Downed power poles in Pictou County. (CREDIT: Communications Nova Scotia).
Nova Scotia Power will face tougher penalties for outages and other service issues under the new amendments to the Public Utilities Act introduced today, March 22.
The changes to the act, which were announced by Tory Rushton, Minister of Natural Resources and Renewables, will increase the maximum penalty that can be imposed on the utility for power outages and reliability issues from $1 million to $25 million per year. Nova Scotia Power will pay for the penalties from its profits, and ratepayers will not bear any costs.
“We are linking Nova Scotia Power’s profits to their performance, so ratepayers get the reliable electricity and better service they deserve,” said Rushton.
The proceeds from some of the penalties will go towards a new fund aimed at compensating customers who are most affected by the outages. The details of the new fund and its management will be outlined in future regulations.
The new amendments are part of the government’s efforts to make Nova Scotia Power more accountable for its service delivery and to encourage better performance. With the new penalties in place, the government hopes to motivate the utility to improve its reliability and reduce outages.
Nova Scotia Power has not yet commented on the new amendments to the Public Utilities Act. The changes will come into effect as soon as the amended act receives royal assent.
