NDP calls on N.L. government to eliminate HST on all home heating

Skyrocketing power bills from Newfoundland's only utility company has NDP Leader Jim Dinn looking to the past for a solution.

Dinn says people are struggling with the sudden spike of their electricity bills, following reports of some Newfoundland Power bills more than doubling.

"One constituent of mine, who heats their home and hot water with oil and only uses electricity for her fridge, stove and lights has seen her bill triple," Dinn said on Monday."Others are sitting in the dark, lighting candles, calling on blankets to keep warm and choosing between food, their mortgage or their electric bill."

Taking a page from the PC government's 2012 playbook, Dinn is asking the current provincial government to re-enact the residential energy rebate, which introduced an eight per cent rebate on electricity and heating fuel — eliminating the harmonized sales tax.

"Removing the provincial portion of the HST from all forms of home heating, something that has been done before, would go a long way to help people struggling to heat their homes," Dinn said. 

But Finance Minister Siobhan Coady says removing HST from home heating is not possible. She says that's a federal responsibility.

"The province of Newfoundland and Labrador doesn't have much control, if any control, on what is included in HST," Coady said.

Dinn maintains that HST can be removed with a push from the province.

"Not only is she not going to ask them, she's not interested in asking," he said. "It can be done if there's a political will to do so. But the minister has indicated that they have no political will to do so."

Glenda Power, spokesperson for Newfoundland Power, told CBC News cold temperatures and high winds contribute substantially to power usage, as heating systems have to work harder to maintain a steady temperature within the home.

She says complaints about increased power usage are common during winter, and customers don't pay for power they don't use. 

"Increased usage doesn't mean you've turned your thermostat up," Power told CBC News on Monday.

The Public Utilities Board has asked Newfoundland Power to file a report on how it ensures the accuracy of meter readings and investigate whether billing errors could have occurred given a high volume of complaints to the board.

The PUB expects Newfoundland Power's findings to be reported to the board by March 21.