Ontario Power Rate Rip-Off: Minister Duguid “I don’t want to get into a numbers game”

Check out this interview published August 30, 2010 between the Ottawa Citizen’s Don Butler and Energy Minister Duguid as he tries to skate away from the rate tsunami now bearing down on Ontario electricity consumers. Duguid refuses to refer to consumer costs in reply to any of Butler’s pressing questions on rates.

6 Comments

  1. “Duguid wouldn’t estimate how much higher electricity prices will rise, saying the Ontario Power Authority is still working on a long-term energy plan. A draft is expected by early fall.”

    Am I the only one who is terrified that these people don’t have a long term plan set for this massive push behind renewables? You would think something like that would almost be in place before you invest billions of taxpayers money in green energy plans, where many are based on nominal projections.

  2. Duguid is still new to the portfolio and I’m still unsure if he’s learning to lie more confidently, or struggling with the mess he has inherited.

    He does avoid the straight out lie (the transcript is at http://tinyurl.com/34cjunr).
    For instance, in dancing around the question specific to American rates, he does make it obvious he knows Mr. Adams is right (we are at New England pricing – and we are 15% higher than the average US price).
    He does revisit two election themes that, I hope, are fairly easy targets. The first is they’ve been building needed supply. While there’s a simple level that is true at (plants do age and need replacement), since 1992 only in 1998 was Ontario production not greater than 2009’s consumption level (and then it only missed by 1TWh). Similarly, much of the capacity that came online after the 2003 election was nuclear capacity planned by their predecessors. It’s pretty feeble to claim they’ve been working their tails off and sparing no expense in order to stand still.
    They are contracting private gas instead of cleaning up public coal. I’m sure it is cleaner, but it is a choice, not an imperative.
    Mr. Duguid claims they managed to keep prices relatively stable for the first 6 years of their mandate. The average price in the USA increased by about 1/3rd from 2003-2009. I’m fairly certain if Ontarions check their bills they’d find their increase was 50% over the same period – and that is prior to 2010’s accelerated increases.

    But he does interviews and does realize a plan would be helpful.
    Which is a vast improvement.

  3. Scott, very interesting comments. I agree with all of it.

    Note that a part of the OPA’s OEB-issued license in force today is a legal requirement that the OPA issue an updated power plan for the province every three years. The last version was issued in August 29th 2007. The OPA has now been in breach of its license for a few days. It will be interesting to see whether the OEB has the spine to enforce its license.

  4. Wow! Conservation has saved 1700 MWs since 2003. That is an average of 243 MWs p.a. at say $40.00 per MW at the spot price for a grand total of $10,000. and he brags about it. How much has the OPA spent on conservation since 2004? My guess is that it would be millions! Why don’t reporters pick up on this and put it to him that this is a big waste of money?

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