Power regulator the Public Utilities Board has approved plans to amalgamate the various Naka Power companies in the NWT.
Naka Power Utilities (NWT) Ltd mostly serves South Slave and Dehcho communities. Naka Power Utilities (Yellowknife) Ltd is the power distributor for the Yellowknife area. Naka Utilities (NWT) Ltd is an umbrella company that sits above the other two Naka firms.
All three will become one company named Naka Power Utilities (NWT) Ltd.
The Public Utilities Board gave its approval for the change last week.
The regulator said it will use submissions on power rates due next year to check that “the approved rates and revenue requirement of the amalgamated utility satisfy the ‘no harm’ test” – in other words, to ensure the financial impact on regular customers is as small as Naka Power has promised.
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Naka Power has said customers will benefit from long-term savings brought on by the merger, which it hopes to conclude by January 1, 2026.
As part of the deal, Naka Power co-owner Denendeh Investments will acquire an extra percentage point of ownership, moving it to a majority 51-percent stake. Atco will hold the remaining 49 percent. The regulator also approved that move.
The owner of Naka Electric, a Yellowknife electrical services company, opposed the amalgamation.
Naka Electric has taken Naka Power to court, arguing that Northland Utilities’ 2024 rebrand to Naka Power created a name too similar to Naka Electric and has led to confusion between the two companies.
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In his submission to the Public Utilities Board, Naka Electric’s Karel Pekelsky and another resident each argued that approving the amalgamation before that court case is resolved could create further confusion.
Naka Power told the regulator it believed the court case will “not affect the legality or continuity of the amalgamation.”
The Public Utilities Board ultimately agreed with that, stating: “Should the court ultimately determine that the proposed name is not acceptable, the amalgamated utility may continue to operate under an alternative or modified name without impairing the validity of the amalgamation or its regulatory status.”
