SaskEnergy asking for rate increase due to rising natural gas prices

·1 min read
SaskEnergy applied to the Saskatchewan Rate Review Panel, to increase the price of natural gas.  (CBC News - image credit)
SaskEnergy applied to the Saskatchewan Rate Review Panel, to increase the price of natural gas. (CBC News - image credit)

SaskEnergy has applied to increase the price of natural gas in the province.

The Crown corporation is asking to increase the commodity rate by 25.8 per cent, meaning the average residential customer would have to pay $5.65 more per month.

SaskEnergy said the market price for natural gas has doubled since the Crown decreased its prices back in 2019.

"Increased natural gas demand for power generation coupled with higher liquefied natural gas exports are contributing to increased commodity prices," said president and CEO Ken From in a media release.

SaskEnergy submitted the rate application to the Saskatchewan Rate Review Panel. The panel will provide the government with an opinion on the fairness and reasonableness of the rate request. Members of the public can give their feedback to the panel at their official website or through social media.

If approved, it would be the first time SaskEnergy increased its commodity rate since 2014. Currently the company is offering its lowest commodity rate in more than 20 years.

The final decision on the increase will be made by the provincial cabinet. If approved the change would take effect on Nov. 1, 2021.

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