SaskPower is reminding customers that, effective Jan. 1, 2020, the federal carbon tax applied to SaskPower’s fossil fuel emissions will increase from $20 to $30 per tonne.
As well, federal emission thresholds for coal-fired generation have been reduced by almost 20 per cent.
SaskPower believes the year-over-year cost increase for residential customers will be equal to 1.5 per cent, or $22 per year. Farm customers should expect to pay $60 more in 2020. The actual cost charge per customers will vary, according to consumption.
“While SaskPower has not increased rates in 2019, the Federal Carbon Tax means all SaskPower customers will pay more each month,” said the Honourable Dustin Duncan, Minister Responsible for SaskPower. “Saskatchewan’s Prairie Resilience climate change strategy establishes concrete steps toward meaningful greenhouse gas emissions reductions without the need for this harmful tax.”
Annual increases will continue until the carbon tax hits $50/tonne in January 2022.
The Federal Carbon Tax came into effect January 1, 2019. It began appearing on SaskPower bills as of April 1. While the Government of Saskatchewan continues to challenge the tax in court, SaskPower must still collect the tax until the case is settled. If the Government of Saskatchewan is successful in the court challenge, the tax will be returned to customers.
More information about the Federal Carbon Tax and its effect on SaskPower bills can be found on SaskPower’s website.
