Qulliq Energy Corporation (QEC) maintains a Fuel Stabilization Rate (FSR) Fund. The purpose of the FSR Fund is to offset the price differences that arise between actual fuel prices and the price of fuel used in setting the current electricity rates in Nunavut.
The Corporation must apply to the Minister responsible for QEC for a fuel rider charge, or refund, if at any time the FSR Fund is expected to exceed the threshold balance of plus or minus $1 million within a six-month period.
Recent FSR Applications:
Application for Fuel Rider- October 2024
FSR Application with Schedules March 2023
Fuel Stabilization Rate (FSR) Rider Application- Frequently Asked Questions
1. What is an FSR rider?
It is an additional charge or credit on your bill at a cents/kWh amount that is intended to reflect changes in the price of fuel.
2. What is the Fuel Stabilization Rate Fund (FSRF)?
Qulliq Energy Corporation (QEC) maintains a Fuel Stabilization Rate Fund (FSRF). The purpose of the FSRF is to track the difference between the fuel price included in the basic electricity rates and the actual fuel price paid by QEC.
3. What is an FSR application?
An FSR application is a request to seek a charge or credit to addresses fluctuations in the Fuel Stabilization Rate Fund. The FSR application is submitted to the Minister responsible for QEC.
4. When should QEC file an FSR Application?
QEC prepares an FSRF forecast every 6 months. When the balance in the FSRF exceeds the $1 million negative or positive threshold, an FSR charge or rebate rider is required to return the forecast FSRF balance to zero.
5. What is the process for filing an FSR application?
The steps for an FSR application are:
- QEC brings forward an application to the Minister responsible for QEC to seek approval to apply a rate rider or refund rider;
- The Minister responsible for QEC forwards the FSR application to the Utility Rates Review Council (URRC) for review and recommendations;
- In carrying out the review of the application, the URRC will also seek input from the public;
- Once the URRC completes the review of the application, the URRC shall report its recommendations concerning the application to the Minister responsible for QEC;
- The Minister, after seeking the advice of the Executive Council, will issue instructions to QEC.
6. Will customers in public housing receive the FSR rate or rebate rider?
The FSR rider does not apply to customers in public housing. All tenants in public housing who are under the User Pay Power Program will continue to pay 6 cents per kWh toward their monthly power consumption.
7. Is the FSR rider subsidized by the Nunavut Electricity Subsidy Program (NESP)?
The FSR rider is not subsidized by the NESP. Customers under the NESP will have the FSR charge or refund rider applied as a separate line item on their monthly power bills.