Photo by Whitehorse Star
YEC president David Morrison
Rates hike bid called the ‘responsible thing to do'
The Yukon Energy Corp. (YEC) is seeking its first retail rate increase since 1999.
The Yukon Energy Corp. (YEC) is seeking its first retail rate increase since 1999.
The corporation has filed an application with the Yukon Utilities Board a 6.4 per cent increase for all customer classes (residential, commercial, industrial and government) in 2012 and an additional 6.5 per cent raise in 2013.
The increases would impact both Yukon Energy and Yukon Electrical Co. Ltd. customers.
"Over the last 13 years, we've done everything possible to keep electricity costs low,” said YEC president David Morrison.
"In fact, we were even able to secure a 2.47 per cent rate decrease for our customers when the Minto mine came on-line.
"However, the cost of keeping aging infrastructure efficient, up-to-date and safe for Yukoners has increased faster than electricity rates, making our current path unsustainable.”
Higher energy consumption in all sectors has strained Yukon Energy's power grid, and has depleted the corporation's surplus hydro, the corporation said.
While Yukon Energy's new hydro assets (Mayo B and the Aishihik third turbine) have helped address this problem, expensive diesel generation is still needed to supply a rising share of the new demand.
"Thirteen years is a long time to go without a rate increase,” Morrison added.
"The last time we raised rates, (hockey legend Wayne) Gretzky was playing for the (New York) Rangers and gas was 60 cents a litre. Meanwhile, salaries have gone up and the cost of our materials keeps climbing.
"Given these factors, seeking rate increases is the responsible thing to do.”
Even with higher rates, he added, there are many steps Yukoners can take to keep their bills affordable.
"We will work with customers to provide them with the tools and information they need to have more control over their electricity bills.”
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Comments (8)
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north_of_60 on May 8, 2012 at 11:05 am
All those folks who are happy they stopped cheaper local gas from replacing expensive diesel fuel from Alberta have nobody to blame but themselves if the price of electricity will increase.
Solar, wind, and burning garbage won't produce the amount of energy the Yukon demands. It costs more per kWh to produce 'alternative' energy than burning diesel.
Develop local sources of cheaper energy or live with the cost of buying it from the outside. The choice is yours.
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Billy Polson on May 6, 2012 at 2:44 am
Jackie that was the best comment post EVER!
YEC is a pain to deal with (ever get a ridiculously high power bill and call to inquire?) and obviously painfully shy on good management.
Probably come up with alternative coal idea in near future.
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Jackie Ward on May 4, 2012 at 1:20 pm
Yukon Energy/Electric, has dragged their feet for years. Where is geothermal? Where is the solar? Wind? Garbage? You are managed by the same type of people who run the COW. All your university educated minds can come up with is higher fees. Our bills are high enough. It's not our problem the mines are sucking all our power. Sad that a company that is not even from the Yukon is giving preference and discounts over the hard working Yukoners that built your company from day 1. Simply embarrassing. You keep blaming people for our power issues when in fact its the mines that are the real culprits. Leave it to Janet to try and spin this, poorly at best when that happens. 13% over 2 year is 100% robbery. Do you just draw that number out of Janet's magical cap? SHAZZZZZZAMMMMM!!!! It's the raven's again?
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Rate Payer on May 2, 2012 at 12:33 am
Increases, increases, everywhere increases!
What I want to hear about is what is Mr. Morrison doing to cut back and control costs? I see Yukon Energy executive perks like trucks parked up at the CGC in the evening. I understand that you need to attract good people but don't rub it in my face every day.
What are you doing to make your work force more representative of today society? What kind of record do you have in hiring minorities? What is the demorgraphic of the Yukon Energy workforce?
I don't need help saving money, I need you to find ways to save money at Yukon Energy!!
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Randy Johnson on May 2, 2012 at 12:18 am
Thank you Thomas! My thoughts exactly.
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Max Mack on May 1, 2012 at 1:21 pm
Comparisons of rates must include all the various riders and any subsidies. Morrison is telling a very selective version of the truth, since he is clearly not including the net effect of all the various riders/subsidies.
YEC is also skewing the average rate by including all those households that do not use electrical heat.
Anyone using electric to heat any living space without at least an R2000 energy rating will know exactly what I am talking about. Residents living in older households easily go over the 1000 KwH limit and pay through the nose.
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shane on May 1, 2012 at 5:56 am
Let the mines pay for the increase we pay too much now
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Thomas Brewer on Apr 30, 2012 at 1:43 pm
Rates are still amongst the highest in Canada... and as for the "no increases" line... lets factor in the "rate adjustment riders".
Not acceptable.