Power bills in Nova Scotia may spike as utility looks to refinance $1B in assets

Nova Scotia Power Inc. has submitted a request to refinance nearly $1 billion worth of assets, which includes several coal plants set to shut down by 2030. The privately-owned utility claims that this financial strategy, called "securitization," could lead to a 2.9 percent increase in residential electricity bills next year. When combined with a prior approved rate hike, the total cost of electricity could climb 6.8 percent in 2027.

Nova Scotia Power asserts that this securitization will save customers $265 million over a period of 30 years, in comparison to not pursuing the financing method. Premier Tim Houston, who serves as both the province's accountant and energy minister, expressed skepticism about the utility's claim that the accounting adjustment would benefit ratepayers during a January interview with CBC.

The premier did not participate in an Energy Department briefing on Friday regarding the new rules allowing for securitization.