SaskPower pushing ahead with 8% rate increase

SaskEnergy gains ownership of main office building WATCH: After a decade long battle, SaskEnergy has gained ownership of its main office building. Wayne Mantyka explains.

SaskPower profits declined to $11 million in 2021-22, which means the government will push ahead with an eight per cent rate increase request.

“The net income for 2021-22 was $11 million, down $149 million compared to 2020-21. The reduction in earnings was largely due to extremely dry conditions which led to a 33 per cent decrease in hydro generation,” said Don Morgan, minister in charge of SaskPower.

The NDP believe the government should hold off on the rate increase application.

“We’re facing a generational, a forty year affordability crisis and what do we see Scott Moe focused on? It’s not the needs of the people of this province,” said NDP leader Carla Beck.

The rate review panel has yet to agree to SaskPower’s request. SaskPower’s small profit could add weight to its argument for a rate increase.

SASKENERGY GAINS OWNERSHIP OF REGINA OFFICE

SaskEnergy has gained ownership of its Regina head office building following a decade long legal battle.

The courts have ordered that a deal proceed, which gave SaskEnergy the option to buy the building for far less than what it is worth.

It was a deal almost too good to be true. In the early 2000’s, the previous NDP government signed a deal to rent the building for 10 years with an option to purchase at the end for $19 million.

When the time came to sign the cheque, the building had gained $30 million in value and the landlord backed out of the deal.

After a 10 year legal battle, SaskEnergy won and now owns its head office building. The financial gain was reflected in SaskEnergy’s annual report with an $82 million profit for 2021.

“As a result of that conclusion and the awarding of the building to SaskEnergy, the accounting rules require us to report a non-cash accounting adjustment,” said Chief Financial Officer of SaskEnergy Christine Short.