A Barrie Butcher, who has been struggling with high hydro bills, calls the Wynne government’s plan to cut costs “a Band-Aid.”
Lawrence Vindum says the government's plan to chop another 17 per cent isn’t a lasting solution. He was forced to remove large freezers in order to cope with his bill.
“It's helpful, but it's not enough. I doubt it deals with the root cause of the problem. I think it's just a Band-Aid.”
The cut on electricity bills is coming with a price tag of up to $1.4 billion a year in extra interest costs. Those extra costs will ultimately come due for ratepayers in the future.
However, the rate cut is welcome news to the United Way of Simcoe-Muskoka. The charity administers two programs that provide emergency money to residents who are at risk of having their hydro cut off.
“There are a couple of measures that we see that are going to improve at least the cost of utilities,” says Dale Biddell. “We have received over 4,500 applications since January and as I say, 1,500 have been approved and 500 more are pending.”
One of the programs is the low-income energy assistance program and the other is an emergency program for people who use electricity as their main source of heat.
The United Way hopes lower hydro bills will force fewer people to rely on these programs and put less pressure on their bottom line.
“We never have funds available at the end of the year.”
People can expect to see the changes on their bill by June.
With files from The Canadian Press.
