HALIFAX — Nova Scotia Premier Tim Houston is raising fresh concerns about the province’s electricity system as Nova Scotia Power prepares for a leadership transition amid a pivotal rate-setting decision.
Nova Scotia Power has announced that a new chief executive officer will take over shortly, a move that comes as the utility seeks approval for a rate increase currently under review by the Nova Scotia Energy Board. In a strongly worded statement, Houston questioned whether the CEO change represents meaningful reform or a continuation of what he described as systemic problems at the monopoly utility.
“While I wish the new CEO more success than his predecessors, I am concerned this announcement is less about real change and more about deflecting from a long-standing pattern of failure.” Houston said. “Successive CEOs have been unable to deliver reliable, affordable power for Nova Scotians, all while collecting excessive amounts of personal data and then seemingly failing to adequately protect it.”
The premier said the leadership change coincides with a critical regulatory process that will shape electricity costs for households and businesses across the province. “Time will tell whether this CEO is prepared to break that cycle – or whether Nova Scotia Power will continue to do what it has done for years: ask households for more at a time when many are already struggling.”
The Energy Board is currently weighing Nova Scotia Power’s most recent request for a rate increase, a process Houston described as highly consequential. “The Board is essentially the judge and jury in this situation.” he said. “They are a group of well-paid experts who are responsible for making these decisions. They make their own, independent decisions and do not take orders from the government. As Nova Scotians, we have to live with their decision.”
Houston cautioned against political interference in the regulatory process, arguing that it could undermine investor confidence. “If a government were to take the extraordinary step to overrule the regulator, it would risk creating chaos in the market. This is especially damaging at a time when we are working to generate good-paying jobs in Nova Scotia by pointing to a strong, stable regulatory regime.”
The premier said his government has instead focused on presenting evidence to the Board. “This is why I have worked hard to show them evidence and make the case that the requested increase must be rejected.” He added, “My position has not changed: The Board should reject the requested power rate increase that they are currently considering.”
Nova Scotia Power filed its final arguments on Feb. 6, maintaining its long-standing position, according to Houston. “On February 6, Nova Scotia Power filed its final arguments in this latest rate case, and the message is the same as always: the monopoly wants more. More staff. More capital. More profit.” He said the public record contradicts those claims. “But the facts in the public record tell a very different story – one Nova Scotians deserve to hear.”
Houston pointed to several issues he said weaken the utility’s case, including its requested return on equity, depreciation assumptions, and capital spending plans. He cited expert evidence submitted by the Nova Scotia Department of Energy and changes in federal and provincial climate policy, as well as the growing role of independent renewable power producers.
He also questioned the utility’s staffing plans. “And while all this is happening, Nova Scotia Power is asking for more than 500 new, full-time positions in a single year – despite being a monopoly with no competitors; with no marketing needs; with wind power suppliers generating more of its energy; with Nova Scotia’s Independent Energy System Operator taking over system operations, planning and procurement; and with significant IT functions outsourced or handled by its parent company.”
Beyond the immediate rate case, Houston framed the debate as a broader economic issue. “The Board’s decision in this rate case matters.” he said. “But our real opportunity does not lie in depending on a Board to protect us. The real opportunity is to create options and competition.”
He argued that Nova Scotia must move away from reliance on a single provider. “Today, we are relying on a single, high-cost provider at a time when global competitiveness depends on diversified, affordable energy.” Houston highlighted wind, tidal power, offshore development, natural gas under renewed study, and consumer-owned technologies as key opportunities.
“Nova Scotia powered Canada once before. We can lead again – if we stop treating yesterday’s monopoly as the only option for tomorrow’s economy.” he said.
Houston concluded by framing the issue as a collective choice. “The question that belongs to all of us: whether we continue relying on a single utility whose business model depends on rising electricity rates, or whether we build a modern, diversified energy system that puts Nova Scotians first.”
“The facts are clear.
The opportunity is real.
And the future will belong to the jurisdictions that act – not the ones that wait.”
