SaskPower is announcing they'll change how demand charge rates will be calculated for approximately 1,400 seasonal users.
In a recent release, they said that the change will provide relief for users such as ice rinks, some farms, campgrounds, ski hills, and others to the tune of an average of about $1,140 per year.
Demand charges are issued to customers who use large amounts of power, often over a short period of time.
SaskPower says the charge is necessary because it must hold adequate power capacity in reserve in case the customer needs it.
“SaskPower recognizes the financial challenges that demand charges can place on some of our seasonal customers,” said Don Morgan, Minister Responsible for SaskPower. “That’s why we’re adjusting our billing practices to better reflect how they use power.”
Beginning May 1, 2023, the time period used to calculate minimum demand charges will be reduced from 11 to six months for eligible seasonal farm and commercial customers.
It will reset every May and November. Resetting the minimum demand period in May and November means that a customer’s peak months of power use are not part of the calculations for the minimum monthly billing charges applied during their off-seasons.
For a given example, an ice rink won’t have to pay for the effects of their winter demand charges in the summer.
This change means that those who use power on a seasonal basis will now have lower power bills during their off seasons.
For more information, visit saskpower.com/rates.