Hydro-Québec’s purchase of NB Power raises serious concerns

This is not a municipal issue but it grabbed my attention as it highlights problems with governance in Canada. Are we a country, or just a bunch of provinces looking after their own interests?

This week news emerged about a deal between Québec and New Brunswick (Hydro-Québec buys NB Power, Ottawa Citizen, October 30, 2009). Québec Premier Jean Charest announced this $4.7 billion deal with New Brunswick for Hydro-Québec to take over most of NB Power’s assets as a move to get greater access to energy-hungry markets in the United States. Charest stated “We see in front of us a unique opportunity with what is happening in the United States. The Americans need clean renewable energy and they need lots of it. And guess what? We in Canada are the ones who can supply it.”

Well guess what else Premier Charest: other Canadian provinces need more clean renewable energy too! In particular Ontario is planning to spend a fortune in the coming years, so that it can shut down its coal fired generation plants. Controversially, in addition to exploiting new power generation from renewable sources, it also plans on spending a fortune for power from nuclear plants.

So why not consider doing a deal with Ontario before exporting all this clean energy? Free trade issues aside, Canada needs to cut back on pollution and the money Ontario could save by minimizing investment in new power generation could help get the province and the country out of deficit. Surely this huge hydro-electric energy resource should be used to maximize benefit to Canadians before reserves are sold to the U.S.