In the last few weeks, Stephen McNeil
dropped a bombshell without seeming to even realize it himself:
“It is time to break the monopoly ... We’ll
open the market to allow renewable energy producers to compete...”[i]
"I would have opened up the energy
market. I would have put competition into the energy sector to allow Nova
Scotians more than one option to buy energy from."[ii]
So now we know for sure that the Liberal
rhetoric about “breaking the Nova Scotia Power monopoly[iii]”
really means deregulating and leaving ratepayers at the mercy of the market.
Like Ontario, where the Harris-Eves
government was forced to back off of their plan to deregulate after power rates
rose 30% in seven short months[iv] - in some cases
up to 70%[v]. Where a scrambling government put taxpayers
on the hook for $480 million of a $1.36 billion artificial price cap[vi]. Where Ontario became a net importer[vii] of
electricity. And where McNeil’s own
Liberal colleague had this to say:
“...there is a broad consensus right across
the country that this has been one of the most glaring examples of gross
mismanagement and incompetence ... your experiment has been an abject failure.”
-Dalton McGuinty, Ontario Hansard, 18 November 2002
Like Alberta, where brownouts became
frequent and rates went from some of the cheapest in North America to the third
most expensive (after California, another deregulated jurisdiction, and
Hawaii).[viii] Where the price rose from 5 cents to 25
cents/KwH between June and October of 2000, buffered only by a $2.3 billion
dollar taxpayer-funded rebate program[ix] . Where, between 1997 and 2000, the wholesale
price of electricity went up 650%[x]. Where less than
30% of consumers opt to sign contracts with independent power producers,
preferring to stick with the regulated utility[xi]
(Calgary Herald). Where analysts concluded that deregulation couldn’t work in
such a 'small market'[xii] (Alberta’s
population is more than 3 times the size of Nova Scotia’s).
By now it’s clear: McNeil doesn't
understand energy issues or gasoline pricing issues. He would drive the cost of
energy through the roof and let big oil set the price at the pumps. He’s naive
enough to think that unregulated independent power producers would have Nova
Scotian’s long - or short - term interests at heart and be there to meet demand
and help us get off coal. That big oil
wouldn’t immediately claim the 4 cents he would take off the price of gas. And
that the deregulation experiment would work in our small market where it failed
in Ontario, Alberta, and California.
Deregulation just might be the only thing
the Liberals could do that would top their biggest energy policy blunder ever - allowing
the sell-off Nova Scotia Power to begin with.
[i] Stephen McNeil, AGM speech, April 28 2012
[ii]
Rick Howe Show, 3 April 2012
[iii] http://www.liberal.ns.ca/nslp_9556_40236.html
[iv] Ontario’s Long Term Energy Plan. Page 6. 2010.
http://www.mei.gov.on.ca/en/pdf/MEI_LTEP_en.pdf
[v] Premier Dalton McGuinty, Ontario Hansard. November 24, 2010
[vi] Cost of power-price freeze at $1.36 billion in 11 months. The
Globe and Mail. April 12 2003.
[vii] Ontario’s Long Term Energy Plan. Page 6. 2010.
http://www.mei.gov.on.ca/en/pdf/MEI_LTEP_en.pdf
[viii] Dr.
Marjorie Griffin Cohen, in CUPE: Deregulation, privatization and the Ontario
power failure, 24 September 2003, also RBC Dominion Securities, ZAP! Alberta is
jolted by electricity price deregulation. January 2001.
http://www.iasa.ca/ED_documents_various/zap0101.pdf
[ix]
Rick Wallace, The British Columbia
Advantage, 2001 report by the Parkland Institute
[x] RBC
Dominion Securities, ZAP! Alberta is jolted by electricity price deregulation.
January 2001. http://www.iasa.ca/ED_documents_various/zap0101.pdf
[xi] Darcy Henton, Calgary Herald, 9 January 2012
[xii] Alberta Power Market Players Anxious. Calgary Herald. December 2,
2011. http://www2.canada.com/health/alberta+power+market+players+anxious/5804619/story.html?id=5804619
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Jamie Baillie claims his balanced budget bill would put an end to "hoodwinks."
But
balanced budget legislation was in place when Rodney MacDonald's Conservatives used
declining offshore funds to cover rising operating expenses like Health and
Education. The Panel of Economic Advisors exposed the reality: that the
Conservatives had put Nova Scotia on track for a $17.2 billion debt by 2012/13.
To this day, Baillie insists those budgets were balanced. That, Jamie, is the definition of a "hoodwink."
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The Liberal leader says that Nova Scotia has lost
12,500 jobs since June 2009.
This
is not true.
The Liberals are comparing numbers from two different
seasons, summer and fall.
Comparing numbers from different seasons produces skewed
results. That is why Statistics Canada
produces numbers that are “seasonally adjusted.”
According to Statistics Canada:
Employment (seasonally
adjusted) in June 2009: 450,100
Employment (seasonally
adjusted) in October 2011: 449,400
Difference: -700
Employment
(Unadjusted) in June 2009: 464,400
Employment
(Unadjusted) in October 2011: 452,800
Difference: -11,600
It would
be fair to compare June 2009 numbers against June 2011. Over that time period,
there was an increase of 3,000 jobs in Nova
Scotia.
According to Statistics Canada:
Employment in June
2009: 464,400
Employment in June
2011 467,400
Difference: +3,000
See for yourself: http://www.ndpcaucus.ns.ca/news.asp?ID=4562
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The Conservative Leader wants to know how much of the electricity rate is because of the NDP.
In less than 10 years of Conservative governments in Nova Scotia, electricity rates increased by 40%.
2009
In January 2009, electricity rates increased 9.4%.
With the support of the Liberals, the Conservatives cancelled the 8% home energy rebate they originally introduced in December 2006.
2007
On April 1, NSP increased residential rates by 4.8%.
2006
The Conservatives ended the Keep the Heat program in December 2006. This program helped low-income earners pay their heating bills. Keep the Heat provided $100 to $250, depending on the heat source, to families with low incomes.
Electricity rates increased by 8.6%.
2005
In April, electricity rates increased by 6.1%.
2002
Electricity rates increased by 3.1% this year.
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The Conservative leader claims there is no cost associated with recommendations in government’s Renewable Electricity Plan.
This is wrong.
The next line in the document the Conservative leader was quoting is:
“Government estimates that measures in this plan will result in a 1-2% increase annually on electricity bills. To reach 2015, this would add an average of approximately $10-$20 annually to the average single family home electricity bill (closer to $20-$40 if electricity is used for heating).”
Renewable Electricity Plan, page 28
April 2010
Department of Energy
Crown copyright, Province of Nova Scotia, 2010
See for yourself:
http://www.gov.ns.ca/energy/resources/EM/renewable/renewable-electricity-plan.pdf
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The Conservatives and Liberals say that the NDP are making plans in secret.
The NDP ensures Nova Scotians are involved in the process.
Rate hearings for NSP are set by the Utility and Review Board with ample opportunity for anyone to join the procedures.
See for yourself:
http://www.nsuarb.ca/index.php?option=com_content&task=view&id=21&Itemid=17
As part of the preparation for this Renewable Electricity Plan, a consulting team from Dalhousie University, led by Dr. David Wheeler, facilitated extensive public, multi-disciplinary consultations in the summer and fall of 2009.
See for yourself: http://www.gov.ns.ca/energy/resources/EM/renewable/Wheeler-Renewable-Stakeholder-Consultation-Report.pdf
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The Conservative leader states that the NDP is doing nothing for the economy and everything for the environment and that the NDP have extreme plans for the environment.
The NDP believe it is a balance: creating good green jobs.
Making Ends Meet
The NDP government rolled-back the Conservative's 8% tax increase on home electricity.
See for yourself:
http://gov.ns.ca/news/details.asp?id=20091001008
Making History
On November 18, 2010, Premier Darrell Dexter announced an agreement which gives the province access to 20% of the power from Muskrat Falls in Newfoundland and Labrador by way of an underwater cable to Cape Breton. Construction will provide Nova Scotians with an estimated 6,790 person-years of employment from construction of the Maritime Link.
See for yourself:
http://www.gov.ns.ca/news/details.asp?id=20101118001
"This is an unprecedented opportunity, a real game-changer." (Stephen Harper, CBC News, April 1, 2011)
"We think it's a solid move in economic development for the province." (Kevin Sullivan, chair of the St. John's Board of Trade, CBC News, November 19, 2010)
Tidal Power
Four companies are using the Bay of Fundy to generate power outside of New Minas.
See for yourself:
http://www.nspower.ca/en/home/environment/renewableenergy/tidal/projectoverview.aspx
Wind Power
A $61-million project in Amherst will feature 15 wind turbines with a capacity of 31.5 megawatts, enough energy to power 10,000 homes. The wind farm is expected to open in early 2012.
DSTN, a wind turbine tower and blade manufacturing facility in Trenton, will create nearly 500 jobs by 2013. The province invested almost $60-million and has an equity stake in the operation.
“This facility means so much for the people of Trenton and for Nova Scotia. Our workers will be employed, our families will prosper and North America will get a chunk of its green energy solutions from right here in Nova Scotia.” (Peter MacKay, New Glasgow News, March 20, 2010.)
The Glen Dhu Wind Farm in Pictou County was officially opened in June 2011. It currently has 27 turbines.
See for yourself:
http://gov.ns.ca/news/details.asp?id=20110622006
http://www.nspower.ca/en/home/environment/renewableenergy/wind/default.aspx
http://www.gov.ns.ca/energy/renewables/public-education/wind/whats-happening.asp
Community Involvement
Community groups in Nova Scotia can create their own energy and make a profit through a feed-in tariff for renewable electricity projects.
See for yourself: http://www.nsrenewables.ca/feed-tariffs ?xml:namespace>
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The Conservative leader states that the amount of profit NSP can make is mandated by government.
This is wrong.
The rate of return is prescribed by the Nova Scotia Utility and Review Board (NSUARB or URB). The URB was established in 1992 as an independent quasi-judicial body which has both regulatory and adjudicative jurisdiction flowing from the Utility and Review Board Act.
It reports to the Legislature through the Minister of Finance.
See for yourself: http://www.nsuarb.ca/index.php?option=com_content&task=view&id=21&Itemid=17
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