The Mayor of Portage la Prairie has concerns over the impact looming hydro rate increases will have on recreation infrastructure.

Manitoba Hydro has a proposed five-year rate hike before the Public Utilities Board, starting with a 7.9% increase due on Aug. 1, 2017 and another 7.9% increase April 1, 2018. Portage la Prairie Mayor Irvine Ferris recently reached out to the executive branch at the Association of Manitoba Municipalities to express concerns about the impact the proposed rate increase will have on recreation, with the Portage Regional Recreation Authority set to absorb an expected $124,000 in additional hydro costs from 2017-2021.

Portage la Prairie Mayor Irvine Ferris. (file photo)

"It's a significant increase and really there's only two outcomes from managing through this and that's an increase for users of recreation facilities, including Stride Place, or increased funding from taxpayers from both the city of Portage and RM of Portage," Ferris explains. "We're certainly concerned about the impact on recreation and recreation costs."

The letter Ferris sent to AMM also worried about the impact hydro rate increases will have on local industry in Portage la Prairie including, Nutri-Pea, McCain, Simplot and Roquette. AMM since resolved to register an objection to the Public Utilities Board on the proposed hydro rate increases for 2017 and 2018. A letter was also sent by AMM president Chris Goertzen to the Public Utilities Board chair Robert Gabor outlining concerns shared by municipalities concerning the hydro rate increases, and specifically the rise in operations costs of recreation infrastructure.

"The other concern we have is that we have ask for time to present the Public Utilities Board and we've been given a date in December. However, the first increase in scheduled to go through in August," Ferris says. "The Utilities Board is appearing to make a decision without input from the public, including recreation managers."

"This certainly also impacts the business community and business across the province. It could also have a serious impact on people living on fixed income (and) pensioners," the Portage la Prairie Mayor continues. "This is something that the Public Utilities Board needs to hit the pause button on. The province needs to get into some discussions about hydro and manage through this so it's sustainable for all communities.

“Because, it's close to a 19% increase in less than two years. And I don't think that's sustainable to anybody's budget."