As Nova Scotians already struggle with the rising cost of living, people across the province now have to deal with yet another hit to their wallets: a rate increase from Nova Scotia Power.
The power rate for residential customers went up by an average of 6.5 per cent as of Jan. 1, the second part of a 13.8 per cent jump over two years.
Halifax resident Amy Langdon took to X, formerly known as Twitter, on Wednesday to express her frustration with the rate hike, as well as high taxes and the recent increase of the rent cap from two to five per cent.
“Starting to wonder why work bothers to pay us and not just send it directly to five people,” she wrote.
In an interview, Langdon said she’s had to make “hard choices” in recent years due to the rapidly rising cost of housing, groceries and utilities.
“Everywhere you turn, it’s just something increasing,” she said. “When does it end? When do Nova Scotians get to live instead of just survive?”
Langdon said she makes about what’s considered a living wage in Nova Scotia, but she’s still “just getting by.”
The idea of owning a home someday is “not even an option,” she said, and she’s had to give up many of the things she used to do for fun, like going to sports games or restaurants.
“All these extracurricular things that people can put money back into the economy … it’s just not going to happen,” she said.
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The rate hike would mean an average power bill increase of $11 per month, which Langdon said adds up.
“My main concern is the quality that we get based on what we pay,” she said. “Every year there’s a huge increase, and no better service.”
Programs available
A representative for Nova Scotia Power was not available for an interview Wednesday, but in a statement, spokesperson Jacqueline Foster said the increase was part of a two-year general rate application settlement approved by the Nova Scotia Utility and Review Board in February 2023.
“The figures were based on load forecast at the time. That meant the breakdown for residential customers was forecasted to be an average of 6.9% in 2023 and 6.8% in 2024,” she wrote.
“Since then, the load forecast has increased, which means the rate has seen a slight decrease. Residential customers will now see an average 6.5% rate increase this year vs the previously forecast 6.8%.”
She said the first customer e-bills with the adjusted rates will be sent to customers Thursday with more information.
A blurb on the bill reads: “We know rate increases can be challenging, especially at a time when the cost of living continues to rise. The plan and associated changes to rates are necessary to strengthen reliability of the power system, to meet the growing demand for electricity, and to protect against increasingly severe weather.”
Brian Gifford, the chair of the Affordable Energy Coalition, said some Nova Scotians might find the latest increase hard to swallow.
“Because of relatively low incomes and relatively high energy costs, we have higher energy poverty than most places in the country,” he said. “Every little increase makes it a little bit worse.”
He noted there are a number of programs available to help Nova Scotians with the rising cost of power, such as the heating assistance rebate program, which is open to applications from low- and moderate-income households until March 31.
Gifford also suggested that people take advantage of the Salvation Army’s home energy assistance top-up and Efficiency Nova Scotia’s heat pump rebate.
Making ends meet
Timothy MacEachern, founder and senior planner of Worthy Financial Inc., said people are feeling the crunch from the rising cost of living.
“People are finding it harder to make ends meet, specifically with their expenses going up but their wages not meeting the same amount of growth,” he said.
One of MacEachern’s biggest financial tips is to shop around and see if there are any better deals on things like phone plans and insurance.
But in the case of Nova Scotia Power, which has a monopoly, that’s not an option — and he noted that power is one thing that most people can’t do without.
“This is a necessary expense. You need to have power,” he said. “There is no way to get around it, especially if you’re heating with electric heat, and we’re into the cold months as we are right now.”
MacEachern said it’s important for people to know exactly how much money is coming in every month and what their fixed expenses are, so they know how much they have left over for variable expenses like food, gas and entertainment.
He added that Nova Scotia Power has an equal billing plan, which is one way to stabilize one’s power bills throughout the year.
“They will calculate how much power you use and charge you monthly for what they’d expect you to use over the year. So in the winter, you’ll pay probably less than you normally would, but in the summer, you’d end up paying a little bit more,” he explained.
“That is a great way to get around these fluctuating bills and these very expensive months that we’re in right now.”
But ultimately, with the Nova Scotia Power monopoly, there’s no other way around higher power bills.
“Unfortunately, we have no choice on it,” MacEachern said.
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