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Summerland’s utility rate increases will affect consumers

Increases totalling $29.43 a month would pay for 19.5 litres of gas or 10 cups of coffee at a cafe
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The proposed utility rate increases for Summerland, at $29.43 a month, would pay for 19.5 litres of gasoline, based on a price of $1.509 a litre. (Black Press file photo)

Utility costs in Summerland are increasing as the municipality’s water, sewer and electrical rates are all going up as of Jan. 1.

The increases are expected to add $29.43 a month or $353.16 a year to the costs for a typical home in the community.

To understand these numbers, British Columbia’s minimum wage is $15.65 an hour. Someone working at minimum wage would require nearly two hours of additional work to bring in the amount needed to cover the cost increase. This is the wage alone, without factoring in any deductions.

READ ALSO: Summerland utility rates jump

For someone working in skilled trades, the rate increases represent around an hour’s work, before deductions. According to Statistics Canada figures, the median hourly wage for an electrician in the South Okanagan is $28 an hour. For carpenters, the median wage is $29 an hour and for plumbers, the median wage is $31 an hour. (These costs are not necessarily the same as the rates paid by a customer who is hiring these workers.)

The utility rate increases can also be compared to commonly purchased items in the community. These costs are all taken from prices posted at businesses in the community or on their websites.

At present, the cheapest gasoline in Summerland is $1.509 a litre. The utility rate increase is enough money to pay for 19.5 litres of regular unleaded gasoline.

At the grocery store, a two-litre container of milk costs $4.69, before the deposit and recycling fee are added. The increase would pay for six two-litre containers of milk.

The price of a store-brand loaf of bread starts at $2.89, which is almost one-tenth the amount of the rate increases.

At a local cafe, a large cup of drip coffee is $2.85. If someone were to cut back on a coffee stop in order to save the money needed for the utility increases, this would involve cutting out 10 cups of coffee a month. This in turn would affect coffee shops and restaurants with customers stopping for coffee.

While the rate increases have passed the first three readings at council, the changes must be adopted. The new rates will take place in the new year and show on the January bills, which will not be due until Feb. 24.

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John Arendt

About the Author: John Arendt

John Arendt has worked as a journalist for more than 30 years. He has a Bachelor of Applied Arts in Journalism degree from Ryerson Polytechnical Institute.
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