Energy minister dodges questions about cost of cancelling green contracts

Thestar.com
July 16, 2018
Rob Ferguson

Energy Minister Greg Rickford is refusing to say how much it will cost taxpayers to cancel 758 renewable energy contracts in an effort to save $790 million, as opposition parties accuse him of leaving Ontarians in the dark.

“It’s still money out the door. The people deserve to know that,” said Green Party Leader Mike Schreiner. “It’s very disturbing.”

Energy Minister Greg Rickford, right, shown with Environment Minister Rod Phillips, will not say how much it will cost taxpayers for the Ontario government to cancel 758 renewable energy contracts.
Energy Minister Greg Rickford, right, shown with Environment Minister Rod Phillips, will not say how much it will cost taxpayers for the Ontario government to cancel 758 renewable energy contracts.  (RANDY RISLING / TORONTO STAR FILE PHOTO)

Rickford, a former federal cabinet minister defeated in the 2015 Trudeau sweep before making a provincial comeback under Ford, said Monday that critics should focus on the money that will be left in taxpayers’ pockets by axing the unnecessary projects across the province, which has a surplus of electricity.

Legislation will be introduced to ensure cancellation costs “are as low as they can be,” he added. “There will be some and we’ve put them in the perspective of how much we’re actually saving. And $790 million from where I come from is a lot of money.”

It’s believed the legislation will bar lawsuits.

But Rickford (Kenora-Rainy River) repeatedly evaded questions on the total costs after the new government faced its first question period in the Legislature, walking away from reporters who chased him down two flights of stairs to the lobby.

“We’ll get back to you,” an aide said as she tried to stop the flow of questions about the projects, which the government says have not yet reached “development milestones.”

Rickford announced the cancellations Friday afternoon in a news release with few details.

Rivals are using the cancellations to rekindle memories of the previous Liberal government’s gas plants scandal, where power stations slated for Oakville and Mississauga were scrapped before the 2011 election, with costs initially billed in the tens of millions. The auditor general later concluded the controversial moves could cost up to $1.1 billion over 20 years.

New Democrat MPP Peter Tabuns said the government is “forcing unknown costs” of scrapping the projects onto their proponents, which include small towns and First Nations communities.

“Why won’t the premier review these contracts in a transparent process that is based on evidence and the public interest?” he asked.

Schreiner said the governing party--which in opposition hounded the Liberal government over gas plants costs--is also mum on details about the purported $790 million in savings.

“Is that over a year? Is that over 10 years? Is that over 20 years? They haven’t been very clear on that,” Schreiner said.

The government will table separate legislation to axe the White Pines wind turbine project on Lake Ontario south of Belleville, and has promised similar legislation to limit the province’s liability. Proponents have said they are owed about $100 million.

Meanwhile, Transportation Minister John Yakabuski said the government is sticking to its plan to end taxpayer subsidies for electric and hybrid cars despite complaints from motorists who have paid deposits on Tesla models that won’t be delivered until after the deadline.

The incentives of up to $14,000 will still be paid on eligible vehicles that have been delivered to buyers, registered and plated by July 11.

For motorists who agreed to buy vehicles on dealer lots or ordered vehicles before July 11, the subsidies will be paid only if the cars are delivered, registered and plated by Sept. 10.

“We extended it to Sept. 10 so that people would have an ample amount of time,” Yakabuski told the Star.

“Tesla does not have a dealer network. They deal directly with the consumer and our intention in extending it for the other models was to protect the dealer networks that provide jobs and work for people here in Ontario.”

As first reported by the Star on June 20, the subsidies were cancelled because they were funded by the previous Liberal government’s cap-and-trade program to fight climate change, which the Ford administration is cancelling.

While Environment Minister Rod Phillips said Monday the government will come up with its own plan to fight climate change that does not put an onerous burden on the economy, Interim Liberal Leader John Fraser said that’s not good enough.

“There is no plan and that’s very concerning,” he said. “I think most Ontarians expect their government to have a plan for climate change. This government does not.”