Saskatchewan residents and businesses will see their power bills jump next year if a proposal by SaskPower receives approval.
The crown corporation has submitted an application to the Saskatchewan Rate Review Panel for a 4.9 percent rate increase effective Jan. 1, 2013.
"This rate increase is needed to fund investments into the province's electrical system to ensure our customers continue to benefit from a safe, reliable and sustainable power supply," said SaskPower President and CEO Robert Watson in a news release. "Demand for power is expected to grow by 2.9 per cent per year from 2011-2021, and we need to be ready for that growth."
SaskPower plans to spend $10 billion on the province's electrical system over the next 10 years on projects such as 2013's Boundary Dam Power Station carbon capture initiative and a 200 megawatt expansion of Queen Elizabeth Power Station.
SaskPower says that under the proposed new rate, residential customers would see their bills increase by an average of $4-6 per month.
