The Town of Hinton, Alberta, has announced significant changes to its water and wastewater utility rates, marking a historic transition involving the local pulp mill, which has provided these services since the 1950s.
Since its construction in the late 1950s, the Hinton pulp mill has supplied water and sewer services to the town's residents and businesses at no charge. This unique arrangement persisted under various owners, including Weldwood and, later, West Fraser Mills Ltd. from 2004.
In 2015, West Fraser expressed its desire to withdraw from managing the potable water supply, prompting a two-phase transition process. The town took over part of the operations in 2018, but the complete transfer planned for 2022 did not occur as anticipated.
A major turning point came on January 30, 2024, when the town entered into new agreements with Mondi, the mill's new owner. These 20-year agreements stipulate that Mondi will continue to treat municipal wastewater and supply process water. In return, the town commits to participating in infrastructure upgrades and constructing its own water treatment plant by 2046.
To address these new responsibilities and associated costs, the town must now adjust its rates. These increases aim to cover rising operational expenses, fund infrastructure upgrades, and prepare for the future water treatment plant. The municipality is also considering the introduction of water meters and improvements to its distribution system to reduce water consumption, which could have a positive long-term impact on costs.
To involve the community in this transition process, the town has launched a public survey, open until September 23, and will hold an open house on September 11 at the Hinton Centre. The new rates are expected to be implemented by November 2024 or January 2025, pending approval by the town council.
