Activists called for the elimination of “energy poverty” on Friday, pledging to make the cost of electricity a ballot box issue in the upcoming provincial election.
NB ACORN wants the province to cover 30 per cent of power bills for low-income customers and implement a moratorium on winter power shutoffs.
“People should not have to ever choose between food, rent, electricity, and heating their homes,” NB ACORN co-chair Peter Jongeneelen told a crowd of about 15 people gathered outside Assumption Place at a rally in downtown Moncton.
NB ACORN campaigns on behalf of people with low and moderate incomes.
Households spending more than six per cent of after-tax income are sometimes described as “energy poor.” The Atlantic provinces have the highest rates of energy poverty in the country, according to a 2019 study.
New Brunswick and Nova Scotia have energy poverty rates of 37 per cent, compared to Newfoundland and Labrador at 38 per cent, and P.E.I. at 41 per cent.
Those rates of energy poverty are roughly double the Canada-wide rate of about 20 per cent, according to the study published by Canadian Urban Sustainability Practitioners.
The protest came just after the Energy and Utilities Board heard its last testimony in hearings over proposed NB Power rate increases.
The utility has asked the EUB for permission to raise its overall rates by 9.25 per cent in 2024-25 and again the following fiscal year. For residential customers, that’s an annual increase of 9.8 per cent. Final arguments are expected on Monday.
Earlier this year, the EUB approved interim rate hikes as NB Power awaits the outcome of their application. Those increases work out to an average of 13.2 per cent for residential customers, according to NB Power.
“These are increases that New Brunswickers of low, moderate, or even medium income cannot afford because of things like the high cost of food, inflation, rising rents, medical costs, and other bills,” Jongeneelen said.
He said that payment plans offered by NB Power don’t go far enough. “You still have monthly bills coming in,” Jongeneelen said. “You’re falling farther and farther behind. We need a system that will help somebody to get that fixed up.”
“One thing all of us can do is make our voices heard in this election,” he said.
He said NB ACORN has been contacted by the provincial Liberals, Green Party and NDP ahead of the election slated for October, but not the governing Tories.
“They have not consulted with us at all,” Jongeneelen said. “So that shows where their interest is.” The Conservative Party did not respond to a request for comment by the time of publication.
In attendance at the rally on Friday were members of groups including the NB Coalition for Pay Equity, the NB Common Front for Social Justice and the New Brunswick Federation of Labour.
Some local candidates were also present, including Green Party candidate for Riverview Sarah Lord and NPD candidate for Moncton South Rebecca Rogers. Provincial NDP Leader Alex White was also present.
During hearings this week, a Calgary-based consultant called for lower rate hikes, warning that potential risks include a spike in disconnections for people struggling with poverty, according to the CBC.
NB Power said in a statement on Friday that disconnections are “an absolute last resort, especially in the winter months.”
Dominique Couture, a spokesperson for the utility, said that NB Power exhausts “every option to make contact with customers to create payment arrangements that best suit their unique situations and avoid disconnections.”
Couture urged customers to reach out to NB Power if they are unable to pay their bills “so we can explore financial assistance programs and find a solution that avoids disconnection.”
The statement added: “We recognize these are challenging times for our customers and we offer options to help them manage their overdue bills including payment arrangements and making sure they are aware of programs that might offer assistance.
“We also offer equalized payment plans to help customers spread their annual bill into equal monthly amounts to avoid higher bills in the winter months and offer an array of energy efficiency programs that can help customers save energy and reduce their bills.”
The proposed rate hikes have met with opposition from social justice groups including the NB Coalition of Persons with Disabilities, the Human Development Council, and the Madhu Verma Migrant Justice Centre. which has called on the EUB to “avoid plunging more people in New Brunswick further into energy poverty and poverty in general.”
Increased power rates come as provincial government has ordered NB Power to reduce its debt to 80 per cent of the utility’s value by 2029. Previously, the province had given NB Power a 2027 deadline.
In its provincial election platform, NB ACORN has also called for expanded tenants rights, more financial support for people with disabilities, and the establishment of a publicly-funded and operated drug treatment centre as part of the health care system.
David Gordon Koch is a journalist with the NB Media Co-op. This reporting has been made possible in part by the Government of Canada, administered by the Canadian Association of Community Television Stations and Users (CACTUS).
