Did you write to Andrea about how the Hydro Increases are Affecting You?

Dear Andrea Horwath and Peter Tabuns;

 

Thanks you for your consideration and approach to finding out about concerns from Ontarians with regards how rising electricity rates are affecting families. This subject is one that is dear to my heart as I have spend the last 12 months researching the topic extensively. Almost 2 weeks ago, I also found out that the factory I work at which employed 60 people in Caledonia (Just outside of your consituency), will be “Idling” in the first quarter of 2014….so that the corporation can put the jobs back into the US.  Energy costs for Large Consumers – aka manufacturing –  has risen in Ontario on average 30% since 2008. (Fraser Institue Report Here) My colleagues and I will now be looking for work in an economy where manufacturing has been leaving in astronomical numbers, along with the middle class. The Fraser institute report shows how in New York state, their large consumer electricity rates have actually dropped over 20% from 2008 rates…That is a 50% difference for companies who are manufacturing goods from Ontario to NY State. We sell our excess electricity at a loss, and have paid Quebec and New York state at times to even take our electricity! We paid them!!!

 

Never before have I been so interested in Ontario’s energy policies, especially after reviewing the Auditor Generals report from 2011. I am extremely worried about Ontario’s current path related to energy policies as I know that my children and their children will be suffering the consequences of the current LIberal governments mismanagement. As a child, the Hydro One debt was tacked onto my parents electricity bills, and to this day my generation of ratepayers continue to pay for a debt that the Liberals contnue to extend final payment to, almost unquestioned. The Green Energy Act and FIT contracts are blatantely killing the economy. The numbers are there for all to see, if anyone would actually take a look at the output capability reports from IESO which on any given day would show you that Wind power is supplying less than 1% of our daily demand….after spending billions on subsidies and infrastructure.

 

On Page 89 of the Auditor Generals report, it states that The Ministry of Energy at the time (George Smitherman) claimed that the Green Energy Act would lead to “modest incremental increases in electricity bills of about 1% annually” yet in November 2010 the Ministry forecast concluded that a typical residential electricity bill would rise about 7.9% annually over the next 5 years, with 56% of the increase due to investments in renewable energy.” It also states that “wind and solar renewable power will add significant additional costs to ratepayers’ electricity bills.”  Electricity is a necessity in Ontario, how many households can afford this?

 

We are being asked to pay for a second energy system – wind – while we underutilize hydro and gas. According to IESO the Energy Output  by Fuel Type for 2012 has nuclear at 56.4%, hydro at 22.3%, gas at 14.6% coal at 2.8% and wind at 3%.

 

On Page 90 it shows the Minister of Energy replaced the RESOP (Renewable Energy Standard Offer Program ) with the FIT (Feed in Tariff) program providing renewable energy generators with significantly more attractive contract prices adding $4.4 billion in costs over the 20 years.” If the government’s  goal of 10,700 MW of renewable energy by 2018 (p. 89) is realized the FIT subsidy will be closer to $2.6 billion per year or $52 billion in costs over the 20 years  just for the FIT subsidy.

(The Formula to calculate the Feed in Tariff Subsidy is:

 

Mega Watt

X

Operating efficiency

X

Hours per year

X

Cost

 

10,700 MW X .28 efficiency X 8760 hours per year X $103.50 = $2,624,496,000 FIT subsidy per year!

 

According to page 111 of the Auditor General’s Report the operating efficiency of industrial wind turbines is 28%. The cost per MW is based on the FIT guaranteed price of $0.135 per kw minus hourly Ontario Energy price estimated at $0.0315 per kw = $0.1035 per kw making it $103.50 per MW.  So 10,700 MW X .28 efficiency X 8760 hours per year X $103.50 = $2,624,496,000 FIT subsidy per year! )

 

Just in Fit Subsidies, we are being asked to pay over $2.6 BILLION per year for only 3% of Ontario’s energy output. This is while we spill, “clean hydro energy” over Niagara Falls, in order to take WIND that we do not need.

 

Those on fixed pension incomes, contract workers, and those earning minimum wage will be most affected by these energy policies. In the United Kingdom, fuel poverty, which now affects 5.5 million households, has become a household term, largely because of electricity policies similar to those that are being pursued in Ontario. In Germany, every year over 600,000 Households are disconnected annually for not being able to pay their electricity bills. Ontario is now being boasted about Internationally as having an energy policy “Worse than California”.

The contract that Energy Minister Smitherman entered into with the Korean Consortium has not been disclosed. The contract has not been published so it is not available for the public to examine, criticize, evaluate, etc. Is this deal being covered up with the expectation that in time citizens will forget?  Who is responsible for protecting the interests of the citizens of Ontario?

The question is not about “renewables or not”, the quesitons are:

 

1) Why are we even investing in any additoinal energy sources, a 2nd system, when we have “enough energy” in Ontairo as per the Ministry of Energy office. $2.6BILLION/YEAR for subsidies on Energy we don’t need!!!!!!!!

 

2) Why does the government ignore the over 75 Municipalities in Ontario who have asked to “Not be a Willing Host” to wind turibnes? Why doesn’t your party support these Ontarians in ever growing numbers?

 

3) Why is it ok for the Liberals to let manufacturing jobs in Ontario leave?

 

4) When will my insurance rates go down? I have actually got notices about rising rates, not decreasing….

 

Those on fixed pension incomes, contract workers, and those earning minimum wage will be most affected by these energy policies. In the United Kingdom, fuel poverty, which now affects 5.5 million households, has become a household term, largely because of electricity policies similar to those that are being pursued in Ontario.

The contract that Energy Minister Smitherman entered into with the Korean Consortium has not been disclosed. The contract has not been published so it is not available for the public to examine, criticize, evaluate, etc. Is this deal being covered up with the expectation that in time citizens will forget?  Who is responsible for protecting the interests of the citizens of Ontario?

 

I hope that your party stops propping up the LIberals and takes a stand for Ontarians for once….if you don’t, our children and their children will be paying down the debt of this eras failed energy policies. I would like a response and look forward to it.

 

 

Respectfully Submitted

 

Haldimand Resident

 

3 thoughts on “Did you write to Andrea about how the Hydro Increases are Affecting You?”

  1. Writing your letter to Andrea Horvath is a waste of time. She’ll never be Premier. She can jab away at who ever is the Premier as long as there is a minority government. For now she’s just propping up the ‘no Wynne’ government.

    1. You’re right about Horwath being the enabler for the Liberal Government, but we still should let her know what we think of the renewables scam, simply because the chance of a Conservative majority, with the Libs in Toronto keeping the blinders on, is not great. She will say no one cares, if we don’t make it obvious, that we do.

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