Electricity and exodus

The Telegram
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Brian Jones (in his column June 20 in The Telegram) and others predict that electricity rates will double when “the rat” comes on stream.
Of course, anxiety around this possibility has not been lessened by Nalcor’s refusal to release its Power Purchase Agreement with NL Hydro.

It was also reported today that our population is again falling based on surplus outmigration.


Cause for concern

This during the time of a major construction boom should be a major cause for alarm especially when we take into account the negative systemic population growth based on the birth/death ratio.

And let’s not be distracted from the truth by the laughable indignation expressed by current and former politicians and their cronies who argue that those numbers don’t reflect job growth through new investment strategies.  

But back to the electricity issue. Right now many users pay $500 to $600 a month or more in the dead of winter.

If the rates don’t, in fact, double but increase by a comparatively modest 50 per cent, that’s $750 to $900 a month or more for nearly half of the year.

If you happen to live in an average two-storey home in St. John’s, add another $350 to $400 a month to your costs for property tax.  


‘No tax inceases?’ Right

By the way, don’t you think it was rather sneaky how this city proclaimed “no tax increases” while creating the same effect by raising house values to their actual value?

In conclusion, even taking the modest electricity cost increase scenario into account many livyers in the Northeast Avalon will soon will be paying well over $1,100 a month before mortgage, car payment, gas, insurance and groceries.

One can find good quality rental accommodations (electricity included!) in far warmer climes than Newfoundland for that amount of money.

Do the math and expect the exodus to increase.

Of course, many of the politicians aren’t too concerned.

They have already purchased.


Tom Hawco

St. John’s

Geographic location: Northeast Avalon, Newfoundland

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Recent comments

  • Cyril Rogers
    June 23, 2014 - 11:06

    I find it interesting that the Liberal party is not taking a more vocal stance on Muskrat Falls……...given the obvious political capital one could engender with a well-reasoned rebuttal of NALCOR's fantasy facts……. and the government's ineptitude in trying to explain why they continue to support a white elephant!! I have read that 70% of the people of the province support the MF project..and that may be true…but, if so, they do so out of ignorance. In some cases, there is personal benefit but the majority of people I speak with…...who do support it…..profess complete ignorance with respect to understanding how it is supposed to work. They are appalled when the real facts are presented and most seem to have swallowed the government's propaganda and NALCOR's distorted analysis….hook, line, and sinker. Sadly, so has much of the print and tv media….who used to be able to practice investigative journalism, as opposed to the "entertainment" we now call news.

  • Susan
    June 23, 2014 - 10:44

    Joe Bennett, first of all, Liberal will get the " Blame " because they were miss leading the people, concerning this project' First they were against its, Now " They " are for its, But its not going to bother me and my family, were moving, before the " Disaster" get out of " Control ", Enjoy.

  • joebennett
    June 23, 2014 - 07:55

    Right on the money. This province will go down hill fast once MF has to be paid for either through higher taxes or through higher power bills - both more than likely. The majority of the population cannot afford this and will have to apply for welfare or move elsewhere. I can see another problem with this, is the fact that the Liberals will get the blame because they will be in power when this all comes about although this present government done all the dirty work.

    • Ken Collis
      June 23, 2014 - 09:15

      Our taxes will have to provide electricity to those less fortunate, we will have to pay more for retail goods, all the government buildings that we pay the power bills for will have to be provided for with taxes, and the municipal taxes will have to increase to cover street lighting and power to their buildings too. It isn't just the increase of your personal power needs costs that we will have to pay for. Of course no political party is willing to pass legislation to have all proceeds from 'The Rat' go towards reducing hydro bills. They all want that cash to buy our votes. All except Minister Martin of course. His latest BS is that we can build hospitals with the money.

    • Maurice E. Adams
      June 23, 2014 - 10:29

      NL Power takes our money. NL Hydro then gets it cut. Nalcor then gets its cut. Emera then gets its cut. The banks get their cut. Government then (may) get a cut. And what is left for building hospitals? Perhaps, just perhaps, 5 or 10% of what ratepayers pay in. In effect, 90-95% of what we pay in will be skimmed off with little or nothing going back to citizens. ... This is the scheme that has been hatched --- and the Liberal party cannot wait to be the recipient of this massive hidden tax on NL citizens.