Following the release of the Auditor General’s report on Dec. 9, MPP Tim Hudak is, once again, calling for an end to expensive wind energy projects throughout the province.
Hudak explains the report highlights how highly subsidized green energy projects, are driving up the energy bills of Ontario residents, and says it is yet another reason to kill the Green Energy Act and put a stop to the further development of industrial wind farm projects.
The Auditor General’s report points out that the Global Adjustment charge on provincial hydro bills accounts for 70 per cent of electricity rates while the real cost of electricity accounts for only 30 per cent of those rates. Global Adjustment is the difference between market price for electricity and the rates paid by the government to contracted energy providers.
In Niagara West Glanbrook the wind turbine corporations building unwanted and unnecessary wind turbines are guaranteed to receive a price for the energy they produce that is significantly higher than the true market cost of that electricity.
“Basically, Ontarians are being gouged on their hydro bill so large and politically well-connected wind turbine companies can be guaranteed huge profits,” says Hudak. “Every homeowner in Ontario has paid $1,000 per year above and beyond their actual hydro costs to cover the Global Adjustment. That’s $10,000 in additional costs,” added Hudak.
Hudak went on to note that higher hydro prices mean fewer jobs for Ontarians, especially in the manufacturing sector, as business owners struggle with increasing energy costs.
The report also notes that from 2006 to 2013 the Global Adjustment charge increased almost 1,200 per cent while the average market price of electricity actually dropped 46 per cent.
“That is ludicrous,” said Hudak of the fact the cost of producing electricity has actually gone down but hydro bills continue to go up. “At that rate the government will never bring the cost of hydro under control and Ontario families will forever be struggling to keep the lights on.”
Referring to a newly approved project in NWG for 77 more wind turbines, Hudak pointed out that as more new projects come online, and get paid that guaranteed hydro rate, The Global Adjustment will continue to grow and hydro bills will continue to become a burden.