EDMONTON - Electricity rates will continue to rise as as Albertans ring in the new year, with customers not on a residential contract paying about 66 per cent more for electricity than they were just three months earlier.
EPCOR says the January rate will rise to 15.1 cents per kilowatt hour from the December rate of 13.3 cents. However, the rate in November was just 9.1 cents.
"We've come to mid-winter, so the nights are long, which means there's lots of darkness, which means the lights are on longer," said Tim LeRiche of EPCOR. "And over the past number of weeks, we've had a number of power plants in the province that have been out of service. So, whenever you get into a situation with high demand for a product, where supply is remaining static, inevitably prices are going up."
The average homeowner uses about 600 kilowatts a month, so the hike will add approximately $11 to the average homeowner's power bill for RRO (Regulated Rate Option) customers.
"The early indications are that the RRO may go down a bit in February, and may go down substantially in March," LeRiche said. "And i have to say 'may,' because we're talking about markets, but that is the early indication."
The electricity rate accounts for about half of a power bill, with the rest composed of distribution costs and other fees.
About 270,000 of the utility's customers are tied to the RRO rate.
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