Annual indexation of electricity rates

After a rate freeze in 2020, Hydro-Québec is announcing its annual indexation of electricity rates under An Act to simplify the process for establishing electricity distribution rates.

Residential and business customer rates will increase by 1.3% beginning April 1, 2021. This increase corresponds to the variation in the Consumer Price Index in Québec between September 31, 2019, and September 30, 2020, excluding alcoholic beverages, tobacco products and recreational cannabis. 

For residential customers, the 1.3% rate increase starting April 1, 2021, amounts to about $0.96 a month for a three-bedroom apartment, $1.78 a month for a small house (111 m2), $2.35 a month for a midsize house (158 m2), and $2.89 a month for a large house (207 m2).

The increase applicable to industrial large power (Rate L) customers is 0.8%, which is 0.65 of the general indexation rate, as approved in a recent Régie de l’énergie decision. Given the general indexation rate of 1.3%, this ensures that Rate L will remain competitive.

Annual indexation of electricity rates

Enacted in December 2019 by Québec’s National Assembly, An Act to simplify the process for establishing electricity distribution rates provided for a rate freeze for 2020, and rates pegged to inflation for a four-year cycle before returning to the rate application process for 2025.

Measures to help customers

Hydro-Québec is sensitive to the difficult circumstances we have all been experiencing for more than a year. This is why various relief measures have been put in place to help customers. To avoid having to pay administration charges for unpaid bills, customers can make a payment arrangement at any time on our website or by calling customer services at 1 888 385-7252 during business hours.

The winter suspension of service interruptions, which runs from December 1 to March 31, has been extended until May 1. Between now and then, a decision about how to proceed will be made that takes into account the evolution of the situation in Québec. The moratorium in effect began on December 1, 2019, and was extended because of the public health crisis.