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Yellowknife cries foul on power rate hike; others cry foul on city

Yellowknife city hall is urging the public utilities board to take the power corporation to task on its latest proposed rate hike. Others say the city itself has also been pushing up the cost of living in the capital.

The cost of power in Yellowknife rose 100% in 7 years; municipal fees and taxes also went up

Yellowknife cries foul on power rate hike

10 years ago
Duration 3:02
Yellowknife cries foul on power rate hike

Yellowknife city hall is urging the public utilities board to take the power corporation to task on its latest proposed rate hike. Others say the city itself has also been pushing up the cost of living in the capital.

The Northwest Territories Power Corporation says it needs a 13 per cent increase over the next two years because of low water levels in its hydro system. That's on top of two increases already approved.

Even before the rate hike, the cost of electricity in Yellowknife has more than doubled in the last seven years. A comparison of two power bills shows Yellowknife customers payed 16.65 cents per kilowatt/hour in 2007, versus 34.98 cents in 2014, a 110 per cent increase.

According to 2012 data from the Canadian Electricity Association, people in the N.W.T. already face the highest power bills in the country, and more than twice the national average of just under $4 a day. (CBC News)

Along with paying the highest cost of power in the country, city residents are also coping with increases to property taxes and fees for everything, from sewage disposal to using the city’s swimming pool.

For example, in the last seven years, residential charges for water have gone up about 25 per cent.

Fees for curbside garbage pickup have jumped 68 per cent and it costs twice as much as it did seven years ago to drop off a load of garbage at the dump.

Mike Bradshaw, the director of the NWT Chamber of Commerce, says the city could choose not to raise its fees and taxes. (CBC)
Mayor Mark Heyck says water and garbage fees are set to recoup the cost of delivering those services.

“So when power rates go up or fuel costs go up, or when salaries and wages go up, we need to cover those costs with the user fees we charge.”

Heyck is urging the public utilities board to make sure NTPC has examined all other options before approving any rate increase.

Mike Bradshaw of the NWT Chamber of Commerce says the city's increases are less justifiable than the power corporation's.

“The difference between this and municipal property tax increases is you can't choose what kind of weather you get. But municipal leaders can choose what sort of municipal increases, if any, they want to impose on taxpayers. And they're simply not doing that.”

Comparing city costs 2007 to 2014

According to the Bank of Canada’s inflation calculator, across Canada the cost of goods and services rose by 12 per cent between 2007 and 2014. A comparison of costs to residents of Yellowknife show prices rose much more than that.

City fees from 2007 to today
2007 2014 % increase
Pool
Adult admission $4.75 $6.50 36%
Family admission $8.50` $14.00 64%
Arena public skate
Adult admission $3.50 $6.50 86%
Youth admission $2.50 $4.50 80%
Piped water fees
Piped water access fee $5.78 $7.35 27%
Per cubic metre $2.62 $3.33 27%
Trucked sewer/water
Monthly access fee  $41.74 $53.06 27%
Per 4,550L up to 15,000L $11.83 $15.16 28%
Garbage
Single family solid waste levy $11.00 $18.50 68%
Residential waste at dump per vehicle $5.00 $10.00 100%
Public transit
Monthly adult bus pass $62.00 $75.00 21%

Source: City of Yellowknife