Management’s Discussion and Analysis
Despite the expected customer growth, SaskEnergy is forecasting lower earnings in 2023-24 due to a return to normal weather resulting in lower delivery and transportation revenue, as well as lower asset optimization margins.
In June 2023, SaskEnergy applied to the Saskatchewan Rate Review Panel (SRRP) for a 22.1 per cent decrease to the commodity rate, dropping it from $4.20 to $3.30 per gigajoule. At the same time, SaskEnergy brought forward a proposal for the SRRP to consider a five per cent delivery service rate increase. The combined commodity and delivery service rate adjustments will result in an overall bill decrease for the average residential customer. Affordability remains a top priority for SaskEnergy and its focus on operational excellence will mitigate cost pressures to keep the delivery of natural gas affordable for its customers. SaskEnergy is committed to providing solutions and service that benefit customers and Saskatchewan, by leveraging the Corporation’s expertise and the province’s private sector. Throughout 2023-24, SaskEnergy will increase its capital investment in the province, with key areas of focus including: maintaining the safety and reliability of the natural gas transmission and distribution systems, enhancing customer experience, and supporting the emissions reduction strategy.
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