Government of Yukon takes action to reduce impact of rising fuel costs on electricity bills

Yukoners will see a small increase in electricity bills beginning October 1 as global instability drives up fuel costs. Trade disputes, military conflicts and disruptions to fuel supplies are putting pressure on fuel prices.

The Yukon relies on diesel generation when other sources of electricity are not available or cannot meet demand.

As a result, on October 1, Rider F will increase from 0.378 cents to 1.0 cent per kilowatt hour. For a household using 1,000 kilowatt hours per month, that means an increase of about $6.22 per month, or approximately two per cent, before Government of Yukon rebates. Rider F goes up or down based on the actual cost of fuel used to generate electricity in the Yukon. The Government of Yukon is taking action to reduce the impact on Yukoners this winter. Starting October 1, Yukoners will see the expanded Affordability Rate Relief directly on their residential electricity bills.

The program will cover 25 per cent of electricity charges on the first 1,500 kilowatt hours used each month from October through March.

Households can receive up to $106 per month from October through December and up to $112 per month from January through March. That means up to $657 in relief over the winter, more than double the maximum $282 available last winter.

Immediate relief will help this winter, but the Yukon also needs a more reliable and affordable electricity system for the long term.

Through the Winter Reliable Energy Plan, the Government of Yukon is working to better manage peak demand and increase electricity supply. This includes Peak Smart, managed electric vehicle charging and the Dependable Grid program. The plan is also examining the generation and transmission infrastructure the Yukon will need as demand grows.

The government will continue pursuing federal funding for major electricity infrastructure so those costs do not fall solely on Yukon ratepayers.

Information about energy efficiency programs and rebates is available at Yukon.ca/good-energy.
 

Yukoners deserve a straight answer about why their electricity bills are going up and what we are doing about it. Global instability, military conflicts and disruptions to fuel supplies are driving up fuel costs. We cannot control international fuel prices, but we can take action here at home to reduce the impact on Yukoners. That is why we are expanding electricity bill relief this winter while making the long-term investments needed to build a more reliable and affordable electricity system. We know there is more to do. The Yukon is at its financial capacity and cannot build the energy system we need alone. We need the federal government to partner with us on major energy investments so the cost does not fall solely on Yukon families and ratepayers.

Minister of Energy, Mines and Resources and Minister responsible for the Yukon Development Corporation and the Yukon Energy Corporation Ted Laking

Quick facts
  • The fuel cost increase is influenced by global market conditions, including international pricing and transportation costs to the Yukon.

  • The expanded Affordability Rate Relief program will run from October 1, 2026, to March 31, 2027, and will provide 25 per cent off the first 1,500 kilowatt hours per month. This replaces the previous Affordability Rate Relief and Winter Electrical Affordability Rebate programs, which ended in March 2026.

  • The maximum six-month rebate under the expanded program is $657, compared to a maximum of $282 in 2025–26.

  • Rate drivers over the past 12 months include Mayo infrastructure repairs such as the slope stabilization and surge chamber repair, licensing and regulatory costs and increased thermal generation cost.

  • The Winter Reliable Energy Plan is expected to be finalized in spring 2027 and is being developed in partnership with Yukon First Nations.

Media contact

Tim Kucharuk
Press secretary, Cabinet Communications
867-335-2419
[email protected]

Panebi Wilson
Communications, Energy, Mines and Resources
867-332-9098
[email protected]  
 

News release #:
26-279
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Date modified: 2026-10-01