In question period in the House of Assembly on Nov. 26, the leader of the third party, Lorraine Michael, asked Natural Resources Minister Jerome Kennedy how much per kilowatt hour island ratepayers would pay after Muskrat Falls. His reply, after the usual runaround about how they calculated costs, was that ratepayers would pay double in 2017 without Muskrat Falls.
This is probably true, because Nalcor has a monopoly on our power. Since July 1, 2011 Newfoundland and Labrador Hydro has increased the power rates by 13 per cent and said it was because of oil price increases. For the rates to double by 2017, these phantom oil prices would have to double. I think that the reason rates will go up so much is that Vale Incoâ€™s plant will come on stream and will be supplied with power from Holyrood.
How much do you think Vale Inco will pay for that power?