Hydro-Qubec wants to increase rates by 1.6%

Hydro-Qubecis requestinga 1.6 per cent rate increasefor all of its residential and most of its business customers.

The increase would go into effect on April 1, 2017, if it's approved by the provincial energy board.

The public utility says the hike is meant to cover higher costs of power purchases and lower-than-anticipated demand.

It says the request is in line withits commitment to keeprate increases at no more than inflation.

Even if the increase is approved, Hydro-Qubec says its rates will remain the lowest in North America less than half of what people pay in Toronto and a quarter of what they pay in New York.

In 2016, Hydro-Qubec's rates went up by only 0.7 per cent after its request for a 1.7 per cent increase was rejected.