Deal Reached to Stop Electricity Rates from Going up #nlpoli
Premier Dwight Ball and Federal Minister of Natural Resources Seamus O’Regan made an announcement from the Signal Hill Campus, Memorial University on Monday afternoon.
Ball said that he has been trying to clean up the mess of Muskrat Falls since becoming Premier.
A new deal has been reached to stop rates from going up.
In April 2019, the provincial and federal government started working together to try and introduce measures to protect people from rising rates.
Using a cost of service model, rates will not go up as a result of Muskrat Falls.
In Cost of Service regulation, the regulator determines the Revenue Requirement—i.e., the “cost of service”—that reflects the total amount that must be collected in rates for the utility to recover its costs and earn a reasonable return.
Minister O’Regan said "we are committed to meeting these challenges head-on."