The cost of living in Quebec is rapidly increasing and although the government can not control all the costs, MNA André Fortin has stated that there is a bill that comes directly from the state, Hydro-Quebec bill.

“The government doesn’t control the grocery bill entirely, it doesn’t . . .

control the gas bill entirely. It doesn’t control your mortgage, but it does control the hydro rates. So that’s where it can have the most impact. That’s why we targeted that precise measure.”

In 2019, the CAQ tied hydro rates directly to inflation, and at a time when Quebecers can not afford their basic necessities due to increase of prices, Fortin said this formula is “adding insult to injury.”

The CAQ plans to increase hydro rates by 2.6 per cent as of April 1 and at least 5 per cent next year. “The rates for April 1 is already set, so unless the government accepts our proposal, the rates will increase starting next month,” said Fortin.

This is part of the Act to simplify the process for establishing electricity distribution rates (Bill 34) the increase is equal to the change in the Quebec Consumer Price Index (CPI) between September 30, 2020, and September 30, 2021, excluding alcoholic beverages, tobacco products and recreational cannabis, according to Hydro-Quebec.

For residential customers who heat their homes with electricity, the monthly impact of the 2.6 per cent increase as of April 1, will amount to $1.93/month for a three-bedroom apartment, $3.60/month for a small house, $4.77/month for a midsize house and $5.89/month for a large house, according to Hydro-Quebec.

The Liberal party’s proposal is to put a freeze on the Hydro-Quebec tariff, Fortin explained. He also highlighted that the party proposed to eliminate the sales tax on hydro rates.

For Quebecers, some of their basic needs are exempt from taxes but not all, Fortin pointed out his party is suggesting to review that list of items and include more products so people can afford the things they need to live.

“By removing the sales tax on hydro and on essential items we estimate an average Quebec resident would save about $500 a year,” he said.

Fortin noted that as people face these price increases there will be people who can afford it and others who can not. “I think it’s important to keep an eye on each other at this time.”

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