Kincardine council concerned with Westario Power disconnecting customers in winter time

Kincardine council is concerned that Westario Power is the only utility in the area that disconnects customers in the winter time.

Council was responding to a report by Francesca Dobbyn, executive director of the United Way of Bruce Grey, in committee-of-the-whole last night (March 11).

Dobbyn said there was a significant number of disconnects by Westario Power this year. "I heard of three today, two yesterday, and nine last week," she said.

"Personally, I have a problem with disconnecting anyone's electricity in the winter," said mayor Anne Eadie.

Councillor Maureen Couture turned to Randy Hughes, Kincardine's representative on the Westario Power board, and suggested he take council's concerns back to the board. "If Hydro One and Union Gas don't disconnect in the winter, why does Westario?" she asked.

In her presentation, Dobbyn said the United Way has spent about $1.1-million over the past 10 years helping people pay off their utility bills.

The program began in 2006 with Union Gas clients only. Then in 2009, the United Way received funding for Hydro One and Westario Power customers. The following year, the agency added wood, oil and propane assistance through community fund-raised dollars.

In 2006, the United Way spent $6,250. By 2009, that amount was $32,092.30. The following year, it was $128,272.78, jumping to $243,267.85 in 2011, $270,000 in 2012, $168,854.09 in 2013, and a whopping $303,053 last year.

'The 211 information line answered 3,001 inquiries related to utility assistance last year," said Dobbyn, "compared to 2,474 in 2013. That's a 21-per-cent increase."

For January and February this year, the United Way has already provided $124,500 in support, and has a current shortfall of about $7,500.

"We have processed 86 applications for Hydro One, totalling $42,700 in grants and assisting 120 adults, six seniors and 77 children; and we have 35 waiting to be processed," said Dobbyn. "We have processed 59 for Union Gas, for a total of $26,200 in grants, helping 89 adults, three seniors, and 53 children; there is no further funding until September. We have processed 36 clients for Westario Power, for a value of $15,839.67, with 29 applications yet to be processed, valued at $11,355, with only $3,869.21 left in the account."
She said the United Way leveraged about $7,500 in emergency funding so customers would avoid disconnection.

As for the community funding, $10,550 went to pay for wood; $7,732 for propane to help 16 famlies, including 16 adults, five seniors and 10 children; and $19,000 to pay for furnace oil to assist 38 families, including 55 adults, two seniors and 47 children.

Dobbyn said the average income of these clients is $16,849 per year. Meanwhile, the low-income cut-off for a family of three is $28,688 per year, and the average Ontario income is $48,250 per year.

She stressed that there are conditions which clients must meet before they receive assistance. They are allowed one grant per utility per calendar year, the maximum is $500 ($600 if they use electric heat), and the household costs must be sustainable. The grant has remained at $500 for the past 10 years despite the rising cost of energy.

Dobbyn said the United Way has been looking for seasoned firewood but cannot find a supplier. "We have funding available to assist these clients, but we have no wood."

She said what the agency requires for designated low-income clients are the following:

• Suspensions of disconnects while process beyond the 21 days, if needed
• If grants cover 75 per cent of outstanding arrears, reconnection occurs November to May
• Payment of arrears, not arrears plus current usage, stops disconnect
• Payment history should be taken into consideration for disconnect

"I was negotiating for a client and trying to come up with $15 because his arrears were $515, and the grant was for only $500," said Dobbyn. "It was ridiculous. We're trying to work with the utilities. We're dealing with people who are trying to pay their bills; they want to pay their bills but they just don't have the money."

"Thank you for the work you do," said councillor Andrew White. "It makes my heart sick when I see numbers like this. These are some of the quietest members of our municipality. How do people make donations to the community fund?"

Dobbyn said they can use the mobile donation "app" on their phones at "DonateToday.ca".
"We need money, but we also need more time with these accounts," she said.

"Could we write a letter to the utilities asking for these specific needs you've outlined?" asked deputy mayor Jacqueline Faubert. "Do the utilities offer discounts for volume-buying by the United Way?"

"it's not possible with natural gas or electricity," said Dobbyn, "and propane and oil are tank-dependent based on the company providing the fuel. We have been looking at bulk-buying for wood. If we could puchase green wood and let it season, that would be a good investment. But the money we have is crisis funding. We have lots of idaeas and we're working on it."

"It's very frustrating," agreed Faubert. "Perhaps you could lobby the utilities for bridge funding to allow bulk investment at a low interest rate."

Dobbyn said Union Gas and Hydro One do not disconnect their customers between Dec. 1 and March 31. "As long as they know the customers are working with us and are in our program, they're okay with it and just make a note on those accounts. But Westario Power just disconnects."

"I definitely think council should send Westario Power a letter," said Eadie. "In fact, we should discuss this at another meeting."

Council agreed to have staff draft a letter to send to Westario Power regarding the disconnection of customers in the winter time.

Last year at this time, council was debating the same issue.

Hughes told council, then, that a residential electrical disconnect is a very rare event, but it does occur.
 

"I can assure everyone that Westario Power does not want to disconnect a customer at any time, winter or summer. Westario Power is in the business of supplying electricity to consumers so it is very much in the business' best interests to keep the 'lights on'."
 

He said no one is disconnected without given several opportunities to resolve account arrears.
 

The official policy states the following, using a January electrical bill as an example:

Disconnection timeline (example: Jan. 1-31 billing period

• Jan. 1-31 - consumption
• Feb. 12 - bill issued
• Feb. 28 - bill is due
• March 5 - reminder notice
• March 12 - final collection notice
• March 22 - disconnection process may be started

"At any time during the process, the customer can contact Westario Power and request assistance," Hughes said. "If customers notify Westario Power that they are seeking social assistance to help in their bill payments, the disconnection process is suspended for 21 days."
 

He stressed that nobody wants to be without electricity during the winter. "Unfortunately, for the majority of customers who have received recent disconnect notices, they were already in arrears well before winter."