Yellowknife councillors have approved the city’s plan to sign a new 10-year power distribution agreement with Naka Power.
In a brief meeting at City Hall on Wednesday, councillors unanimously voted in favour of the agreement.
The city’s previous, five-year electricity distribution franchise agreement with Naka expired on December 31, 2025.
Naka buys power from the NWT Power Corporation and distributes it to customers in Yellowknife.
According to the city, power generation costs make up roughly 80 percent of residents’ power bills while distribution costs account for the remainder.
Advertisement.
Advertisement.
The city charges Naka a franchise fee for the right to provide electricity in Yellowknife and access to municipal land, which the company then passes on to customers.
In 2025, for example, the city charged the company a franchise fee of roughly $1.37 million.
While franchise fees have historically been based on a tiered percentage of gross revenues, the new, longer 10-year agreement includes a flat fee that Naka will pay quarterly rather than annually.
