Hydro Proposes 2.25 Per Cent Electricity Rate Increase Beginning in 2027

Newfoundland and Labrador Hydro has applied for approval of electricity rates that would see most customers face a 2.25 per cent increase beginning in July 2027.

The application was filed with the Board of Commissioners of Public Utilities on May 27 and seeks a full review of Hydro’s costs for 2027, including expenses related to power purchases from the Muskrat Falls Project.

Under the province’s rate mitigation plan and government direction, Hydro is proposing rates that would result in a 2.25 per cent increase for domestic customers connected to the Island Interconnected System effective July 1, 2027.

The utility said rates for other customers on the Island Interconnected System have also been structured to align with that target.

For customers on the Labrador Interconnected System, Hydro is proposing to phase in rate increases over several years, beginning with a 2.25 per cent increase on July 1, 2027.

The outcome of the application could affect both Hydro customers and customers of Newfoundland Power.

The Public Utilities Board is expected to review the application before making a decision on the proposed rates and related changes.