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Privatization of Hydro Electricity in Ontario
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This is a 7 page paper discussing the recent deregulation and privatization of the Ontario hydro electricity market. Canada’s largest energy producer, the province of Ontario, has begun the process of deregulation and privatization of its energy industry in compliance with the Ontario Energy Competition Act passed in 1998 which gave the energy utilities to their municipalities and the municipalities two years to sell them, recruit private-sector partners or incorporate them. The initiation of the Act was delayed due to opposition and court rulings until May 1, 2002. This delay combined with favouritism found within the Ontario government, amalgamation of municipalities and government waiving of a debt-reducing tax to some of the former components of the energy system has led to a general lack of confidence and commitment of external investors into the Ontario energy market. The Act was meant to promote competition and relieve the province of the massive debt it amassed with the provincial run utility. At this point, time will tell if privatization will benefit the province and the consumer or whether privatization will be a financial nightmare as found in the state of California and the province of Alberta.
Bibliography lists 3 sources.
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Pages:
7
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Filename:D0_TJOntpr1.rtf |
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Paper Title:
Privatization of Hydro Electricity in Ontario
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