B.C. Hydro bills could rise sharply

[grammafreddy]

http://www.cbc.ca/news/canada/british-c ... eases.html

B.C. Hydro bills could rise sharply
The Canadian Press
Posted: Feb 22, 2011 8:18 PM PT
Last Updated: Feb 22, 2011 8:33 PM PT

BC Hydro is hitting consumers with three years of rate hikes to help pay for a $6 billion upgrade to aging infrastructure and to meet an expected growing demand for electricity.

Hydro is forecasting a rate hike of about 10 per cent a year in each of the next three years.

The increases will help finance upgrades for about a dozen dams and generating stations around the province, including the 80-year-old Ruskin Dam that will require an $800-million investment.

New transmission lines will also be built to link existing and new substations.

The utility will focus on conservation strategies to help meet the target of providing 66 per cent of new electricity demand through conservation by 2020, Hydro president Dave Cobb said Tuesday.

B.C. Energy Minister Steve Thomson said the province is growing and that means more electricity is needed.

If the increases are approved by the B.C. Utilities Commission, it would boost the average residential bill of $77 a month to $92 a month, an average increase of $180 a year.
© The Canadian Press, 2011

So here's a question for ya ... does this impact Fortis' rates?

[oneh2obabe]

Fortis increased their rates January 1, 2011 ... can only guess when the next one will be.

As a result of the BC Utilities Commission directives contained in Orders G-156-10, G-184-10 and G-195-10, a general 6.6% rate increase, and updated Extension Schedule 74 and Standard Charges Schedules 80 and 82 have been approved effective January 1, 2011.
http://www.fortisbc.com/about_fortisbc/rates/rates.html

[normaM]

why don't they pay for their own upgrades, not like they aren't making a huge profit.

[polelady]

As resides of British Columbia we should be on the streets in protest.... these Multi-Million Corporations are getting tax cuts, big bonus's to the BIG Boys,,, and should have been putting some money away for the last 10 years for future expansion.. !!! The need for a 10% times 3 years is a corporate money grab.. Come on people lets respond to this outrages increase when the economy is suffering ......

[Rwede]

why don't they pay for their own upgrades, not like they aren't making a huge profit.

BC Hydro made $447 million last year. How much of a new dam does that pay for? The preliminary design costs maybe? What about all the infrastructure to service your home? How do they pay for that?

I don't know where people think money to look after multi-billion dollar infrastructure projects is supposed to come from. Hydro spent $2.4 BILLION just last year on system upgrades, and that is just a drop in the bucket and concentrated on ONE dam's upgrades (Waneta).

Most people have no idea about the scale and cost of the infrastructure we rely on to service our homes and the businesses we depend on for our livelihoods, yet are so quick to slam companies like BC Hydro for their plans for improvements.

I'd suggest that people like the poster I quoted spend some time actually reading BC Hydro's annual reports to become informed about the realities we are faced with as we currently depend on a power grid built in the 1950s and 1960s. How long do you think we can continue to do this?

http://www.bchydro.com/annual_report_2010.html

[my5cents]

Isn't there something missing that we're not being told here ?

OK, we pay the increase of 50% !!! They build all these infrastructure improvements. Is there a plan for the rates to go back down ??

Planning for the future. Isn't that what a well run organization does ? Why weren't the profits held back for further development / expansion ??

Isn't something missing ? Where are the hard questions ? From the media ??? From the Official Opposition ???

I am so sick of our media. With the very very odd exception all they are, are the receivers of press releases that they reliably regurgitate and attend photo ops to distribute to the public, scenes of politicians opening another stretch of highway (probably the same stretch that they opened before) paid for with our money with the politician taking the credit for spending it.

I don't know the in's and out's of the story but a former MLA, open line talk show host Rafe Mair blames some of this on private power generation that for some reason has to be purchased at times when it is not needed for a price that is too high.

Is there something to this ?? http://rafeonline.com/2011/02/the-numbe ... ate-power/

Doesn't it seem like, the government strips all the profit from whatever crown corporation (Hydro, ICBC etc). They plug that into general revenue. They can then say "we have held income tax to the same levels as (year). Then the next year, Hydro or ICBC announce that "because of our aging infrastructure we need to build/repair/expand, our..... and we will be increasing the rates by 50%", or "accidents are out of control and we will need to ......"

Isn't this the same story we are fed by the oil companies who have now raised the price of gas less than 24 hours after a political uprising on the other side of the world ? .... and just how could that uprising affect the price of gas in the Okanagan that quickly ? Some of that gas was in storage tanks at Okanagan gas stations days before the uprising and is still there ?????? But to raise taxi fares the government has to give approval ??

Over spend our tax dollars, strip contingency funds/expansion funds from crown corporations to pay for the expenditures then have the crown corporations take the blame for the increases and keep the "tax increases" hidden.

[Relentless]

why don't they pay for their own upgrades, not like they aren't making a huge profit.

Yes, and it's up to our Government, not to approve these rate increases!

Just say NO to an increase!

These multi-billion dollar companies can start using profits from 20 years ago to fund new projects today.
These energy giants have been raping people of their money for 2 decades now, not just since last year.

All of the energy giants need to be told by Government, there will be no more approval for increases because you are already charging people for product at 2020 rates.

This horse crap has to stop.
We voted in people to represent us, and make decisions for us, not to leave us with empty pockets.
What crooked Politicians.
Keep letting the rich line their pockets.

Tell them No, to further increases, plain and simple.

[Al Czervic]

why don't they pay for their own upgrades, not like they aren't making a huge profit.

BC Hydro made $447 million last year. How much of a new dam does that pay for? The preliminary design costs maybe? What about all the infrastructure to service your home? How do they pay for that?

I don't know where people think money to look after multi-billion dollar infrastructure projects is supposed to come from. Hydro spent $2.4 BILLION just last year on system upgrades, and that is just a drop in the bucket and concentrated on ONE dam's upgrades (Waneta).

Most people have no idea about the scale and cost of the infrastructure we rely on to service our homes and the businesses we depend on for our livelihoods, yet are so quick to slam companies like BC Hydro for their plans for improvements.

I'd suggest that people like the poster I quoted spend some time actually reading BC Hydro's annual reports to become informed about the realities we are faced with as we currently depend on a power grid built in the 1950s and 1960s. How long do you think we can continue to do this?

http://www.bchydro.com/annual_report_2010.html

Many people are basically uninformed idiots. They do not realize that providing power costs serious money. They refuse to recognize that already B.C. has some of the cheapest power in north America precisely because we made serious electrical infrastructure investments back in the 50’s and 60’s but now that aging infrastructure is long overdue for upgrades. Why is it long overdue? Because “the people” whine and cry like spoiled school children when they have to pay more for anything so power rate increases become politically unpopular and week willed politicians (read NDP) sit on their hands and do nothing. Doing nothing only makes the problem that much worse down the road. Not unlike a leaky roof, if you do not get ton top of it ASAP you are going to end up with serious problems. I would love to be able to disconnect the power to some of these miscreants who don’t think they should have to pay for a power upgrades and let them experience a simulated brownout and then decide if they really do not want a reliable power system. You don’t like it buy a generator or some solar panels and a battery and see how well that runs your household electrical needs and how much those devices cost to provide the power you really need.

[Corneliousrooster]

why don't they pay for their own upgrades, not like they aren't making a huge profit.

BC Hydro made $447 million last year. How much of a new dam does that pay for? The preliminary design costs maybe? What about all the infrastructure to service your home? How do they pay for that?

I don't know where people think money to look after multi-billion dollar infrastructure projects is supposed to come from. Hydro spent $2.4 BILLION just last year on system upgrades, and that is just a drop in the bucket and concentrated on ONE dam's upgrades (Waneta).

Most people have no idea about the scale and cost of the infrastructure we rely on to service our homes and the businesses we depend on for our livelihoods, yet are so quick to slam companies like BC Hydro for their plans for improvements.

I'd suggest that people like the poster I quoted spend some time actually reading BC Hydro's annual reports to become informed about the realities we are faced with as we currently depend on a power grid built in the 1950s and 1960s. How long do you think we can continue to do this?



http://www.bchydro.com/annual_report_2010.html

Many people are basically uninformed idiots. They do not realize that providing power costs serious money. They refuse to recognize that already B.C. has some of the cheapest power in north America precisely because we made serious electrical infrastructure investments back in the 50’s and 60’s but now that aging infrastructure is long overdue for upgrades. Why is it long overdue? Because “the people” whine and cry like spoiled school children when they have to pay more for anything so power rate increases become politically unpopular and week willed politicians (read NDP) sit on their hands and do nothing. Doing nothing only makes the problem that much worse down the road. Not unlike a leaky roof, if you do not get ton top of it ASAP you are going to end up with serious problems. I would love to be able to disconnect the power to some of these miscreants who don’t think they should have to pay for a power upgrades and let them experience a simulated brownout and then decide if they really do not want a reliable power system. You don’t like it buy a generator or some solar panels and a battery and see how well that runs your household electrical needs and how much those devices cost to provide the power you really need.

Would love to put you on a fixed income like our seniors and see if you sing the same tune............
there is not a single business that could increase their prices to accomodate expansion or improvements and put the entire expense into an increased price point. They would be out of business in a week. ONLY could a monopoly do this. Who was managing this company since the 60's, 70's, 80's 90's 00's? They didn't see this coming and couldn't start diverting into a fund for upgrades? how much did these managers get paid to "manage"?

this is a joke!

and Fortis is doing their next increase in April i believe my last bill read (which had the january increase that gave me my highest power bill of my life - looking forward to April...... ) I use all their stupid lightbulbs, have energy efficient everything, very conscience of lights and power usage, have a energy efficient heat pump, etc. etc. etc. and i am paying more now than i did before i made all those lifestyle changes. i would be on the street if i didn't make those changes - but I did them to be environmentally conscience NOT as a survival neccessity. this is F'd up and in my opinion they should be sued for mismanagement - Thank GOD i am not on a fixed income!

[Al Czervic]

Would love to put you on a fixed income like our seniors and see if you sing the same tune............
there is not a single business that could increase their prices to accomodate expansion or improvements and put the entire expense into an increased price point. They would be out of business in a week. ONLY could a monopoly do this. Who was managing this company since the 60's, 70's, 80's 90's 00's? They didn't see this coming and couldn't start diverting into a fund for upgrades? how much did these managers get paid to "manage"?

this is a joke!

and Fortis is doing their next increase in April i believe my last bill read (which had the january increase that gave me my highest power bill of my life - looking forward to April...... ) I use all their stupid lightbulbs, have energy efficient everything, very conscience of lights and power usage, have a energy efficient heat pump, etc. etc. etc. and i am paying more now than i did before i made all those lifestyle changes. i would be on the street if i didn't make those changes - but I did them to be environmentally conscience NOT as a survival neccessity. this is F'd up and in my opinion they should be sued for mismanagement - Thank GOD i am not on a fixed income!

I understand what you are saying but guess what? Power upgrades are a reality and providing power costs money. B.C. even with the increases still has some of the cheapest power rates in North America so it is not as if you can go anywhere else and get cheaper power. It does not exist. So rather than whine and complain about the reality how about accept the power is expensive. There are all kinds of ways to conserve and reduce power but complaining about costs increases to provide the power in question is basically a waste of time because there are legitimate costs attached. And the suggestion to "just say no” is blatantly stupidity. If you really want to “just say no” then how about call up and ask to be disconnected. Not very realistic is it ?

[Logitack]

these increases are due in large part because BCHydro is forced to buy IPP at an inflated cost, when they do NOT need to power produced by the IPP. who forced them to pay 2 and 3 times the rate, LIBERALS! Another example of LIBERAL's political payoff of their BUSINESS friends bilking the taxpayer.

[Al Czervic]

these increases are due in large part because BCHydro is forced to buy IPP at an inflated cost, when they do NOT need to power produced by the IPP. who forced them to pay 2 and 3 times the rate, LIBERALS! Another example of LIBERAL's political payoff of their BUSINESS friends bilking the taxpayer.

That is such a ridiculous load of crap. IPP’S make up such a small portion of B.C. Hydro’s power supply that it is almost insignificant. The fact is capitalizing upgrades to the tune of $ 6 BILLION in public BC Hydro owned electrical infrastructure is the primary reasons why power rates are going up. Anyone who suggests otherwise is either an uninformed idiot or a partisan political hack intentionally trying to distort the truth and facts of this situation for political purposes. Personally Logi, I do not for a moment believe you are an uninformed idiot so I will leave it at that.

[Rwede]

why don't they pay for their own upgrades, not like they aren't making a huge profit.

BC Hydro made $447 million last year. How much of a new dam does that pay for? The preliminary design costs maybe? What about all the infrastructure to service your home? How do they pay for that?

I don't know where people think money to look after multi-billion dollar infrastructure projects is supposed to come from. Hydro spent $2.4 BILLION just last year on system upgrades, and that is just a drop in the bucket and concentrated on ONE dam's upgrades (Waneta).

Most people have no idea about the scale and cost of the infrastructure we rely on to service our homes and the businesses we depend on for our livelihoods, yet are so quick to slam companies like BC Hydro for their plans for improvements.

I'd suggest that people like the poster I quoted spend some time actually reading BC Hydro's annual reports to become informed about the realities we are faced with as we currently depend on a power grid built in the 1950s and 1960s. How long do you think we can continue to do this?

http://www.bchydro.com/annual_report_2010.html

Many people are basically uninformed idiots. They do not realize that providing power costs serious money. They refuse to recognize that already B.C. has some of the cheapest power in north America precisely because we made serious electrical infrastructure investments back in the 50’s and 60’s but now that aging infrastructure is long overdue for upgrades. Why is it long overdue? Because “the people” whine and cry like spoiled school children when they have to pay more for anything so power rate increases become politically unpopular and week willed politicians (read NDP) sit on their hands and do nothing. Doing nothing only makes the problem that much worse down the road. Not unlike a leaky roof, if you do not get ton top of it ASAP you are going to end up with serious problems. I would love to be able to disconnect the power to some of these miscreants who don’t think they should have to pay for a power upgrades and let them experience a simulated brownout and then decide if they really do not want a reliable power system. You don’t like it buy a generator or some solar panels and a battery and see how well that runs your household electrical needs and how much those devices cost to provide the power you really need.

Precisely Al. Since I first posted this morning, I'm sure none of the idiots have bothered to check the link I posted that displays BC Hydro's operating results. They had a grand total of $9 million in cash at the end of the year, that's all. They are putting every single penny of revenue into keeping the infrastructure running to power the idiots' houses and places of work, yet the idiots think "the big bad company" should pull magical money out of their *bleep* to pay for billions in upgrades so that when the idiots flip a light switch, the light comes on.

The idiots, of course, have no idea how a company the size of Hydro has to squeeze the most out of every dollar to supply our power at some of the lowest rates in the world. All the revenues for many, many years have been poured straight into operating the grid and our dams, so this idiotic idea that "past revenues" should be used to fund future capital infrastructure costs is ludicrous. BCUC has kept the cap on rates, so Hydro has done the best they could with what they got.

Of course, the idiots are generally NDP bozos that have no idea how a business is run anyway. I guess Al, we'll have to manage our expectations about the ability of the idiots to comprehend business concepts. Still, I shake my head when people have had cheap power for decades and can't see that the money THEY saved in rates through those years should be used to fund THEIR power grid.

[NAB]

I don't think people are "uninformed idiots" Al. They know what has been going on, but are trapped into being able to do little about it, and many who could invoke change benefit from the situation don't want to see it changed anyway.

I certainly agree with you that the system has not been maintained and upgraded adequately over the years to keep pace with need. Now we have a "plan" to spring more money loose to play catch up by projecting huge increases in rates along with a statement along the lines of loosening up more power by further emphasizing reduced consumption. What many don't seem to realize is that many in the residential sector are already cut to the bone, and now face a future of crossing the line into affordability to keep reasonably warm in winter being a backbreaker where something has to give.

What irritates me even more however is everything related to reducing consumption on many fronts seems constantly targeted at the residential sector. It boggles the mind to note how seriously impacted those at the bottom of the totem pole have become by ever skyrocketing energy costs, ...while the government, commercial, and higher income residential sectors could seemingly care less that the freed up energy they continue to use so excessively will largely come at the expense of the sectors who will have to give up progressively more basic needs.

It is interesting that not only has Ontario been forced to come to grips with that reality and scramble to try to adjust, but there is currently a conversation going on at the federal government level that involves the same concerns and calls to reduce taxes on energy related to heating. It could well be a factor in whether we get a federal election this spring or not, as well as whether the McGuinty Liberals in Ontario even survive the coming election there.

Nab

[Al Czervic]

Nab,

You have raised a few different issues in your comments but ultimately the fact remains that no matter how you cut it electrical upgrades need to be made due to decades of inaction. I also still maintain that power costs money, no matter where you go in North America you are only looking to pay MORE for power and not less so as much as it costs money, well….it costs money.

Making power an even bigger political issue will possibly work to further defer electrical upgrades or maybe create further subsidies but as you yourself would recognize that money is only going to come out of another pocket, although I suppose as long as it is someone’s else pocket you are likely OK with that and therein lays part of the problem.

It’s not unlike conservation…..people point out if we could just conserve we could maybe help offset the needs for at least some of the upgrades and keep things slightly more affordable. But as much as people talk about conservation many only pay lip service to it. This is why you get the Federal and Provincial Governments trying to get into the game of forced conservation by outlawing conventional incandescent light bulbs in favor of CFL’s but I note that people like you are the first to complain about that as well.

In other words you complain about power rate increases, you complain about government efforts to force conservation and ultimately you say it is not fair that residential users should conserve it should be someone one else. I am not trying to pick on you and am only using you as an example but I think you get the drift. Bottom line is that power costs money eventually people are going to need to figure out how to manage their affairs differently because whining and complaining will not change the fact that power costs money, and will continue to cost money. Politicians cannot change that fact either, at best they can defer the inevitable but of course the days of deferral have reached the point of critical mass. Again this is all reality.