Manitoba Hydro rates will rise over three years under a new order by the Public Utilities Board.
A four percent rate increase took effect in January. Targeted revenue increases of 3.5 percent and three percent follow in subsequent years.
The utility cited drought conditions reducing water levels needed for power generation. Water flows approached the second-lowest levels in 112 years.
Capital project costs are also escalating. A transmission reliability project estimate rose from $1.8 billion to $6.8 billion.