Three organizations are joining forces to call for a freeze on Hydro-Quebec's electricity rates after the public utility company announced it would raise them this year and in 2023 in line with inflation.
The Canadian Federation of Independent Business (CFIB), Option consommateurs and the Association québécoise des consommateurs industriels d'électricité (AQCIE) want the Quebec government to appeal to the Régie de l'énergie to ensure that consumers do not pay more than necessary to Hydro-Quebec.
In January 2022, inflation in Canada exceeded five per cent for the first time since September 1991, according to Statistics Canada.
By comparison, the overall Consumer Price Index (CPI) rose by one per cent in January 2021.
The three organizations point out that Hydro-Quebec earned $3.5 billion in profits in 2021.
They calculate that in 2023, the Crown corporation would therefore take an additional $600 million from the pockets of Quebecers.
Christian Corbeil, director of Option consommateurs, says that by removing the Régie de l'énergie's power to set Hydro-Quebec's rates annually and instead subject them to the vagaries of the economy, the government is exposing consumers to rate shocks while allowing the Crown corporation to make unreasonable profits.
François Vincent, CFIB vice-president for Quebec, adds that small and medium-sized businesses are recovering from waves of economic restraint and are now being hit hard by high inflation, so Hydro-Quebec should not be able to take even more from them.
CFIB has calculated that the average rate increase for a small convenience store would be close to $200, and for the commercial sector as a whole, the average additional bill would be $518.
On Sunday, Quebec Liberal Party (PLQ) Leader Dominique Anglade proposed temporarily lifting the QST on electricity bills up to $4,000 and promised a rate freeze should her government be elected.
-- This report by The Canadian Press was first published in French on March 14, 2022.
