Newfoundland and Labrador Hydro (Hydro) filed an amended General Rate Application (GRA) today with the Newfoundland and Labrador Board of Commissioners of Public Utilities (PUB) to set electricity rates effective February 1, 2015 for electricity customers.

“Hydro remains clearly focused on ensuring the delivery of reliable electricity to the people of this province now and in the long-term,” said Rob Henderson, Vice President, Newfoundland and Labrador Hydro. “Most of Hydro’s assets are now more than 40 years old and require increasing refurbishment and replacement – this is one of the biggest challenges for the electricity system.”

Since the last GRA in 2006, there have been a number of factors affecting costs including fuel prices, capital expenditures and new energy sources. Hydro is filing its application to ensure electricity rates now are reflecting the current cost to provide service.

“Outside of the annual fuel cost adjustments, Hydro has worked to manage rates for customers despite rising costs during that time,” said Henderson. The company’s last general rate application was filed in 2007.

Customers on the Island Interconnected System will see an approximate 2.8% increase while customers on the Labrador Interconnected System will see an approximate 1.9% increase. Hydro is investing significantly in the provincial electricity system and this year will spend approximately $260M on important and necessary capital investment.

“The focus continues to be on managing our costs, while making the right capital investments in aging infrastructure to ensure we deliver safe, least-cost and reliable electricity service for our customers,” said Henderson.