Energy board approves NS Power rate hikes; first one takes effect on Friday

The Nova Scotia Power building in Halifax is pictured. (Callum Smith/CTV News Atlantic)

After much deliberation and a new compliance filing, the Nova Scotia Energy Board has approved two rate hikes from Nova Scotia Power, one of which will take effect on Friday.

In a written decision, the energy board said rates for domestic service will go up 3.1 per cent on May 1. They will then go up 3.9 per cent on Jan. 1, 2027.

Originally, NS Power was seeking a 3.8 per cent hike on residential rates retroactive to Jan. 1, 2026, followed by a 4.1 per cent increase on Jan. 1, 2027.

The board approved the utility’s rate application on March 25, provided they submit a compliance filing. The board noted it was concerned about using proration to implement the new rates in light of the 2025 cyberattack that affected hundreds of thousands of current and former NS Power customers.

“In its compliance filing, NS Power explained that although its AMI meters provided a new foundation to precisely determine the amount of energy used before and after a new rate came into effect, its legacy Customer Information System is not able to produce customer bills in that fashion due to the limitations of the Customer Information System,” the decision reads.

The utility also said it was doubtful that system could be modified and the work required to do so could cost a minimum of $600,000 along with $400,000 in additional operating and maintenance costs.

“NS Power also noted that, for the month of May, only 5% of customers will receive a bill that is not based on an actual reading at the start of the billing period, some of them being customers who have opted out of using AMI meters’ functionality,” the decision reads. “Therefore, 95% of accounts to be billed in May would have true reads at the start and end of the billing period reflected on the May bill.

“NS Power provided some hypothetical calculations to estimate the impact of proration on a residential customer whose bill over April and May started and ended with an actual reading. For such a customer, NS Power estimated the prorating impact on the bill could amount to $0.63 on the total bill over the two-month period.”

The board said NS Power provided a “compelling reason” it is not possible to use AMI data to avoid prorating bills and approved the rate hike.

With files from The Canadian Press

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