NB Power has officially filed a three-year General Rate Application with the New Brunswick Energy and Utilities Board (NBEUB), a move designed to address aging infrastructure and provide customers with a clearer picture of future electricity costs. For residents and business owners in Saint John, this means preparing for a series of proposed rate adjustments over the next few years.

Understanding the Proposed Rate Changes

To maintain reliable service and modernize the grid, NB Power is asking for an average rate increase of 5.5 percent across all customer classes. If approved, this increase would be implemented annually on April 1 for the next three years.

For the average residential customer in Saint John using about 1,350 kWh of electricity per month, this translates to an estimated increase of $13.25 per month during the first 12 months of the plan.

Why Are Rates Going Up?

According to Lori Clark, President and CEO of NB Power, utilities across Canada and globally are facing rising costs and significant investment needs. “The pressures facing the electricity system do not disappear from one year to the next,” Clark stated. “This approach supports the investments needed to maintain reliable service while spreading rate impacts more evenly over time.”

The primary drivers behind the proposed rate changes are:

• 84% – Reliability and modernization (maintaining and replacing aging infrastructure)
• 15% – Higher operating costs
• 1% – Other factors

Before asking customers to pay more, NB Power noted that it has already taken significant steps to manage internal costs, identifying $274.5 million in savings, avoided costs, and additional revenues over the next three years.

A Silver Lining: Lower Connection Fees

It isn’t all about increases. Thanks to the provincewide rollout of smart meters, NB Power is proposing a massive reduction in connection and reconnection fees. These administrative fees are expected to drop from approximately $76 down to just over $9, offering immediate value and savings for customers moving or requiring service reconnections.

What’s Next for New Brunswickers?

These changes are not yet final. The application is subject to an independent regulatory review by the NBEUB. This is a public-facing process, meaning Saint John residents and all New Brunswickers will have the opportunity to participate and voice their opinions before any final decisions are made.

For more details on the proposal, you can read the full announcement on the NB Power official website.

Frequently Asked Questions

How much will my electricity bill go up?

If the proposal is approved, the average residential customer using 1,350 kWh monthly will see an increase of about $13.25 per month in the first year. The proposed average increase is 5.5% annually for three years.

When will these rate changes take effect?

Pending approval from the New Brunswick Energy and Utilities Board, the rate increases would be implemented on April 1 of each year for the next three years.

Can the public have a say in this rate increase?

Yes. The application is subject to an independent regulatory review by the NBEUB, which includes a public process open to the participation of all New Brunswickers.