THUNDER BAY – City MPPs are defending the provincial government’s intention to begin the privatization of Hydro One.
Both Michael Gravelle (Lib., Thunder Bay-Superior North) and Bill Mauro (Lib., Thunder Bay-Atikokan) participated in the bear pit session at the annual Northwestern Ontario Municipal Association conference, where they faced questions from regional municipal leaders about the impacts the sale of the publicly owned utility would have on electricity rates.
Gravelle said the decision by Premier Kathleen Wynne to sell part of Hydro One was made carefully through an examination of government assets by former TD executive Ed Clark.
The sale would begin with an initial public offering of 15 per cent available, with the government ultimately retaining the largest share at 40 per cent.
“I think there’s a lot of work quite frankly we as a government need to do to more fully explain the reasons we’re moving forward with the decision to open up an opportunity to sell the shares of Hydro One so we can help build up this province through increased infrastructure,” Gravelle said.
Both Progressive Conservative interim leader Jim Wilson and New Democrat leader Andrea Horwath addressed the conference where they strongly objected to the plan to sell as much as 60 per cent of shares.
Wilson and Horwath, along with NOMA delegates, raised concerns about the selloff resulting in loss of government control over rates.
Gravelle said he believes the selloff will help provide protection against future rate increases.
“The government will retain the ability to basically regulate all the key functions of Hydro One,” he said. “We will still be in a position to make decisions related to upgrade new transmission lines…There will be legislation brought forward to make sure we can retain that regulatory control.”
Minister of Aboriginal Affairs David Zimmer joined Natural Resources and Forestry Minister Mauro and Northern Development and Mines Minister Gravelle during the session.
In an interview following the session, he responded to claims made Thursday by Ontario Regional Chief Stan Beardy the provincial budget did not invest in the needs of First Nations.
“There is a clear investment in First Nations in the budget. Our government and Premier Kathleen Wynne have a very special interest in Aboriginal issues very broadly across the board,” Zimmer said, specifically identifying the Aboriginal Economic Development Fund as an example.
The session was relatively tame compared to previous years, with the Municipal Property Assessment Corporation being the only other significant topic raised.
