Multiple contractors working for Nova Scotia Power have reported not receiving payments for several months, with some owed significant amounts, according to information obtained by CBC. Marid Industries’ CEO, Tim Houtsma, mentioned that their company is owed approximately $60,000 to $70,000. Other contractors, who chose to remain anonymous, revealed being owed hundreds of thousands of dollars.
The payment delays are believed to be linked to a cybersecurity incident that Nova Scotia Power publicly disclosed on April 28, impacting around 280,000 customers. The breach has also affected the processing of payments to contractors. Nova Scotia Power acknowledged the situation and expressed regret for the payment delays, noting that efforts are underway to resolve the issue promptly.
Jacqueline Foster, a senior communications adviser for Nova Scotia Power, assured that progress is being made to settle outstanding invoices and emphasized the importance of maintaining strong relationships with contractors. The utility stated that it anticipates clearing all outstanding invoices before the year’s end and aims to return to normal payment procedures.
Despite the payment delays, Marid Industries’ Houtsma remains optimistic about receiving their dues but expressed concern for smaller companies facing financial strain. Prompt payment legislation, currently under consideration in Nova Scotia, aims to address such situations by ensuring timely payments within the construction industry.
Duncan Williams, president of the Construction Association of Nova Scotia, highlighted the importance of prompt payment regulations to prevent financial hardships for contractors. He mentioned that delayed payments have led to business closures in the past and stressed the necessity of aligning payment standards with other provinces.
Williams, unaware of Nova Scotia Power’s specific payment challenges until contacted by CBC, emphasized the mutual trust required in business transactions, emphasizing the need for timely payments to maintain a healthy business environment. He anticipates that the prompt payment legislation will be finalized in the upcoming legislative session to better protect contractors from financial uncertainties.