Hydro rate freeze wasn't the solution low-income customers need, says B.C. advocacy lawyer - Action News
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British Columbia

Hydro rate freeze wasn't the solution low-income customers need, says B.C. advocacy lawyer

A staff lawyer with the B.C. Public Interest Advocacy Centre says the alternative initiatives aimed at helping low-income hydro customers are actually better than a rate freeze would have been.

Lawyer says lifeline rate and emergency grant programs will help more

A lawyer with the B.C. Public Interest Advocacy Centre says alternative government initiatives to help BC Hydro customers who can't pay their bills are better than a rate freeze. (CBC)

A B.C.lawyer advocating for low-income citizenssays new government programs meant to help people struggling to pay their BCHydro bills are far more beneficial than arate freeze would have been.

On Thursday, the B.C. Utilities Commission (BCUC) rejected a request by the provincial government to freeze BCHydro rates for the coming year, which meansathree-per-centrate increase comes into effectApril 1, 2018.

In an effort to deliver on an NDP campaign promise tofreezeelectricityrates, provincial Energy Minister MichelleMungalldirected BCHydro to submit the freeze request. But the BCUCfound there was"insufficient regulatory justification to approve the zero-per-cent rate increase."

Despite the rate increase's obvious initial cost to low-income customers,Sarah Khan, a staff lawyer with theB.C. Public Interest Advocacy Centre, says the alternativegovernment initiativesto help customers are actually better.

Lifeline rates

"I'm feeling quite happy about the commission's decision to reject the rate freeze, and even happier about the government'sdecision to implement lifeline rates," said Khan.

To help reduce electricity costs for residential BCHydro customers, the government says it will legislate a"lifeline rate" program, allowing people with "demonstrated need" to apply for a lower rate for electricity.

Also, starting in May, Mungall said the government willprovidean emergency grant of $600 for customers who have an outstanding hydro bill.

Both of those programs were previouslyproposed to theBCUC by theB.C. Public Interest Advocacy Centre.

Khan said the advocacy centre had also "reluctantly" decided to support the rate freeze application when it was first proposed, but had reservations because experts at the centre thought discounted rates for low-income customers was abetter solution to the electricity affordability issue.

"We felt the more appropriate response would be for BCHydro to implement discounted electricityrates for low-income rate payers," said Khan.

She said a rate freeze across the board would include customers who are more than able to pay the current ratesand wouldn't be as helpful to those struggling to pay the bills.

With files from B.C. Almanac