Province backs off NSP emissions targets
Posted Jul 23, 2010 05:37:49 AM.
This article is more than 5 years old.
Nova Scotia is softening its air quality regulations in a bid to offset electricity rate hikes proposed by Nova Scotia Power.
The utility plans to ask for a 12 per cent increase in residential power rates, and 18 per cent for industrial rates.
Premier Darrell Dexter says the changes are to make sure residents aren’t “unduly burdened” by the province’s commitment to reduce mercury emissions.
“As I understand it, at the time that the national mercury standards agreement was adopted, they did not understand the costs,” says Dexter.
The changes mean the province will extend the deadline for achieving the 2010 cap until 2014. The current cap is set at 65 kilograms per year.
Dexter wasn’t able to say how much money might be saved due to the changes, which prompted the Liberals to accuse the government of rushing to make a decision without all the facts.
Energy critic Andrew Younger says the NDP government is caving to the utility.
“The fact is, cheap power is at an end,” he said. “We all know that, we all see that with fossil fuel prices on the rise. This will not prevent the rate increase. In fact the premier can’t even tell us how much of the rate increase it will prevent.”
Younger says the NDP should wait to see Nova Scotia Power’s presentation to the Utility and Review Board, which will include details on the rate hike request, before changing emissions targets.
Nova Scotia Power says it will deliver the rate hike application to the Utility and Review Board in about a month, as planned, with hearings starting in October.
However, the utility’s spokesperson, Dave Rodenhiser says the new targets could alter the application.
“About half of the upward pressure on costs was driven by mercury emission regulations,” says Rodenhiser.
Rodenhiser also says the 2020 target to have 40 per cent of the province’s energy provided by renewable sources will aid in the utility meeting it’s new mercury targets.
