McGuinty’s Power Trip in Ontario is absolute disaster from beginning to end!!!! …Oakville plant will cost much more!!!

Posted: September 26, 2012 in Uncategorized

Talk about “messing up a good thing”.  At one time we all paid less than 6 cents per Kwh. for our electricity…….. remember the good old days?

That was way back before Bill 150 in May 2009.

Every single decision this ridiculously “out of touch” group of “gerbils” at Queen’s Park has made in our energy sector has basically killed this Province, financially, industrially and socially since they started “playing electric roulette” with OUR money!

How people such as this can retain their jobs after billions of $$$$ have gone down the Green Energy toilet makes a normal person’s head swivel involuntarily!

But then, that’s politics. Become a politician, become an idiot, steal money from your electorate, gamble on winners and losers and then laugh in the face of legitimate criticism when faced with the reality that your a total loser!

A good example of just such a criticism of the Green Energy debacle happened tonight on the show TVO Agenda with Steve Paikin when Jane Wilson who represents  a large organized group of anti-Industrial Wind Turbine rural and urban citizens  tried to inform Paikin and the public how really bad this Green Energy Plan of McGuinty’s really is.

Paikin made uniformed and biased statements and wouldn’t let Wilson reply or debate them so there ya have it. Propaganda? Sure!

Why not use tax payers $$$ to support a biased TV show supporting McGuinty and his failed Liberals who are under massive scrutiny for their destructive behaviour with our failed energy sector. After all McGuinty uses our $$$ to destroy OUR rural towns and lands, so what’s wrong with just a lowly “public TV station” doing the same thing?

But I digress. Here’s a good take on how this Oakville gas plant’s costs to tax payers will blossom to a lot more than just a meagre 40 million $$$ that Bentley is so proud to announce on Monday!

Ontario’s Power Trip: Hiding the gas fiasco

Parker Gallant | Sep 26, 2012 9:28 PM ET
More from Parker Gallant

Oakville contract breach may cost ­hundreds of millions

The Ontario government, perpetually digging itself out from under its energy-policy messes, has mastered the art of shovelling costs off to other agencies in the hope that nobody will notice. Last week, in another typical move, Energy Minister Chris Bentley announced that the government’s main electricity agency, the Ontario Power Authority (OPA), had successfully negotiated the Liberals out from under the government’s breach of an estimated $1.2-billion contract to build a 900-megawatt gas plant in the Toronto suburb of Oakville. To get out of that deal, the result of panic decision-making by the Liberals in the face of popular opposition, the plant will instead be built in Bath, Ont. Cost of the breach of contract and the move was said by Mr. Bentley to be a mere $40-million.

If true, killing the Oakville plant would almost certainly become the lowest breach of contract settlement as a ratio of total cost in the history of contract disputes. Since when do companies, in this case TransCanada Corp., walk away from a deal worth a billion dollars in exchange for peanuts? They don’t and there’s no reason to believe TransCanada has done it this time.

Full details of this fiasco may never be known. Ontario’s Society of Professional Engineers said Monday it believes major additional costs to Trans­Canada and others are likely buried in documents that may never see daylight. For one thing, the new plant in Bath is to be built on land held by the government-owned Ontario Power Generation (OPG), which will have to be compensated.

Also looming is an unusual sub-deal that makes the Ontario government owner of two gas turbines. Under a breach of contract memorandum of understanding between TransCanada and the Ontario Power Authority, the OPA will pay for the gas turbines at the new plant at a cost of $210-million. The reason for the payment, according to an OPA spokesperson, is to put cash in the hands of TransCanada so it won’t have to pay the carrying costs now that the initial production date has been pushed to 2017. Most unusual for a turnkey contract!

It appears that by 2017, when the new plant is completed, OPA — which is not an operating company but a policy-making outfit — will be sitting on a $210-million liability. When the plant starts producing electricity, TransCanada will repay the $210-million over the 20-year term of the contract. Under Ontario’s green-energy plan, even if the Bath plant’s power is not needed, electricity ratepayers will still pay for the electricity they don’t need.

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That the new plant may never be needed is no surprise. It will be located next to an existing OPG plant that is seldom needed. When it did operate, it sold electricity at below cost.

The final cost of the Oakville contract breach, likely in the hundreds of millions, will be added to the $190-million the government paid to kill another partially built plant in Mississauga.

READ MORE HERE:

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