NB Power developing rate freeze plan

NB Power is developing a plan to implement a three-year freeze on electricity rates, according to the Progressive Conservative government's first throne speech.

The Progressive Conservatives promised during the fall election campaign that electricity rates would be frozen for three years.

The throne speech commits that "work is underway" to fulfill the pledge.

Alward told a news conference on Tuesday that NB Power will implement the rate freeze. But there are no other details on how the plan will move forward.

Alward has already appointed an energy commission, which is being led by Jeannot Volp, a former Tory leader, and Bill Thompson, a former deputy minister of energy.

The commission will issue a report in 2011 with recommendations for a 10-year energy strategy.

The throne speech said the commission will "develop a progressive, long-term provincial energy policy and provide guidance on both the future direction of NB Power and New Brunswick's energy sector."

The Alward government is also setting a legislative committee to watch over the delayed Point Lepreau refurbishment project.

"Your government will put in place a legislative committee to ensure that the refurbishment of Point Lepreau is the number one priority for NB Power and help bring that project to a successful close," the throne speech said.

Atlantic Canada's only nuclear reactor was supposed to be back functioning in 2009 but it is now delayed until 2012.

Atomic Energy of Canada Ltd., the federal nuclear corporation, is now expected to finish its portion of the refurbishment project in May 2012.

The nuclear refurbishment project will be turned over to NB Power to complete the remainder of the refurbishment with a target date of fall 2012 for the reactor returning to service.

It is estimated that NB Power spends $1 million a day to purchase replacement fuel for each day the nuclear reactor is delayed.