$7.1 million invested to reduce impact of power rates on low-income households (07/04/23)

NB 502

April 23, 2007

MONCTON (CNB) - The provincial government will enhance five programs, lessening the impact of the power rate increase by investing $7.1 million for clients receiving social assistance or housing assistance through the Department of Family and Community Services.

Minister of Family and Community Services Carmel Robichaud made the announcement today in Moncton, accompanied by Minister of Energy Jack Keir, and President and CEO of Efficiency New Brunswick Elizabeth Weir.

"These significant enhancements have been made to help ease the impact of the power rate increase," Robichaud said. "Today government is taking action to help those who need it most. These modifications will benefit more than 16,000 New Brunswick households receiving assistance from the department."

Keir said that his government is following through with its commitment to assist those who will be most affected by rate increases.

"I am very pleased with the announcement being made by the Department of Family and Community Services and Efficiency NB," Keir said. "I am especially pleased that the programs will help those thousands of New Brunswickers who will find the rate increase particularly challenging."

The enhancements include:

An 18 per cent increase to the Regular Fuel Supplement

• This benefit will help about 2,000 New Brunswick households. Clients who heat with electricity will see this benefit increase to $780 a year, an increase of $120.

A 13 per cent increase to the Income Supplement Benefit

• This benefit will help close to 6,000 households. The yearly amount will be $1,020, an increase of $120.

A 31 per cent increase to the Housing Heating Allowance

• This increase will affect more than 5,900 households, and is the first increase since 1989. The new yearly average will be $1,020, an increase of $240.

An expanded Emergency Fuel Supplement

• 1,200 additional social assistance clients who heat with electricity will now benefit from this supplement, which may be provided once per calendar year, to a maximum of $270.

An expanded Energy Efficiency Retrofit Program

• 1,000 additional households may obtain funding from this program. In total, more than 2,200 New Brunswick households will benefit. The maximum grant contribution is $4,500 for single and semi-detached homes, and $1,500 per unit for multiple-unit buildings such as apartments and rooming houses.

Currently more than 4,200 public housing households do not pay a separate charge for heating costs.  The heating cost is included in the total rental cost, and residents have to use only 30 per cent of their income toward rent, with the province covering the remaining amount.

07/04/23

EDITOR'S NOTE: Background information on the enhanced programs follows. MEDIA CONTACT: Robert Duguay, communications, Family and Community Services, 506- 444-3684.

Backgrounder

Regular Fuel Supplement

• The supplement is designed to assist social assistance clients with winter heating costs from November to April of each year.
• To qualify, social assistance clients should have a mortgage or a rental payment of over $100 per month.
• New rate effective November 2007.

Income Supplement Benefit

• The monthly benefit is provided to social assistance clients with at least one dependent under 19 years of age, and who pay more than 30 per cent of their income toward rent.
• New rate effective June 2007.

Housing Heating Allowance

• The monthly allowance is provided to households receiving a rent subsidy, or individuals living in non-profit housing, and is determined by the size of the unit.
• Residents use only 30 per cent of their household income to pay rent. In situations where heating costs are not included in the rent, a heating allowance is provided.
• New rate effective June 2007.

Emergency Fuel Supplement

• The supplement has been enhanced to recognize the hardship which social assistance clients who heat with electricity may experience as a result of the power rate increase.
• The once-per-calendar-year benefit of up to $270 is provided to qualifying families.
• This supplement has been expanded to include social assistance recipients who are not eligible for the Regular Fuel Supplement, Income Supplement, or a heating allowance. 
• Effective November 2007.

Energy Efficiency Retrofit Program

• The Energy Efficiency Retrofit Program, a program currently offered to low-income households, is delivered through a partnership of the Department of Family and Community Services and Efficiency NB, and is available to both homeowners and owners of residential rental properties occupied by low-income tenants.
• The program provides financial assistance in the form of a non-repayable grant for energy-efficiency upgrades such as energy-efficient heating systems, air sealing, insulation, ventilation systems, and, in some instances, windows and doors.
• Efficiency NB will provide energy audits on homes, at no cost to eligible homeowners.

For more program information visit www.efficiencynb.ca.

07/04/23