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INUVIK
The Public Utilities Board has approved Inuvik Gas's application to amend its rates, allowing the company to bring the increase into effect Feb. 1.

Customers should expect to see their bills double when they go to an estimated $37 per gigajoule for synthetic natural gas (SNG) from paying $19.30 per gigajoule for natural gas. However, that number is not set in stone yet as Inuvik Gas still needs to secure a propane supplier.

"When the actual agreement gets signed the cost of propane could be lower," said the company's general manager Kevin MacKay. "Those costs would then be passed on to our customers because there will be no markup on the cost of propane."

A request for proposals is currently out. Once that process is complete the company will release the detailed rate.

In the meantime, Inuvik Gas is planning to switch the system over to SNG, using propane purchased by the GNWT for some of its facilities in town. The company will replace the gas once the contract is signed.

Over the past few months, the increased costs have sparked concern among residents and business owners. In response, MacKay offered to meet with anyone who thought they wouldn't be able to handle the new rates. According to MacKay a few people have contacted him to discuss their options.

"Some people need some help with managing that. Certainly we'll help if we can, but we do understand that this is going to have an impact on everybody and we're trying to work with our customers as much as we can," MacKay said, adding one of the solutions he is suggesting is to equalize payments.

"So you're paying the same every month but what ends up happening is in the winter you're probably using more than you paid for, and in the summer you're paying for more than you used," he said.

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