| Electricity Review Garners Protests |
Date : Nov 24, 2009 |
(Slave River Journal)
Some NWT business leaders are angry about the recent electricity system review's proposal.
The proposal calls for an increase in the cost of power in hydro communities while strengthening the government-owned electricity system.
Yellowknife's Chamber of Commerce submitted a letter to the GNWT on Nov. 16, calling on the government to reject most of the 39 recommendations found in the report. Fort Smith's Chamber president has planned a similar letter to the GNWT.
Specifically targeted was the recommendation of an increase in the cost of hydro power and a decrease in diesel community power rates.
"The high costs of power are already a huge impediment to development," said Yellowknife Chamber of Commerce President Patrick Doyle. "Obviously we're concerned the agenda seems to be to download costs to hydro communities."
Concerns over the push for more government ownership of electricity were also raised. The report recommends the government own all transmission lines and increase its role in future development and distribution, citing the need for ratepayer security and economies of scale leading to cost savings.
Doyle said the Power Corp's history goes to show that the 'government knows best' approach is not in the best interest of the NWT.
"Without any convincing analysis or factual basis (the report) anoints NTPC to do it better in the future while recognizing that for decades they have not run the Power Corporation at a level that is satisfactory at best," he wrote in his letter to the GNWT.
Fort Smith Chamber of Commerce President Don Jaque said any increased power given to the Power Corporation must come with the political will to force NTPC to adopt a more adept business approach.
"They need to make NTPC have more of a business-like approach so they have to generate revenue and be profitable, and won't do things like waste power from the Taltson Dam for 30 years," Jaque said. "The residents of the hydro-based communities are being forced to pay high power rates because of that lack of efficiency and business acumen."
Jaque said the problem is not the review so much as the government not taking responsibility for the vision of the future of the electricity system.
Hay River Mayor Kelly Schofield said he had been in talks with Yellowknife's city council to plan a coordinated opposition strategy before the GNWT makes any decisions. |
