100 years old. It’s not very well insulated. It was cold inside even in the summer.”
When Byrne opened this month’s bill from NB Power, she was treated to a completely unexpected number.
“I think before the increase it was around $400, and then the next one was almost $700,” she said.
Fredericton residents have been treated to temperatures ranging anywhere from -9 degrees to -39 degrees with wind chill, which may have had a significant impact on their power bill for January.
NB Power’s website claims their customers enjoy electricity rates that are “among the lowest in Atlantic Canada and north-eastern North America.” This includes their recent rate charge.
The rate increase was a move by NB Power to keep in-step with the rising costs of fuel, as well as pay down the amassed $1 billion in debt, preferably over the next ten years.
The Alward government instituted a three year rate freeze following the 2010 election. However, NB Power is still allowed to raise rates by two per cent every year. Any more of a rate increase will force NB Power to defend its rates to the Energy and Utilities Board.
Byrne said her five roommates, all students, were also shocked by this month’s bill.
“It’s not so bad because there is so many of us to chip in on the bill, but we were all really shocked at just how high the bill was,” said Byrne.
As students, it’s much harder for them to pay their bills as well as second semester tuition. The high bill wasn’t something they were planning on.
NB Power sent out an information card describing the change in rates, but it’s possible their clients who only use online banking may not have seen or understood the consequences. Now that winter has customers using more heat, the increase has been noticed.
“I was really not expecting it,” Byrne said.
NB Power communications contacts did not respond for an interview before publication time.