Commercial Rates

Here to Serve You

Newfoundland Power has 3 different rate classes for commercial customers depending on your energy usage requirements. Your rate class is identified on the top of your Newfoundland Power bill and will read either 2.1, 2.3 or 2.4.

Contribution in Aid of Construction

Your service connection may be as simple as installing a service wire between an existing pole and your home, or it may involve the construction of a new power line. Based on the location of your property in relation to the electrical system or your particular service requirements, you may be required to pay a cost associated with the provision of your electrical service.

Newfoundland Power is required to use one of two Contribution in Aid of Construction (CIAC) Policies to determine the amount, if any, that customers must pay towards the cost of providing electrical service. The two policies are:

1. CIAC Policy For Distribution Line Extensions To Residential And Seasonal Residential Customers.
2. CIAC Policy For Distribution Line Extensions and Upgrades To General Service Customers.

If you plan to build and require an electrical service, call Newfoundland Power in the preliminary stages of the design. A technician will be able to give you advice on the best location for your electrical service and an indication of whether or not a CIAC for electrical service will be required. If you plan to purchase a cottage and would like electrical service, contact Newfoundland Power to determine if a CIAC is required for that particular cottage area.

Security Deposits

For new accounts, Newfoundland Power requires a security deposit if the Applicant:

• Is a limited liability company incorporated for less than two years
• Does not have a good credit rating
• Is considered a high risk business venture such as a:
  • Service station where the Applicant is the lessee
  • Snack bar or take out
  • Lounge, night club, or bar
  • Restaurant
  • Construction site, at the request of the contractor
• Applies for a new service that is bulk-metered

A security deposit may be required for businesses requesting reconnection following suspension of service, if the business:

• Does not have a good credit record relating to another business
• Has significantly changed in nature, including the addition of new services in a different classification
• Has been previously discontinued or disconnected for nonpayment of charges or is subject to special payment arrangements
• Has had similar circumstances which may reasonably affect the likelihood of payment

The amount of the security deposit is the estimated average cost of two months' electrical service. If all security deposit requirements are met, cash deposits will be refunded after two years with interest. If not met, the account will be reviewed thereafter on a yearly basis. Interest is applied at prime less two per cent.

Security deposits can be in the form of:

• Cash deposit
• Bank letter of credit
• Payment bond
• Letter of guarantee