Qulliq wants Nunavut-wide power rate

Nunavut’s Qulliq Energy Corporation wants to change the way it charges for electricity. At present, bills reflect what it costs to produce electricity in each community.

But now the power corporation is asking for a uniform territorial rate.

This means consumers throughout Nunavut would pay the same rate based on the Qulliq’s average cost of operations and capital costs across Nunavut.

QEC made an application with the federal minister of energy. This will be reviewed by the Utility Rates Review Council and public hearings on the change will take place during the review.

Qulliq’s application says it needs revenues of $77 million, or $19 million more than it receives now.

If the QEC’s application is accepted, electricity will end up costing more in some Nunavut communities, and less in others. The rate increase won’t take place until at least April, 2005.

“Diesel fuel is used to generate most of Nunavut’s electricity. World oil prices have risen significantly and these increases are not presently reflected in our electricity prices,” said Qulliq chairman Simon Merkosak.