Debt to Hydro-Québec: 5 solutions

Debts owed to Hydro-Québec are a significant issue for many households. Whether due to job loss, unforeseen circumstances, or an unbalanced budget, falling behind on payments can quickly become a source of stress and concern. The professionals at Jean Fortin & Associés inform you about suitable solutions to help you if you have a debt with Hydro-Québec.

When can Hydro-Québec disconnect your electricity?

First, be aware that if you default on your payments, Hydro-Québec may proceed with a disconnection between March 15 and November 15. However, if you have a debt with Hydro-Québec, this company offers several options to help you manage payment difficulties and avoid disconnection.

5 possible solutions if you have a debt with Hydro-Québec

If you owe money to Hydro-Québec, it is essential to act quickly to avoid consequences such as additional fees or service interruption. Fortunately, several options are available to help you resolve your situation. Here are the steps you can take to better manage your debt and prevent complications.

1. Opt for the equalized payments plan (EPP)
2. Take steps to reduce your consumption
3. Check your eligibility for assistance programs
4. Negotiate a payment agreement if necessary
5. Consult a personal finance advisor

Let’s go over each possible solution together if you have a debt with Hydro-Québec.

1. Opt for the equalized payments plan (EPP)
   This solution allows you to establish fixed monthly payments based on your electricity consumption at the specified address, climate trends over recent years in your region, and your usage over the past 11 months. However, to be eligible for the equalized payments plan (EPP), your last electricity bill must be fully paid. By choosing this approach, you can avoid unexpected fluctuations in your hydro bill, making it easier to manage your budget..
2. Take steps to reduce your consumption
   If your bills are high, analyze your consumption and look for ways to reduce it, such as installing programmable thermostats or improving home insulation. The LogisVert Program offers various incentives to encourage eco-friendly consumption habits.
3. Check your eligibility for assistance programs
   If you are facing financial difficulties, you may be eligible for support from the Help center for low-income households, which will assess your financial situation and may offer you a rate based on your income and the number of occupants in your home.Additionally, you may qualify for certain financial aid programs and tax credits that can help reduce your energy consumption and your bill.
4. Negotiate a payment agreement if necessary
   If you are struggling to pay your debt, it is essential to contact Hydro-Québec’s customer service as soon as possible. By explaining your financial situation, they can, in most cases, offer a payment arrangement or an extension, allowing you to spread out the amount owed over multiple installments, making it easier to manage your budget until your next bill.However, you may be required to provide details about your income and expenses to establish a realistic and suitable repayment plan. Keep in mind that the sooner you settle your balance, the less you will pay in administrative fees.
   Note that ACEF (Association Coopérative d’Économie Familiale) also offers mediation services to help negotiate agreements with Hydro-Québec.
5. Consult a personal finance advisor
   If none of the previously mentioned alternatives apply to your situation or if this debt is just part of a larger financial problem, you can always consult a personal finance advisor or a licensed insolvency trustee. These experts can help you evaluate your options, whether it’s creating a budget, filing a consumer proposal, or, in some cases, considering bankruptcy. With their expertise, they will guide you toward the best solutions to reduce your overall debt – not just with Hydro-Québec, but with all your creditors.

Hydro-Québec has a monopoly on electricity distribution in Québec. This also means that if you have a debt with this provider, there is no alternative company you can turn to for electricity.

When facing financial difficulties, it is even more crucial to quickly contact Hydro-Québec’s customer service. They can analyze your situation and schedule a call back at your preferred time via your client space. By reaching out to them promptly, you can avoid collection measures that could lead to disconnection.

By Pierre Fortin
Jean Fortin & Associés
Personal Finance Advisor
Licensed Insolvency Trustee