Rate Stabilization

Every year on July 1, we adjust electricity rates based on the price of oil used to generate electricity at the Holyrood Thermal Generating Station, the amount of electricity used by customers, and the annual amount of water we use for hydroelectric generation.

This routine, annual adjustment is called the Rate Stabilization Plan (RSP). It was created to ensure that customer rates reflect the actual cost of electricity generation from year to year.

On July 1, 2018, interim rates were implemented as approved by the Public Utilities Board (PUB). The interim rate was approximately 2.6% for most residential customers. The annual RSP adjustment also came into effect on July 1, 2018, bringing the total rate increase on that date to approximately 6.6% for most residential customers.

The RSP Refund Program

Between 2007 and 2013, the amount of electricity that was expected to be required by certain industrial customers on the island was significantly reduced due to closures related to the pulp and paper industry, which resulted in significant savings in anticipated fuel costs and an accumulated balance in our RSP account. This balance had to be returned to eligible customers who used, and paid for, electricity during part or all of the refund period (January 1, 2007 to August 31, 2013).

The RSP Refund Program is now CLOSED

The deadline to apply for your RSP Refund was September 28, 2018. RSP Refund cheques were automatically issued in the name of the primary account holder to customers with an active electricity account beginning February 2017. No application was required. The refund covered the total amount owed for all eligible accounts.

For more information, please email us or call our Customer Service Centre at 1-888-737-1296.

If you are a former or current Newfoundland Power customer, please contact Newfoundland Power directly for information about your refund.