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(CHAT News file photo)

Council seeks clarification around utility rate review

Feb 6, 2023 | 10:38 PM

MEDICINE HAT, AB – City council is seeking further clarification on how the cost of electrical utility bills are determined in Medicine Hat.

Council is looking into the current method on how rates are determined and if it can be improved to benefit residents.

One potential method would see the city receive a dividend.

That money would be used to provide additional services and potential tax cuts.

Another method looks at the benefit of providing a discount directly to the rate-payer.

City staff was asked to provide more information on the current rate design at last night’s city council meeting.

Coun. Alison Van Dyke says the rate report needs to be redrafted to provide more clarity to council members

“I think it’s just good to have a review to know so that we can say clearly to people that live here this is the best way forward, this is the best benefit to residents and then to show them the value that they are getting from it,” said Van Dyke.

The city generates its own electricity and profits from its sale.

The current policy used on how electoral rates are charged in Medicine Hat was made in 2015.