Tuesday, June 12, 2012 6:32:01 ED
TORONTO
Ontario wants to use its surplus power to lure new businesses to the province.
“We’ve got it so why not use it?” Energy Minister Chris Bentley said Tuesday.
“We would normally export almost all of that extra at positive prices, but instead of exporting it we are using the extra and making it available to Ontario businesses that either want to create new or expand their employment.”
Starting in 2013, businesses that invest at least $250 million in Ontario would be eligible to get power for as little as $55 a megawatt — up to 60% less than the average industrial price in southern Ontario.
For Northern Ontario businesses — which already get a cut rate — the program would offer a chance to lock in the low price for a long-term contract, Bentley said, noting the power-intensive mining and smelting operation planned for the remote Ring of Fire are northeast of Thunder Bay is a prime candidate.
The incentive plan won’t cost existing businesses and consumers anything, Bentley added, as it requires no new generation to be built and will rely on the surplus power the province has been producing since the economic downturn in 2008.
Right now Ontario has about 10 terrawatts of excess power. About half of that amount would be made available through the incentive plan, he said.
Ontario is being forced to give cheap power to industry because the province is committed to building expensive and unnecessary nuclear plants, New Democratic Party MPP Peter Tabuns said.
“He has to stop overbuilding, he has to slow down, he has to put a moratorium on nuclear new builds he’s thinking about,” Tabuns said.
Progressive Conservative energy critic Vic Fedeli said it’s not nuclear but green power that’s forcing Ontario energy rates up — even though only 4.4% of electricity is generated from wind power right now.
