Sask. NDP warns of bill hikes as Crown corporations report drop in net earnings

The CEO of SaskPower says customers can expect rate increases as the Crown corporation faces rising demand and pressure on its infrastructure.

In the release of Crown corporation annual reports on Monday, SaskPower reported net earnings of $75.7 million in 2024-25, down $108.9 million from the previous year. It attributes the decrease to power electricity exports and customer contributions. 

SaskPower's spending also dropped, mainly due to lower fuel and purchased power costs.

CEO Rupen Pandya said demand on the grid is expected to double by 2050, requiring major investment.

"Between 2025 and 2050, to deploy another 5,000 or 6,000 megawatts of power will be an unprecedented challenge," Pandya said. 

He said demand from electric vehicles, AI data centres and industrial growth are driving that projection. 

Pandya said that future rate increases are expected, but will they go through the Rate Review Panel before being implemented. 

"We hope to keep those as modest as possible," he said. 

Saskatchewan's crown corporations reported the highest ever capital spending and record revenues in 2024-25; however, net earnings declined compared to the previous year, according to the Crown Investments Corporation's (CIC) annual report.

CIC functions as a holding company for the various Crown corporations in the province, such as SaskTel and Lotteries and Gaming Saskatchewan.

The government says net income was $510 million, down from $578 million the previous year. Almost half of earnings — $240 million — was directed to the province's general revenue fund.

Jeremy Harrison, the minister responsible for CIC, said the general revenue fund helps pay for things like education and health care.

"Our Crowns delivered the second-lowest total cost utility bundle in Canada in 20224-25 and offered some of the lowest auto insurance and natural gas commodity rates in the entire country," Harrison said. 

Aleana Young, SaskPower critic for the Sask. NDP, said the dip in earnings and rising debts indicate the Crown corporations are under financial strain. 

"When profits fall and debt climbs, rate hikes follow," she said at a news conference Monday. "It's only a matter of time before the Sask. Party raises your power bills yet again."

The NDP also flagged that the SGI Auto Fund saw a fourth consecutive year of losses in the Rate Stabilization Reserve with almost $200 million lost last year. Meanwhile, SGI posted $43.2 million in net earnings. 

"SGI is supposed to operate the Auto Fund on a break-even basis and keep rates affordable for Saskatchewan families," said Hugh Gordon, the shadow minister for SGI said a press release. "With years of losses in SGI's rate stabilization fund under the Sask. Party's watch, Saskatchewan people are going to be forced to pay higher premiums."  

SaskTel faces increased competition, declining profits

SaskTel earned $82.2 million in net income in 2024–25, down $13.2 million from 2023-24.

It spent $398.5 million in capital investments, up $30 million from the last fiscal year. The corporations said that's largely due to increased wireless device costs.

"We're going to have to work on being an efficient company … we're here to compete and we're certainly poised to do that," said Jeff Welke, SaskTel's director of corporate affairs.  

According to the report, more than 77 per cent of Saskatchewan homes and businesses now have access to infiNET, SaskTel's fibre optic network.

SaskEnergy issues rebates

SaskEnergy reported a net income of $82 million before market value adjustments, up $27.9 million from 2023-24 This is primarily due to increases in core delivery and transportation revenues.

According to the report, it returned $31.8 million to the government in the form of dividends, up from $20.6 million last year. It also issued $5 million in energy rebates.