TORONTO—A media report says Ontario Premier Kathleen Wynne is planning to cut electricity rates by 25 per cent this year.
The Toronto Star reports that Wynne’s cabinet is expected to approve the move March 1, with an announcement to come as early as Thursday.
Sources told the newspaper the Liberals intend to slash soaring hydro bills largely by “smoothing out” the financing costs of electricity generation contracts over longer periods.
The reduction would include the eight per cent rebate on the provincial portion of the harmonized sales tax that kicked in this year.
Wynne’s office would not confirm the plan to The Canadian Press.
But the premier, whose government faces no bigger political issue at the moment than hydro bills, has promised further relief for ratepayers ahead of the spring budget.
Earlier this week, Ontario NDP leader Andrea Horwath released a plan she said would decrease electricity bills 30 per cent. Among several other hotly-debated issues, it focused on tearing up costly long-term power deals and buying back full control of Hydro One.
The provincial Conservatives have also been highly critical of how the Liberal government has handled the energy file.