Thursday, May 19, 2011

Ontario PC Party Announces Energy Promises For Upcoming Campaign


An Ontario PC government will provide Ontario families with real, permanent household relief by:

  • Removing the HST from residential hydro bills. The HST has made life unaffordable for many families. Combine that with expensive energy experiments and hydro bills are soaring.
  • Removing the HST from residential home heating bills (natural gas and other fuels). We live in Canada where heating our homes isn’t a luxury. Increasing the cost with a tax increase is unfair.
  • Removing the Debt Retirement Charge from residential hydro bills. We will remove the so-called “Debt Retirement Charge” from your hydro bills. The full amount had been collected as of 2010 – yet the McGuinty government extended it to 2018.

Taken together, these three steps will give a typical Ontario household $275 in immediate relief from rising energy bills.

They don't say much about what they'd remove, such as the Ontario Clean Energy Benefit (OCEB).
Ontario has become rather ridiculous in charging 0.7 cents/kWh as a debt retirement charges while public generation assets get 2 cents/kWh less than Ontarian's are charged in order to pay private 'clean' sources far more under ludicrously expensive 20-year contracts - and then we got a credit of 10% (about double the debt retirement charge), presumably because contracting is so much more expensive than building it yourself (and acquiring debt)
The consumption taxes on electricity is wrong (so is the debt retirement charge and the OCEB), but I don't agree the consumption tax on natural gas is wrong.

Perhaps the NDP will address the ownership issue, with the costs of contracts compared to the costs of debt.

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