The Minister of Natural Resources, Jonatan Julien, will table a bill by the summer to permanently cap Hydro-Québec’s rate increases.
Mr. Julien announced Wednesday that the government will opt for the legislative route in order to prevent any increase of more than 3%, as outlined last week by Prime Minister François Legault.
Mr. Legault had not specified what form what he presented as “one-off aid” which should avoid an excessively brutal impact of inflation on hydroelectricity rates, expected in 2023, would take. A few days later, he had specified his intention to compensate for the anticipated increase of 5% by sending a check next year.
Tuesday, at the National Assembly, Mr. Julien unveiled his intention to establish a permanent “mechanism” which will plug a breach in his bill, adopted under gag order in 2019, which matched Hydro-Québec’s rate increases. at the rate of inflation.
“We are going to make a change to the law to come and put a ceiling on it,” he said at the Blue Room.
The government’s objective was to establish predictable increases within the range targeted by the Bank of Canada for inflation, ie between 1% and 3%, underlined Mr. Julien.
“We are facing an exceptional, cyclical situation, which means that potentially, next year, there could be a rate increase of 4%, 5%,” he said.
The minister’s office has indicated that only a maximum threshold will be set at Hydro-Québec for its increases. No minimum will be provided.
Press officer Geneviève Tremblay specified that the bill will not prevent the Régie de l’énergie from continuing to review changes to Hydro-Québec’s rates every five years based on its performance, results and consumer interests.
More details will follow