It’s getting almost painful and quite frankly, “sickening” to have to read on a daily basis just how disgusting this “Ontario Liberal enclave of thieves” keep on getting exposed on how WE electrical consumers are having to pay out of our hard earned dollars for the retirement, pensions, and unearned bangles and bobbles for this monstrous gang of fat greasy “friends” of politicians who land in cushy jobs and live the high life while WE pay their way.
It would be OK if these fat cats DID SOMETHING to earn that money but most of the time these “suits” are just so much “fluff”!
The Auditor’s report opened up the OPG “Pig Pen” for all to see but most of the MSM stories only scrape the surface.
Read more about how deeply this rot at the top has permeated the very soul of this one organization……………..with so many more like the OPA not even mentioned yet, I am not looking forward to THOSE “pieces of gangrenous canter” which will be coming at us eventually!
Read what Tom Adams has to say about more of the dirty details revolving around this Auditor’s report:
Wednesday December 11, 2013
The following was written by independent energy and environmental advisor Tom Adams. He blogs at tomadamsenergy.com
Yesterday, the provincial Auditor General issued her annual report, including a chapter on Crown-owned Ontario Power Generation’s (OPG) wild no-limits compensation party at ratepayer expense. Among the findings: pension entitlements paying out as much as $760,000 per year after age 65, bonuses as high as $1.3 million, a boom at the top with the executive and senior management group growing by almost 60 per cent since 2005, and many staff with family members not hired through the normal recruitment processes.
Problems Beyond the Executive Suite
OPG’s problems are deep. Its pension obligations are thought to be frighteningly under water, with the next pension valuation coming this January. Over the last couple of years, John Murphy, previously president of OPG’s largest union who became an Executive VP at OPG, was leading OPG’s pension reform review. Murphy was sent to fix a problem he had a direct role in creating. Although Murphy is now gone, which energy ministers were briefed on his work along the way?
OPG’s chairman Jake Epp was appointed to his post at OPG by Premier Dalton McGuinty after leading review in 2003 to identify how management screwed up the disastrous refurbishment at the Pickering nuclear plant initiated under Premier Mike Harris. That project went about three times over budget and about two times over schedule, but delivered half the intended megawatts. One might have hoped that Epp and the succession of Liberal energy ministers he reported to knew there was a problem. Instead, they supervised fresh excesses.
Another of the Ontario Hydro successors, Hydro One, has been under pressure from the Ontario Energy Board for years to clean up its excessive compensation. Hydro One’s own evidence is that it is making virtually no progress in bringing its unionized staff costs in line. Meanwhile, Crown-owned Hydro One is on an aggressive spending spree buying up lower cost utilities.
The Auditor General’s press release on OPG understates many of the substantive findings in the report itself. For example, the press release states, “Earnings and benefits were significantly more generous at OPG than for comparable positions in the Ontario Public Service.” Deep into the report, the average compensation for particular positions at OPG is compared with the top compensation paid in the Ontario Public Service for equivalent positions. In the case of director level accounting positions, the top pay in the Ontario public service is about $130,000 while at OPG the average pay in the equivalent position is about $230,000.
Not a New Story
There is an eternal character to the Auditor General’s findings.
The Ontario Energy Board expressed grave concerns about excessive compensation at Ontario Hydro in the 1980s, particularly among unionized staff. In 2007, the Ontario government commissioned the “Agency Review Panel” to provide high-level advice to the government on how to manage the sector. That panel found that “total operating, maintenance and administration (OM&A) expenses for the provincial agencies in the electricity sector increased by 4.3 per cent a year on average between 1998 and 2006.”
OPG’s compensation excesses are the focus of a monumental battle now laid in the lap of the Supreme Court. In its most recent decision on ratepayer payments to OPG, the Ontario Energy Board ordered an $145 million reduction reflecting excessive compensation. All hell broke loose. OPG’s blue collar and management unions, which together represent 90 per cent of its total staff, teamed up with the utility to take the regulator through the courts. Most recently the Court of Appeal has sided with OPG. The Board is seeking leave to appeal to Supreme Court. The regulator has so far proved to be an insufficient lever to pry a twisted system into shape.