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Alberta

Alberta NDP Opposition says Albertans need help to pay utility bills

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From the Alberta NDP 

NDP CALLS FOR UTILITY BILL RELIEF IN RESPONSE TO SHOCKING BILLS DURING PANDEMIC, ECONOMIC DOWNTURN

Alberta’s NDP is calling for major relief for consumers following a sudden surge in constituents coming forward with massive cost increases on their monthly electricity and overall utility bills.

The Office of the Utilities Consumer Advocate (UCA) cites a number of contributing factors to the upswing in prices in Alberta, including increased consumption while people are staying home to observe COVID-19 public health orders, increased use during the winter, increased costs for natural gas and electricity and increased transmission and distribution charges.

“There’s a compounding effect here and it’s hammering household budgets,” said NDP Leader Rachel Notley. “Many Albertans have to use more natural gas and electricity if they work from home or spend more time at home to help protect their communities from the spread of COVID. Couple that with soaring prices for natural gas and electricity and you’re seeing massive bills and no relief for families.”

In 2016, the NDP Government capped electricity prices under the Regulated Rate Option at 6.8 cents per kilowatt hour; however, Jason Kenney and the UCP removed it in late 2019. According to the UCA, average electricity prices have exceeded that previous cap in January, February and March of this year — the highest price was reported in February by EPCOR, which charged an average of 8.95 cents per kilowatt hour.

As well, natural gas prices are at highs not seen in seven years, with prices in March exceeding four cents per gigajoule — the last time prices were this high was in June 2014. For context, rates were just 1.6 cents per gigajoule in March 2020.

In response, the NDP is calling for the following four actions to be taken by the UCP immediately:

  • Provide direct consumer relief to two-thirds of Albertans (those earning up to $55,000 annually as an individual or $102,500 per couple). Model the relief program after the COVID-19 Energy Assistance Program offered by the Government of Ontario, which provided customers with up to $750 in support both their electricity and natural gas bills. Consumers can apply for relief on both bills separately, providing total potential relief of $1,500.
  • Reinstate the Regulated Rate Option cap for electricity at 6.8 cents per kilowatt hour.
  • Reinstate the Utility Payment Deferral Program, which allowed consumers and businesses to defer payment of bills but which ended last June.
  • Ban all utility shutoffs for Alberta homes until the pandemic ends and public health orders are lifted.

Notley noted that Albertans are already struggling greatly during the pandemic and economic downturn, with tens of thousands of jobs lost in the province and currently the second-highest unemployment rate in Canada. In a recent Angus Reid poll, the percentage of Canadians reporting that they are worse off than they were a year ago is highest in Alberta.

“We need action to help Albertans in this time of great need,” Notley said. “People doing the right thing and staying closer to home during this pandemic should not be penalized for doing so. We need real consumer relief from these glaring utility bills and we need it to last for the duration of the pandemic, no matter when it might end.”

Thousands of Albertans have written or come forward to the NDP Caucus with complaints and concerns about their utility bills. Calgary father Hassan Ali Nakokara lost his job early in the pandemic and has been struggling to pay bills since. In February, his monthly utility bill jumped to $850 from $450 the month prior.

“It’s impossible for me to pay that,” Nakukara said. “I’m out of work, I’m trying to support my kids while I look for work. The last thing I can do is hand over hundreds to heat and power my home. I need help and I’m desperately hoping the government will step up to help me and so many others.”

Fellow Calgarian Carolyn Nystrom said she and her husband have lived in their home since 2012 and paid between $250-300 for utilities per month. Her bill has been increasing rapidly since December – for March, the total reached $576. Nystrom said it appears the greatest increases are being seen on electricity and transmission charges.

“We are in a pandemic,” Nystrom said. “People have lost their jobs. People have spent their savings. My husband and I have both been fortunate to keep our jobs through all of this.  Even though we still get a paycheque, a bill doubling in three months is absolutely unaffordable … if companies like Enmax and Direct Energy can charge whatever they want per kilowatt hour or gigajoule, what can stop them?  And what can we do?  We live in Canada.  Being able to turn lights on is not exactly an option here.  We have to pay, and companies without regulations and caps know that.”

Correspondence and calls regarding spiking utility bills have come in from all over the province.

Airdrie mother Lisa Gilling said her most recent electricity bill shows the price being charged per kilowatt hour jumped from 5 cents to 19 cents per kilowatt hour and her bill for electricity alone totaled over $400.

“A three hundred per cent increase for a product or service is drastic but when it is an essential service, like electricity, it can be catastrophic, especially for a single-income family,” Gilling said. “Do you cut back on groceries in order to have lights and hot water?”

Mickey Moore, a senior living alone in Vermillion said his bill has risen by hundreds of dollars since the beginning of the year to more than $550 in March.

“Without some kind of control on essential service, with no real competition, how can we seniors expect to keep up on our fixed incomes?” Moore said. “Does the government plan to index seniors’ incomes to the rising utility costs? When we had regulated utility oversight there was some control and fairness applied.”

After 15 years as a TV reporter with Global and CBC and as news director of RDTV in Red Deer, Duane set out on his own 2008 as a visual storyteller. During this period, he became fascinated with a burgeoning online world and how it could better serve local communities. This fascination led to Todayville, launched in 2016.

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Alberta

Free Alberta Strategy backing Smith’s Provincial Priorities Act

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News release from Free Alberta Strategy

Premier Danielle Smith had a message for Ottawa last week.

Keep out.

On Wednesday, the Premier rolled out her latest weapon in the fight against federal intrusions into provincial jurisdiction.

If passed, Bill 18 – the Provincial Priorities Act – aims to align federal funding with provincial priorities, ensuring that said funding reflects Alberta’s interests.

The legislation stipulates that any agreements between the federal government and any provincial entities – including municipalities – must receive provincial approval to be considered valid.

Smith has already given it a nickname: “the stay-out-of-my-backyard bill.”

It’s an apt description of the legislation, especially considering that’s what the federal government has been doing for years – encroaching into Alberta’s jurisdiction.

The legislation shouldn’t come as a surprise to anyone.

We all know that most deals the Alberta government enters into with the federal government don’t work out for Albertans.

We end up paying more in federal taxes than gets spent in federal spending on the programs.

The programs come laden with restrictive conditions that undermine our autonomy, and are often detrimental to our ability to provide the services.

This is especially true with regard to the recent agreement between Ottawa and the provinces that allows the federal government to nationalize childcare.

The childcare agreement has come under heavy criticism due to funding shortfalls in the deal.

It also applies to housing, where despite Alberta accounting for 12% of the national population and experiencing the most rapid population growth, it received a mere 2.5% of the total $1.5 billion in federal housing funding last summer.

Jason Nixon, Minister of Seniors, Community and Social Services, is in charge of housing in Alberta – which is provincial jurisdiction.

On the latest rollout of conditional federal housing handouts, Nixon isn’t buying.

“We will not be bribed, with our own money, to increase the time it takes to get homes built with green energy that makes homes more expensive.”

The theory also applies to the federal government’s latest gambit – doing an end-around provincial negotiations and going directly to municipalities, who seem more interested in taking the money than the conditions attached.

Municipalities are provincial jurisdiction.

Bill 18 mandates that entities within Alberta’s jurisdiction, such as municipalities, universities, school boards, housing agencies, and health authorities, must seek the province’s approval before engaging in, modifying, extending, or renewing agreements with Ottawa.

Agreements between the federal government and provincial entities lacking Alberta’s endorsement will be deemed illegal under this legislation.

That’s Premier Smith’s message.

She’s had enough of it.

“It is not unreasonable for Alberta to demand fairness from Ottawa. They have shown time and again that they will put ideology before practicality, which hurts Alberta families and our economy. We are not going to apologize for continuing to stand up for Albertans so we get the best deal possible.

“Since Ottawa refuses to acknowledge the negative impacts of its overreach, even after losing battles at the Federal and Supreme Courts, we are putting in additional measures to protect our provincial jurisdiction to ensure our province receives our fair share of federal tax dollars and that those dollars are spent on the priorities of Albertans.”

Municipal Affairs Minister Ric McIver had additional thoughts:

“For years, the federal government has been imposing its agenda on Alberta taxpayers through direct funding agreements with cities and other provincial organizations. Not only does Alberta not receive its per capita share of federal taxpayer dollars, the money we do receive is often directed towards initiatives that don’t align with Albertan’s priorities.

“Albertans from all corners of the province expect our federal share of taxes for roads, infrastructure, housing and other priorities – not federal government political pet projects and programs in select communities.”

The Provincial Priorities Act is based on existing provincial legislation in Quebec – called “An Act Respecting the Ministère du Conseil executif” – which prohibits any municipal body from entering into or negotiating an agreement with the federal government or its agencies without express authorization from the Quebec government.

That’s right – the Quebec government has the same rule!

So, this boils down to the same argument we’ve been making for years – if Ottawa wants to step into our backyard, it must first seek Alberta’s approval.

Enough is enough – we won’t stand idly by as our interests are trampled upon.

It’s time for Ottawa to recognize Alberta’s autonomy and respect our right to determine our own future.

At the Free Alberta Strategy, we know that constant vigilance is necessary – for every fence we put up, the federal government tries to find a way around it.

We’ll continue to bring you information about what’s happening in Alberta’s backyard and fighting to keep Ottawa out.

The Free Alberta Strategy Team

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Alberta

Building a 21st century transit system for Calgary

Published on

From the Frontier Centre for Public Policy

By Randal O’Toole

Calgary Transit is mired in the past, building an obsolete transit system designed for an archaic view of a city. Before the pandemic, transit carried 45 percent of downtown Calgary employees to work, but less than 10 percent of workers in the rest of the Calgary urban area, showing that Calgary Transit doesn’t really serve all of Calgary; it mainly serves downtown.

That would have worked in 1909, when Calgary’s first electric streetcars began operating and most jobs were downtown. By 2016, less than 15 percent of Calgary jobs were downtown, and the pandemic has reduced that number further.

Rather than design a transit system that serves the entire urban area, Calgary Transit light-rail system reinforced its downtown focus. Transit ridership has grown since the city’s first light-rail line opened in 1981, but it was growing faster before the light rail began operating than it has since then. Now Calgary Transit is planning even more downtown-oriented light-rail lines.

Light rail is an expensive form of low-capacity transit. The word “light” in light rail refers not to weight but to capacity: the American Public Transportation Association’s transit glossary defines light rail as “an electric railway with a ‘light volume’ traffic capacity.” While a light-rail train can hold a lot of people, for safety reasons a single light-rail line can move no more than about 20 trains per hour in each direction.

By comparison, Portland, Oregon runs 160 buses per hour down certain city streets. An Istanbul busway moves more than 250 buses per hour. Bogota Columbia busways move 350 buses per hour. All these transitways cost far less per mile than light rail yet can move more people per hour.

Once they leave a busway, buses can go on any city street, reaching far more destinations than rail. If a bus breaks down or a street is closed for some reason, other buses can find detours while a single light-rail breakdown can jam up an entire rail line. If transportation patterns change because of a pandemic, the opening of a new economic center, or the decline of an existing center, bus routes can change overnight while rail routes take years and cost hundreds of millions of dollars to change.

To truly serve the entire region, Calgary Transit must recognize that buses are faster, more flexible, and can move more people per hour to more destinations at a lower cost than any rail system. It should also recognize that modern urban areas have many economic centers and use buses to serve all those centers.

Besides downtown, Calgary’s major economic centers—the airport, the University of Calgary, Chinook Center, the Seton health center, and others—are mostly located near freeway on- and off-ramps. Calgary Transit should identify ten or so such centers geographically distributed around the region. It should locate transit centers—which need be no more than curbside parking reserved for buses with some modest bus shelters—near the freeway exchanges closest to each center.

It should then operate frequent (up to five times per hour) non-stop buses from every center to every other center. A few secondary transit centers might have non-stop buses operate to just two or three other centers. Local bus routes should radiate away from each center to serve every neighborhood of the Calgary urban area.

Since non-stop buses will operate at freeway speeds, the average speed of this bus system will be more than double the average speed of Calgary’s current bus-and-rail system. Transit riders will be able to get from any corner of the urban area to any other part of the urban area at speeds competitive with driving.

Such a polycentric system will serve a much higher percentage of the region’s workers and other travelers than the current monocentric system yet cost no more to operate. It will cost far less to build than a single rail line since most of the necessary infrastructure already exists. While some may worry that buses will get caught in congestion, the solution is to fix congestion for everyone, not spend billions on a slow rail system that only serves a few people in the region.

It is time for Calgary Transit to enter the 21st century. A polycentric bus system may be the best way to do it.

Randal O’Toole is a transportation policy analyst and author of Building 21st Century Transit Systems for Canadian Cities. 

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