People who don't pay their power bills burden other customers, says N.W.T. power corp

The territory's power corporation, which was recently criticized by an MLA for using limiters on homes with overdue power bills, said other customers are burdened by customers who aren't paying up.

MLA Jackie Jacobson raised the issue in a Legislative Assembly last week.

Limiter technology is used by the Northwest Territories Power Corporation (NTPC) to throttle power supply when a customer's payment is more than 28 days overdue. It intermittently shuts off power to the home as an "alternative" to disconnecting customers in the winter months, according to the company's policy. 

Jacobson said the technology is "life-threatening" to his constituents in Ulukhaktok, Tuktoyaktuk and Sachs Harbour — all in the northern part of the territory. He also said it's not "compassionate" and that in his region, where temperatures go as low as -50 C, some constituents have been on limiters for months.

Jacobson said it should be illegal to use limiters in the winter. In Ontario, for example, electricity providers are banned from using limiters or disconnecting customers between Nov. 15 and April 30.

Outstanding balance of less than $50 would never lead to a disconnection notice or limiter.- Doug Prendergast, NTPC

But the territory's power corporation spokesperson Doug Prendergast says the company has an obligation to its shareholders "to operate in a financially responsible manner."

This response came as a written statement to CBC News after being asked how the company decides to use limiters.

NTPC is reviewing its options on limiters and will brief the minister responsible with its recommendations once they are reviewed by the board, Prendergast said. There is no set timeline for completing the review yet, he said.

Customers carry the cost

The corporation's customers pay for operation and maintenance costs, he wrote. If some customers don't pay, other customers carry those costs.

On Feb. 28, there were 88 customers on limiters.

The power corporation does not disconnect residential customers completely in the winter unless they live in apartment units, which have central heating and freeze up is not an issue, said Prendergast. 

The average amount overdue on residential accounts is $585, Prendergast said. There is no specific dollar amount that triggers the installation of a limiter or disconnection of a residential customer.

Prendergast said the power corporation makes "every reasonable effort" to bring a customer's balance into good standing, including budget billing programs and working with social agencies to help customers get funding to pay off their accounts.

The corporation's customer service managers decide whether to install limiters based on past payment history and consumption records.The power corporation did not list the minimum or maximum value of arrears for limiting a customer, though Prendergast said that an "outstanding balance of less than $50 would never lead to a disconnection notice or limiter."

Customers get 48 hours of notice before a service disconnection, during which they can ask for a payment plan or extension.

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Limiters are used across Canada, and the NTPC has used them for 25 years, said Prendergast.

Corporation makes exception for medical devices

Asked whether there are safety concerns associated with limiters, Prendergast wrote that they do not pose an electrical safety risk or damage electronics.

The power corporation recommends all of its customers use surge protectors and to not use indoor barbecues or gas stoves if there is insufficient electricity to run cooking appliances.

Customers on limiters should turn their appliances off when their power cycles off to prevent a "hazard" when power returns, said Prendergast.

In the event a customer needs electricity for a medical device, Prendergast said customers can give the corporation documentation from a doctor stating they need power.

"This has arisen in the past and NTPC has shown it is willing to work with these customers in conjunction with social service and other agencies," wrote Prendergast.