Hydro-Québec has proposed charging higher prices for the top five per cent of residential consumers as demand for electricity continues to increase in the province.
The higher rate would affect about 200,000 households in the province whose annual consumption exceeds 35,000 kWh — more than double the average household consumes.
Hydro-Québec says the new tariff structure will discourage excessive consumption.
“Residential electricity demand is expected to increase significantly in the coming years, and supplying enough electricity to meet this higher demand will put upward pressure on rates for all customers, including those who consume the least,” the utility company said in a press release.
The proposal adds a third pricing tier for the residential customers “whose higher electricity use is often due to heated pools, hot tubs and heated driveways or because of very large living spaces.”
The price for the biggest consumers in the province would be at 13 cents/kWh. The first two tiers would retain their 7 cents/kWh for basic consumption under 15,000 kWh/year and 12 cents/kWh for the mid-tier between 15,000 and 35,000 kWh/year.
Hydro-Québec says the new tier won’t affect farms, modest-income households and multi-unit buildings with a single meter.
The announcement comes two years after a similar proposal by the company was rejected by the Regie de l’énergie.
