Hydro-Québec is considering raising the rate for luxury homes

Large houses that use a lot of electricity because of their heated pools and spas are in the crosshairs of Hydro-Québec, which is studying measures to limit consumption by residential customers and thus free up energy for businesses.

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“We consume far too much electricity, as residents,” declared the new Minister of Economy and Energy, Pierre Fitzgibbon, sending a signal that went unnoticed, following his swearing-in last Thursday.

According to our information, Hydro-Québec has already set up a committee that is looking into updating its 20-year-old legislative framework.

Measures that would affect residential customers are under consideration.

The group is considering changing the rate for large houses with spas, heated pools and many energy-intensive parts and gadgets.

They use a lot of power in order to operate a wide range of elements simultaneously.

Currently, the power threshold for a customer to qualify for residential rates is 50 kilowatts (kW).

The state company could lower it to 40 kW or 45 kW. Those who exceed it would be subject to a new pricing class.

Some at Hydro believe that a person who owns this type of dwelling “probably has an ability to pay” unlike a customer who lives in a small house.

Automatic program

But still, Hydro is studying the possibility of automatically enrolling new Hydro-Quebec customers in dynamic pricing, which is struggling to gain followers.

From the outset, they would participate in one of the time-of-use pricing programs, but would always have the option of opting out later.

This is the concept of “opt-in”, which integrates a customer into a service without giving him the chance to choose beforehand. The “opt-out” must be done at the request of the client.

Thus, Hydro would maintain, as is the tradition, low tariffs for residential customers and the notion of voluntary participation in its programs encouraging, for example, to do loads of washing outside peak hours.

For the moment, only 180,000 customers out of the 4 million participate in these programs.

“We are recruiting,” said Cendrix Bouchard, communications advisor at Hydro-Québec.

For companies

As early as 2026, Quebec could run out of electricity.

Asked whether Quebecers should be forced to reduce their consumption, Minister Fitzgibbon recently affirmed that “there is a lot of work to be done to modulate consumption” and “there will have to be measures” taken by the state corporation.

“Hydro-Quebec has it under control. The question is to execute it again as quickly as possible because there is a source of additional terawatt-hours that we can take to emit elsewhere”, admitted Mr. Fitzgibbon, who wishes to intervene to manage the energy demand of new businesses wishing to establish themselves in Quebec.

Hydro-Québec: 4 million customers

Dynamic pricing

Reduces the electricity bill of a customer who reduces his consumption when the government company asks him to, especially during the winter period.

  • 2022-2023 180,000 customers (program open to all this year)
  • 2021-2022 157,000 customerschosen by Hydro
  • 2020-2021 60,000 customerschosen by Hydro
  • 2019-2020 20,000 customerschosen by Hydro

Source: Hydro-Quebec

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