Apr. 25, 2002. 09:00 AM Eves promises Hydro One hearings
Opposition urges province to put the deal on hold
By Richard Brennan
TORONTO STAR PHOTO/Tony Bock
Two men protesting the planned deregulation of Ontario's electricity supply are shown during a March 2002 protest in Toronto.
The Eves government will hold "meaningful" public hearings into the sale of Hydro One as a precursor to passing legislation allowing the sale to go ahead.
Both cabinet and caucus are to meet today to decide what form the hearings will take and how best to proceed with legislation to respond to a court decision saying the government had no authority to sell the publicly owned electricity transmission company.
"Ernie (Eves) is serious about doing things differently and getting out there and talking to people," a senior government source said, noting that Energy Minister Chris Stockwell is expected to tour the province even before the Legislature resumes in mid-May, to convince people of the benefits of selling Hydro One.
"All you have to do is read the paper and look at the polls to see that people are confused over this whole market opening and the sale of Hydro One, so you can count on these hearings being meaningful," the source said.
The sale of the transmission lines, announced in December by then-premier Mike Harris, came out of the blue. The planned share offering, expected to bring in about $5.5 billion, was to happen this spring.
The court decision, and the government's response to it, won't affect the opening of the electricity generation market to competition, which will go ahead as scheduled May 1.
Premier Ernie Eves has hinted that he will opt for legislation to allow the Hydro One sale, and Finance Minister Janet Ecker said Tuesday the sale will go ahead.
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`People are confused over this whole market opening and the sale of Hydro One.'
Government source
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Opposition leaders say whether public hearings are held into the sale of Hydro One is not the issue.
The Liberals' Dalton McGuinty and the New Democrats' Howard Hampton say the deal should be put on hold and are promising to do everything they can to hold up passage of any proposed legislation. But because of restrictive measures brought in by the Tories under Harris to limit debate in the Legislature there is only so much the opposition parties can do.
"Let me be perfectly clear. I am absolutely opposed to the sale of the transmission grid that carries electricity into our homes and into our businesses," McGuinty said yesterday at the beginning of two days of Queen's Park hearings sponsored by the Liberals. "Selling off Hydro One was never promised, never hinted at by the Tories at the time of the last provincial election" in 1999, he said.
"From time to time governments propose change that is so dramatic, so fundamental, so profound that the only responsible way to proceed with that change is by way of seeking a mandate through a general election. The selloff of Hydro One is clearly just such a change," McGuinty said.
"I'm challenging Mr. Eves ... to put the sale of Hydro One on ice until the next election," he said. "The people of Ontario want a say."
Hampton, who has been leading the charge against both the sale of Hydro One and market deregulation, sent letters yesterday to all Tory MPPs urging them to turn thumbs down to the deal.
"The experiences in other jurisdictions make it clear that hydro privatization and deregulation will lead to higher prices, less reliability, loss of accountability and a dirtier environment. You have an opportunity to stand up for the people who elected you," Hampton said.
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