By Valerie Winger
Natural gas customers in Valleyview will pay more starting next year after council approved new rates for the town-run utility.
The monthly fixed charge will rise from $18.45 to $35, and the delivery charge will go from $1.70 to $2.70 per gigajoule. The commodity charge will continue to change based on what the town pays to buy natural gas.
In a notice posted October 19, the town said the new rates better reflect the cost of running and maintaining the gas system. It also said the change brings Valleyview closer to what other municipally run natural gas systems charge.
The town said that for many years, some of its utilities did not bring in enough through rates to cover their operating costs. When that happens, the difference usually comes from general municipal revenue, which means property taxes and other town funds can end up paying for utilities instead of being available for roads, facilities, equipment, infrastructure renewal and reserves.
In 2026, water, sewer, garbage and recycling all covered their operating costs. The natural gas utility is expected to do the same starting in 2027.
The town said it faces significant financial pressures beyond providing day-to-day services. Valleyview currently receives more than $3 million a year in operating funding from the MD of Greenview. The town called that funding extremely important to the community, but said long-term stability also requires making sure the services it runs are properly funded.
The town also said it has limited reserves and, for many years, has had very little ability to add to them. Reserves are the savings a municipality uses to prepare for large future costs, such as road reconstruction, water and sewer infrastructure, facility repairs, vehicles, heavy equipment and unexpected capital needs. Without enough in reserve, the town said, replacing equipment and taking on major projects becomes harder and may require borrowing, more taxes, grants or delaying needed work.
According to the town, making utilities self-supporting does not create new money, but it does change where existing money has to be spent. Once tax dollars are no longer needed to support utility operations, they can go toward infrastructure renewal, capital projects, equipment replacement, reserve contributions and long-term financial stability.
The town said the goal is simple: people who use a utility pay what it costs to operate, and tax dollars stay available for broader municipal services and long-term community needs.
The town said the approach will help Valleyview rebuild its finances and get ready for the infrastructure and equipment spending that will be needed in the years ahead.