Tax rebate may relieve power rate shock

Premier Bernard Lord is expected to give New Brunswick homeowners a tax rebate on their energy costs.

Lord is expected to announce Monday that his government will begin providing an eight per cent rebate on tax paid on electricity and all other forms of home heating fuel. That eight per cent is the province's share of the Harmonized Sales Tax.

The rebate will take effect July 1 and could mean a saving of up to $200 annually for a family of four that heats with electricity.

The Public Utilities Board is currently reviewing an application by NB Power for permission to raise its electricity rates by an average 11.4 per cent for residential and industrial customers.

The PUB heard final arguments for and against the rate hike last week. Board members may take up to 10 weeks to review evidence before making a final ruling on a rate increase.