EUB approves natural gas distribution rate cut by Enbridge
The move by the Energy and Utilities Board is expected to save homeowners more than $400 annually
Homeowners who use natural gas will see a 50 per cent drop in distribution rates beginning Jan. 1.
The Energy and Utilities Board approved the cut on Tuesday.
It is very good news for Wayne Dryer, one of 8,000 New Brunswickers who will save money as a result.
Dryer uses a natural gas furnace and expects to save about $150 on his monthly bill this winter.
"Any savings or any increase goes right to my bottom line, " Dryer said.
The change in distribution rates was proposed by Enbridge Gas New Brunswick at hearings in November.
Enbridge officials said they wanted to lower the rates because natural gas was so expensive and people weren't getting the savings they were promised when they switched from oil or electricity.
The cut in distribution rates is expected to save the average homeowner $400 every year.
For small business people the news on Tuesday wasn't so good.
Hundreds of small businesses are being moved out of the residential category and as a result will see a 25 per cent rate increase in distribution rather than the 50 per cent cut.
Germaine Pataki Theriault, who owns Gallery 78 in Fredericton, already saw her rate increase and she says it stung.
"If you look around this building it's just a big house and I don' t understand why this house is somehow different from the house next door which is residential, and they're going to be paying less for distribution and I'm paying more."
This year Pataki Theriault installed electric pumps at the gallery to cut natural gas use.
She says it's a strategy other businesses may want to consider.