Researchers urge rebate program as NB Power defends proposed increase
Human Development Council researchers wrapped up NB Power’s evidence period, urging more support for low-income households.
HDC researchers Liam Fisher and Heather Atcheson were the final witnesses in the utility’s two-week-long rate hearings.
The poverty research team authored HDC’s 2025 Energy Report, which the organization submitted as evidence in NB Power’s hearings before the Energy and Utilities Board.
During these hearings, NB Power is seeking approval to raise energy rates by 4.75 per cent for the coming year.
According to various media reports, this is part of a long-range financial plan that, if approved, would see power rates increase by 50 per cent over six years, by March 2028.
During their testimony last Wednesday, the researchers told the hearing that rising electricity prices are creating a serious affordability challenge for low-income households — groups that, according to the report, include seniors, newcomers, people with disabilities and others. They also warned that without targeted protections, future rate increases will continue to disproportionately impact these residents.
“There are projects and programs in place that are addressing other areas of energy poverty,” Atcheson said. “But the low-income affordability piece is something we would recommend be looked at.”
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During cross-examination, the researchers suggested that either the province or NB Power consider adopting a low-income affordability program similar to those used elsewhere in Canada.
They pointed specifically to Ontario’s Electricity Support Program, which provides monthly credits to help reduce electricity bills for qualifying low-income households.
During the hearings, NB Power executives agreed that rising electricity prices would create affordability issues for some of their customers. But in last week’s final arguments, NB Power said the EUB can’t consider affordability when deciding on a proposed rate hike.
In Friday’s final-arguments hearing, EUB chair Christopher Stewart asked the utility’s lawyer, John Furey, what the board could do if the proposed rates were deemed unaffordable for some residents. Furey said the board didn’t have jurisdiction over those issues.
“That is a matter of social policy that each of the courts of appeal I referenced have said is best left to government,” he said.
Furey said NB Power acknowledges that rate changes in the recent years have created challenges for some, but argued the utility needs the rate hike to invest in infrastructure, maintenance, and major projects like the Matacquac Dam and Point Lepreau.
A decision on any rate increase is reserved by the board and is expected in the coming months. However, since NB Power’s hearings were delayed by several weeks, the board has suggested any decision will not affect rates until June.
