Rate Increase - October 1, 2013
Saint John Energy is advising all residential, commercial and industrial customers of an upcoming 2% increase in energy rates, effective October 1, 2013.
The increase stems from NB Power’s announcement earlier this year of a 2% rate increase in all classes, including wholesale rates, under the proposed Electricity Act. NB Power’s increase is also effective October 1, 2013.
This increase marks an end to a 40-month rate freeze in the province.
As a result of the increase, the average residential customer can plan to see an increase of about $2.74 to their monthly bill.
To help its customers and stakeholders offset any additional costs incurred due to the increase, Saint John Energy will continue to promote practical energy-saving tips, such as using cold water to wash clothes, running full loads in dishwashers and washing machines, and using a clotheslines to dry clothes.
“Passing on this 2% rate increase will help ensure the long-term sustainability of Saint John Energy’s distribution system and maintain our track record of high reliability levels,” said Ray Robinson, President & CEO of Saint John Energy. “At the same time, we are committed to helping our customers save on their monthly energy bill through the promotion of energy conservation.”
Saint John Energy’s rates will remain among the lowest in the region. On average, residential rates are 10% lower and commercial rates are 4% lower than others in the province.
“This is possible thanks to the excellent relationship we have with NB Power, our provider of wholesale electricity,” said Robinson. “It is also possible because we serve a very specific, urban geographic area, which creates efficiencies across the board for us. This model has allowed the City of Saint John to save about $2 million per year, and the public more than $7 million per year. These savings will continue.”
Saint John Energy was formed as the Power Commission of the City of Saint John in 1922 to construct and operate works to transmit and distribute power in the City. Today, Saint John Energy services more than 36,000 local customers through 13 substations, with energy sales of over 960,000,000 kilowatt hours annually. Saint John Energy provides value to all of its stakeholders through its focus on environmental, social and economic sustainability.
Thank you to Chris Titus and Bernard Desmond
The Saint John Energy team thanks Chris Titus, outgoing Board Chair, and Bernard Desmond, outgoing Vice-Chair, for their many years of leadership, dedication and time serving on our Board of Commissioners in the interests of ratepayers and our community as a whole. Mr. Titus served on our Board for 16 years, and Mr. Desmond for 13.
“We are truly grateful for their passion and time,” said Ray Robinson, President & CEO. “Our community is fortunate to have two individuals such as Chris and Bernie willing to give so much back to Saint John. We are going to miss them.”
Their time on the Board came to an end on Sept. 3, 2013 as a result of a new policy approved by Saint John Common Council in October 2012, limiting the time that people can serve on City boards and commissions to six years, or two three-year terms.
“Saint John Energy supports the spirit of this new policy, and agrees with a more deliberate schedule of turnover in the City’s boards to promote new ideas,” said Mr. Robinson.
“We also wish to welcome our two new incoming Board members, Brian Cunningham and Steve MacMackin,” added Mr. Robinson. “We look forward to working closely with both of them.”
The new Chair and Vice-Chair of the Board of Commissioners will be elected at an upcoming Board meeting this fall.