“New Fee Threatens Solar Industry Growth in Maritimes”

Upon learning about N.B. Power’s recent plan to implement a new fee for customers generating rooftop solar power in New Brunswick, Dave Brushett, chair of Solar Nova Scotia, drew parallels to a similar situation in Nova Scotia earlier this year. In January 2022, Nova Scotia Power proposed a system access fee for solar customers, causing a halt in the industry’s growth in that province.

The proposed fees, amounting to around $80 per month in Nova Scotia and over $100 per month in New Brunswick, could significantly extend the payback period for new solar investments, potentially hindering the industry’s expansion in both provinces.

A man in a video call.
Dave Brushett, chair of Solar Nova Scotia, mentions the public backlash against Nova Scotia Power’s attempt to introduce fees for residential solar producers. (CBC)

According to Brushett, the introduction of these new charges could render solar energy financially unfeasible for many consumers, potentially stalling the growth of the solar industry in both provinces.

While Nova Scotia swiftly abandoned its 2022 proposal due to strong public opposition, New Brunswick’s N.B. Power has proceeded with its submission to the Energy and Utilities Board over six weeks ago.

N.B. government refrains from interference

The proposal in New Brunswick includes a new demand charge and adjustments to rates for solar producers. Although solar producers would pay less for the energy they consume, they would also receive reduced credits for the power they generate. Additionally, a demand charge of $13 per kilowatt would be applied to each customer’s peak power usage per month.

An illustrated chart showing rate changes and new demand charge
Proposed rate adjustments would lower charges and credits for solar customers, resulting in a nearly neutral impact on bills. The introduction of a demand charge would entail additional monthly costs for solar customers. Source: Sample bill from N.B. Power proposal (CBC)

If approved, the new fee structure is anticipated to take effect by 2027 for new solar customers and by 2037 for existing ones. New Brunswick Energy Minister René Legacy affirmed that the government would not intervene in the process until the board makes a ruling, expected in the fall.

WATCH | Here’s a breakdown of how a demand charge functions:

Want to go solar? Proposed new charge from N.B. Power could make it pricey

June 17|

Duration 2:05

N.B. Power seeks to implement significant changes to its net-metering program, potentially impacting solar growth in the province.

<a href="https://www.cbc.ca/listen/live-radio/1-25-information-morning-fre