BC Hydro says new 'flat rate' could save some customers more money
BC Hydro is offering customers a new “flat rate” payment option, which it says can help customers who use more electricity save an average of $60 a year.
The Crown corporation said in an April 1 release that the tiered rate was approved by the British Columbia Utilities Commission in February 2025.
Residential customers will be able to pay a fixed price per kilowatt hour (kWh) of electricity used, which will help them avoid the extra charges that apply when they go over their usage under the tiered system.
BC Hydro noted that a recent survey found that most electrically heated households with two or more people get charged Tier 2 rates at least twice a year. The majority of respondents (80 per cent) said these charges were adding a strain to their finances.
The flat rate will favour households that use more electricity, whether they have larger families, utilize options like electrical baseboard heating or heat pumps, or own electric vehicles.
Adrian Dix, the province’s minister of energy and climate solutions, said in a statement that the provincial government is “committed to keeping the price of electricity low” for residents amidst an ongoing trade war with the U.S.
BC Hydro said the flat rate charge is 12.63 cents per kWh between the Tier 1 and 2 energy charges under the tiered rate.
It added that customers who opt for the flat rate could save more if they add optional time-of-day pricing, which charges less during overnight usage and slightly more during on-peak usage.
Customers looking to switch to the flat rate can do so on BC Hydro’s website.
April 1 also marked an increase in BC Hydro rates. Customers were hit with an average rate increase of 3.75 per cent, which will remain in place over the next two years.
With files from Amir Ali