BC Hydro Continues To Keep Rates Low, Below Inflation

The province says that for the sixth consecutive year, BC Hydro is applying for a rate increase below the rate of inflation.

“With costs rising across the country at rates that are unsustainable for many people, it’s more important than ever for us keep the cost of clean electricity down,” said Josie Osborne, Minister of Energy, Mines and Low Carbon Innovation.

“Affordable, stable BC Hydro rates are good for people, businesses and climate as we work together to power our growing economy with renewable energy instead of fossil fuels.”

It’s asking for a 2.3% rate increase that would take effect on April 1, 2024. If approved, it would add approximately $2 per month to the average residential customer’s bill.

The province says BC Hydro rates are currently 15.6% lower than the cumulative rate of inflation over the past seven years and are currently 12.4% lower than the previous government’s 10 Year Rates Plan.

Earlier this year, BC Hydro also provided $315 million in cost-of-living bill credits to families and small businesses, including those who receive their electricity service from FortisBC or a municipal utility.

Residential customers received a credit of $100, and commercial customers received a credit averaging approximately $450 based on their previous year’s electricity consumption.

The province says a ‘’modest increase’’ is being put forward to keep increases below inflation and reduce bill volatility from year to year.

Although BC Hydro’s current application will only set rates for next year (2024-25), it is based on what rate increases would be if smoothed for the next five years, with annual increases of 2.3% per year.

To learn more, visit Government of British Columbia.