Halifax Water’s rate case interveners are expressing concerns to the regulatory board that despite the utility’s significant reduction in its original proposal, the new proposal remains unreasonably high.
The consumer advocate appointed by the board indicated that Halifax Water may be closer to striking a balance between recovering essential costs and ensuring fair and affordable rates. However, he emphasized lingering worries about the current proposal.
Earlier this year, Halifax Water sought approval for two rate increases totaling over 35% between January and April 2026. The regulatory board deemed this increase as “rate shock” and instructed the utility to revise its proposal. Halifax Water returned with a new plan featuring two smaller increases that would amount to an 18% raise over the same period.
Consumer advocate David Roberts raised concerns in a recent letter to the board, suggesting that the revised proposal could still result in “rate shock.” He emphasized the necessity for implementing new rate strategies to prevent steep rate hikes in the future.
Roberts highlighted measures, including seeking relief from certain payments to Halifax Regional Municipality and exploring options for HRM to help mitigate the utility’s financial deficits driving up costs.
Despite acknowledging the need for infrastructure upgrades and other necessary expenses to maintain water services at satisfactory levels, Roberts stressed the importance of keeping customer rates at a reasonable and affordable level.
Notably, other stakeholders have also expressed reservations about Halifax Water’s revised rate proposal. Rental Housing Providers Nova Scotia urged the board to limit the 2026 cumulative increase to 10% and push for a settlement agreement on rates for the following years.
The board is anticipated to announce its decision regarding the revised rates in early January.