News

Hydro rates to spike after next election, cabinet documents reveal

May 12, 2017

Leaked Hydro Documents – Cabinet Document

(Perth-Wellington) – Household hydro costs are set to skyrocket to new highs, according to a leaked cabinet document that breaks down the Liberal government’s “Fair Hydro Plan.”

The document shows rates declining in 2017, only to rise slightly the following year. By 2022, however, rates are projected to spike. Marked “confidential,” the document was presented to the Liberal cabinet in early March 2017.

To Perth-Wellington MPP Randy Pettapiece, the document confirms his view that the government developed its plan entirely around the next provincial election, expected in June 2018.

“It’s designed to get the Liberals through the next election,” he said. “It’s supposed to provide short-term political gain for the Liberals, in exchange for long-term pain for the rest of us.”

But Pettapiece believes his constituents will see right through it: “People know exactly who is responsible for the mess we’re in.”

The cabinet document contains another revelation: the controversial debt retirement charge could return, but under a new name.

“Ontario still has the fastest rising rates in North America, and [Premier Kathleen] Wynne’s four-year plan does nothing to change that,” said Ontario PC Energy Critic Todd Smith.

Smith added: “This raises two important questions: why did Kathleen Wynne try to conceal the return of the debt retirement charge and what other secret plans does she have to raise bills further right after the next election?”

Average monthly residential bills will jump to an average of $151 per month in 2023. By 2024, rates rise to a record $161 per month. Rates will rise again in 2026 to an average of $183 per month. By 2030, that number rockets to $216 per month.

On Thursday at Queen’s Park, the Liberal government introduced its “Fair Hydro Act” legislation. Debate is expected to begin Monday afternoon; Pettapiece plans to use the opportunity to voice his constituents’ concerns.

Year                        Average Monthly Residential Bill

2010                       $104

2015                       $136

2016                       $158

2017                       $123

2018                       $126

2019                       $128

2020                       $131

2021                       $133

2022                       $142

2023                       $151

2024                       $161

2026                       $183

2030                       $216

2040                       $225

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