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Enbridge seeks natural gas rate hike of $86

Company says it needs to cover the cost of the federal carbon pricing program.
Enbridge1

TORONTO — Natural gas customers in northwestern Ontario could see their bills increase an average of just over seven dollars a month this spring.

It's because Enbridge Gas Inc. has applied to the Ontario Energy Board for a rate increase of approximately $86 a year for customers in this region.

Enbridge Gas Inc. was formed through the amalgamation of Enbridge Gas Distribution and Union Gas in 2018.

In its application to the OEB, Enbridge Gas says the increase is necessary to recover costs associated with meeting its obligations under the Federal Greenhouse Gas Pollution Pricing Act.

That act establishes a carbon pricing program under which Enbridge is required to pay a carbon charge to the federal government for the gas it delivers to customers starting April 1, 2019.

According to the company, the legislation also imposes other obligations related to emissions from the operation of Enbridge's natural gas distribution system effective Jan. 1, 2019.

The OEB is currently considering the rate hike application.




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