The Manitoba government is sharply cutting fees it charges its Crown-owned energy utility in a move that could keep electricity rates down with an election less than a year away.
The Progressive Conservative government is halving two fees paid annually by Manitoba Hydro to the province — one for water rental and one for guaranteeing the utility’s debt. The changes are retroactive to April 1.
The move will save the Crown corporation almost $190 million a year and help stabilize its finances, Finance Minister Cameron Friesen said Wednesday.
“Now is the time to act for a number of reasons, including rising interest rates and the high level of debt carried by Hydro,” said Friesen, who is the minister responsible for the utility.