N.B. Power disputes Irving claim industrial power rates are uncompetitive
CBC
J.D. Irving Ltd.'s claim that "uncompetitive" electricity prices charged by N.B. Power is exclusively responsible for forcing it to close a production line at its east side Saint John paper mill has pushed the provincial utility and its rates into the spotlight.
And N.B. Power is not taking the criticism quietly.
"N.B. Power offers a competitive large industrial rate," spokesperson Dominique Couture said Tuesday in an email directly contradicting the company's claim.
"N.B. Power large industrial rates are lower than Nova Scotia, P.E.I., HydroOne (in Ontario), Alberta and are on par with Saskatchewan."
On Monday, J.D. Irving announced it was permanently closing down half of its production at Irving Paper and eliminating 140 positions.
In a statement company vice-president Mark Mosher blamed "the impact of soaring electricity costs" for the decision.
N.B. Power did raise industrial and residential rates 13 per cent in the past year and has plans to raise them more than nine per cent again this year, beginning on April 1.
Still N.B. Power disputes that has made electricity pricing uncompetitive in New Brunswick.
To bolster its claim, it has been circulating an annual publication by Hydro Quebec showing New Brunswick's large industrial electricity rates, even after this year's increase, still rank well below North American averages.
That publication, which compared rates for different customer groups in 22 Canadian and U.S. cities as of April 1, 2024, places N.B. Power industrial rates eighth overall, with prices 18 per cent below the average of the group.
But the utility notes that comparison involves the standard large industrial rate offered by N.B. Power.
It does not include the application of an additional 22 per cent discount N.B. Power is compelled to provide to provincial pulp and paper mills, including the Irving Paper mill.
That rate discount, estimated to be worth $12.6 million this year, is mandated by provincial regulation.
This year the program had N.B. Power buying renewable energy generated by the six mills at 12.2 cents per kilowatt hour and instantly selling it back to them at 9.3 cents.
Over 500 investors who made money with Victoria, B.C., Ponzi schemer Greg Martel are facing a newly announced court action seeking to claw back combined profits in the tens of millions of dollars.
One of the last times anyone heard from Shalini Singh is when she called her mother on Dec. 4.
A former city councillor will try again to become mayor of Calgary.
Every time Travis McDougall gets into his transport truck, he wonders whether he'll make it home safely.
In northern Ontario's largest city, the drug toxicity crisis can sometimes feel like a battlefield, with white crosses lined up on a bustling downtown corner and anxious family members flooding social media for news of their loved ones.
Road builders on Prince Edward Island are urging the federal government to keep infrastructure cash flowing into the province, with a deal to fund major road projects approaching its end date.
The estimated cost of replacing a key piece of infrastructure the city of Yellowknife relies on for drinking water has nearly doubled in the span of a year.
The four candidates vying to replace Prime Minister Justin Trudeau took the debate stage for the final time as the Liberal leadership contest enters the home stretch.
WARNING: This story contains disturbing details of sexual assault allegations, and may affect those who have experienced sexual assault or know someone impacted by it.
Residents of a northwest Toronto neighbourhood say they are worried about water in their basements as snow on the streets begins to melt.
Tenant rights advocates rallied in downtown London, Tuesday, calling on provincial political parties to tighten rent controls and put housing affordability at the forefront, with the provincial election days away.
Halifax council has reversed a decision to scrap the redesign of the Windsor Street exchange, and the major intersection will be overhauled starting this year.
Unifor says it won't stop fighting for unionized paper mill workers receiving layoff notices this week from J.D. Irving Ltd.