Ontario's renewable energy program needs competition
By paying too much, the Ontario government is encouraging inefficient power production in a way that will give renewable energy a black eye with consumers.
April 3, 2006
by Tom Adams
in The Record.com
Ontario Premier Dalton McGuinty's program to buy electricity from small renewable generators, which was announced March 21 in Cambridge, will sock Ontario consumers with such excessive costs it will make even nuclear power appear cost-effective.
Consumers will be forced to pay 11 cents per kilowatt hour for renewable power that's identical to the renewable power bought by the government last fall for 8.6 cents – a 28-per-cent premium.
The reason for the price gap is competition, or a lack of it. The government's previous procurement processes, which produced a lower cost, reflected competitive bidding. Its new Standard Offer... [continue via Web link]