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“N.B. Power’s New Fee Threatens Solar Industry Growth”

Upon learning of N.B. Power’s recent plan to implement a new fee for rooftop solar power producers in New Brunswick, Dave Brushett, the chair of Solar Nova Scotia, was reminded of a similar situation in Nova Scotia earlier this year.

Brushett, who leads an industry association with around 80 members in the Maritimes, recalled the crisis that unfolded in January 2022 when Nova Scotia Power proposed a new system access charge for their solar customers, causing an immediate industry freeze in the province.

Comparing the economic impact, Brushett highlighted that the proposed fees in Nova Scotia and New Brunswick, approximately $80 and over $100 per month, respectively, would prolong the payback period for new solar investments.

A man in a video call.
Dave Brushett, chair of Solar Nova Scotia, discusses the challenges faced by residential solar producers in Nova Scotia. (CBC)

Brushett expressed concerns that such changes would hinder the growth of the solar industry by making solar installations economically unfeasible for potential customers.

However, the proposed changes in Nova Scotia faced strong opposition from the public. Premier Tim Houston intervened and ensured that the new fee was removed from consideration by Nova Scotia Power.

N.B. government refrains from interference

In New Brunswick, over six weeks have passed since N.B. Power submitted its proposed modifications to the Energy and Utilities board, which include a new demand charge and adjustments to rates for solar producers.

The proposal outlines reduced rates for energy usage by solar producers but also lower credits for the power they generate. Additionally, a new demand charge of $13 per kilowatt would be applied to customers’ peak power usage each month.

An illustrated chart showing rate changes and new demand charge
Proposed rate adjustments and a new demand charge may offset the impact on solar customers’ bills. Source: Sample bill from N.B. Power proposal (CBC)

If approved, the new fee structure is expected to take effect by 2027 for new solar customers and by 2037 for existing ones.

New Brunswick Energy Minister René Legacy stated that the government would not intervene before the board reaches a decision in the fall and encouraged public participation in the process.

WATCH | Understanding the concept of demand charge:

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

June 17|

Duration 2:05

<a href="https://www.cbc.ca/listen/live-radio/1-25-information-morning-fredericton/clip/16220321-pre

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