Ontario’s Energy Minister Bob Chiarelli, who claims that Ontario has earned $6 billion in profits exporting power, has now discovered an invisible $7 billion income from OPG for government that is paying for invisible schools, hospitals, and colleges.
In the Legislature on December 11, Chiarelli claimed:
In addition, over the course of the last eight years, they (OPG) have generated $7 billion in net transfer dollars to the province of Ontario to help pay for schools, hospitals and colleges.
So there could be no mistaking his point, he repeated it in the Legislature http://ontla.on.ca/web/house-proceedings/house_detail.do?locale=en&Date=2013-12-12&detailPage=%2Fhouse-proceedings%2Ftranscripts%2Ffiles_html%2F12-DEC-2013_L100.htm&Parl=40&Sess=2#P379_98641.
Also, the member should be aware of the fact that over the last eight years, OPG has generated $7 billion, bottom line—
Minister Chiarelli, who says that solving energy illiteracy is one of his top priorities, is hopelessly illiterate about OPG’s finances. OPG’s net income, payments in lieu of taxes, and water rental fees are all dedicated to defraying debt left over from the old Ontario Hydro. The old Hydro debt is held by Ontario Electricity Financial Corporation and that is where OPG’s payment go. The only extent to which the Minister can claim that income from OPG is helping to pay for government services relates to the debt guarantee fee of 0.5% charged to guaranteed debt. The entire amount of debt guarantee fee income to the government from all electricity sources totals about $136 million per year.
Little wonder Ontario has a deficit projected to come in at $11.7 billion when Ontario’s six billion dollar man is unable to comprehend the distinction between internal government cash flows and actual government revenue.
The Opposition parties have so far been unable to challenge the $6 billion man on his stream of phoney financial claims.
Ontario’s $6 billion man is generating such a rich stream of comic material that I have created a category, visible on the right hand side bar, to assist those interested in following his antics. On Twitter, follow the hastag #6billion$man.