The Government of Saskatchewan says it has directed the Saskatchewan Rate Review Panel to cancel a rate application submitted by SaskEnergy.

The rate hike would have entailed increases of 5.0 per cent on July 1, 2023 and again on July 1, 2024.

Minister responsible Don Morgan says the decision will help keep energy rates affordable for Saskatchewan residents.

There was a SaskEnergy commodity rate increase of 31 per cent that went into effect on August 1, 2022 and an 8 per cent increase in delivery rates on the same day.

Meanwhile, January 1, 2023, SaskPower bills increased on average by three per cent because the federal carbon tax was increasing from $50 to $65 per tonne. There was also two previous SaskPower rate increases of four per cent each which went into effect September 1, 2022 and April 2023.

Each SaskPower increase will mean a roughly $5 monthly hike for residential homeowners and a $12 monthly increase for farm customers.