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New Brunswick energy strategy targets electric heat demand, easing NB Power peak loads by banning baseboard heaters, raising rates, and shifting supply toward Hydro-Quebec, renewables, and natural gas while strengthening Energy and Utilities Board.
What's Going On
A 10-year plan to curb electric heat, raise rates, ban baseboards, and diversify supply via Hydro-Quebec and gas.
- Raises electricity rates for electric-heat customers
- Ban on baseboard heaters in new construction
- Cuts fossil peaker use like Coleson Cove
- Leverages Hydro-Quebec and Atlantic renewables
New Brunswick's Energy Commission released its first recommendations, including a proposed ban on electric baseboard heaters in all new homes in the province and a price hike for existing electric baseboard customers.
The two-member energy commission recently completed a tour of the province and is in the process of building a 10-year energy strategy for New Brunswick's energy sector over the coming decade.
Jeannot Volpe, a former Tory Energy and Finance minister, and Bill Thompson, a former deputy minister of Energy in the Lord government, released their preliminary report and said the demand for electric heat is strangling NB Power financially today.
They argued the provincial utility is being forced to maintain and operate inefficient fossil fuel generators, such as Coleson Cove, to meet the needs of New Brunswickers on a few bitterly cold days a year and it comes at an enormous cost.
Volpe and Thompson recommended the cost of electricity be increased for the 60 per cent of New Brunswick residents who use electric heat, and that electric baseboard heaters be banned in all new construction.
"We actually had people tell us — a lot of people told us — that baseboard heating should go," said Thompson.
Other sources of heat are readily available, he said. "Our geography gives us an advantage for accessing clean and renewable power from Hydro-Quebec and new developments in Newfoundland and Labrador and connects us to the markets supplying New England, with regional utility proposals gaining attention, which is driven by natural gas."
The attack on electric heat is the most controversial of the 49 recommendations made by the commission. It also recommended government find a way to fix pricing problems with natural gas, and that the powers of the Energy and Utilities Board be beefed up.
Interim Liberal Leader Victor Boudreau criticized the vagueness of the recommendations, noting that questions remained after the power deal for months afterward.
"Like many other sectors I think we're going to have to wait for the final report to really get a clear picture, a clear vision of where this government wants to go in terms of energy," he said.
The commission said it wants public feedback on its proposed recommendations before submitting a final report in May, even as a coalition called a past power deal bad for New Brunswick in earlier debates, which the Alward government has promised will form the basis of sweeping new energy policies.
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