Bonnyville Town Council Boosts Natural Gas and Electricity Franchise Fees
In a recent council meeting on September 10, the Bonnyville town council approved increases to the franchise fees for natural gas and electricity. Starting in 2024, residents can expect a modest rise in their utility bills, with natural gas bills going up by an average of $1 per month and electricity bills increasing by around $1.75 per month.
The proposal elicited mixed reactions from council members during the meeting. Councilor Kayla Blanchette highlighted that the franchise fee affects all consumers, including tax-exempt organizations. The town’s agreement with APEX utilities allows for annual adjustments to the franchise fee, with the current fee set at 20 percent. The council approved a one percent increase to raise it to 21 percent, generating an estimated $850,000 in revenue for 2024.
Despite concerns raised by Councilor Neil Langridge and Deputy Mayor Byron Johnson regarding the economic strain on residents, the decision to increase the franchise fee with APEX Utilities was ultimately approved. This marks the first increase since the agreement was signed in 2015.
The council also addressed the need to raise the ATCO franchise fee for electricity to cover the growing costs associated with expanding street light infrastructure. While more energy-efficient lights have been installed, the town’s overall increase in streetlights has led to higher operating costs. The current 6.8 percent fee, in place since 2003, will see a slight rise to provide additional revenue for the town’s essential services.
The town’s administration supported the fee increases as crucial measures to ensure stable revenue streams and meet the rising municipal costs. The adjustments are necessary to maintain necessary services and cover the expenses related to infrastructure expansion.
Overall, the approved increases to the natural gas and electricity franchise fees in Bonnyville are aimed at balancing the town’s financial needs while addressing the growing demands on its utility infrastructure. With a careful eye on maintaining essential services and accommodating the rising municipal costs, the council aims to ensure a sustainable financial future for the community.
For more information on the recent decisions made by the Bonnyville town council regarding franchise fee increases, stay tuned to our updates on municipal developments.
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