Make NB Power sale an election issue, NDP says
Published Thursday November 5th, 2009
New Brunswick NDP Leader Roger Duguay is calling for a delay in the deal to sell NB Power to Hydro-Quebec until after the next provincial election, scheduled for the fall of 2010.
"We should put a moratorium on that," he told The Daily Gleaner on Wednesday. "We should do the 2010 election on that issue."
"It is too important for the economic and social future of our province to take the decision as fast as they are doing right now."
Last week, Premier Shawn Graham signed a memorandum of understanding with Quebec Premier Jean Charest to sell most NB Power's assets to Hydro-Quebec next march as part of a deal worth almost $10-billion.
There have been public calls for a referendum on the deal, but Duguay said that isn't what the NDP advocates.
"We don't want an election now," he said.
"We have fixed dates for the election. We should respect that decision to have fixed elections."
The next provincial election is scheduled for Sept. 27.
Duguay said he believes that the NB Power sale is as powerful an election issue as auto insurance rates were in 2003.
New Brunswickers won't have enough time to review the deal by March, which is when the government wants to sign the deal, he said.
"We oppose the deal," said Duguay. "We should keep NB Power. In the long term we are going to lose (if NB power is sold)."
It's vital for New Brunswick to control the utility for future economic development, or the electricity rate here will be decided by Hydro-Quebec, he said.
The deal calls for a five-year freeze on the residential rate in New Brunswick, but in the long run New Brunswickers will end up repaying those savings, said Duguay.
The NDP leader said NB Power could manage its $4.75-billion debt, but the management at the utility has to be replaced.
"At NB Power, we need to make a clean sweep," he said. "Mr. Graham is panicking about the debt."
He also said the way the government is trying to do the deal shows a lack of respect for the people of New Brunswick.
Duguay said NB Power president David Hay was in Saint John three weeks ago saying everything at the utility was fine and there was a surplus.
"It is a contradiction," he said.
Duguay said he's opposed to selling NB Power no matter how much the province gets from Hydro-Quebec.
The official Opposition is also calling for the NB Power deal to be suspended until after the next election.
But Energy Minister Jack Keir said Wednesday the power deal can't be delayed even for a few months.
"You don't think that I rather would have done this after the next election?" he said. "The fact of the matter is when you have a deal in place like this, there is a window of opportunity.
"You either grab onto that and run with that knowing, knowing what the benefits will be for New Brunswickers or you let the opportunity pass."
Keir said he has thought a lot about the deal and whether it's good for New Brunswick and he won't let the opportunity go by.
Despite being asked several times, the energy minister didn't explain why the window of opportunity to sell NB Power would close by March 31 and not Sept. 27.
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"Oh, people are too stupid to understand the economy...we'll have to do that for them."
"Oh, its too complicated to explain foreign policy to people, just trust us when we go to war"
Your post is a bit scary.
Mr. Hoyt, like you, I do hope that people become educated on this, so rather than throwing around idle threats, why don't you tell us why this is a bad deal? Right now, the way I see it, NB Power's debts are greater than its assets and that to me is not a valuable resource. Give me facts Mr. Hoyt, not hollow rhetoric. Can the PCs tell us why this deal is bad.
There would be less debt, but with the way Graham throws money at Atcon and highway construction, that debt will be added back up with no assets to back it up. Nova Scotia is still paying on almost 2 billion it still owes for its utility it sold in 1992-that has NO assets. Those are 'the facts'.
Irving employs over 10,000 people in NB, not 300.
How many manufacturing businesses have either closed or required government handouts here in NB? I can think of quite a few. Lower operating costs would definitely have helped.
We COULD pay more than 3%? We WILL be paying over 15% more if the deal doesn't go through. Over the next 4 years, NBP wants a 12.5% rate increase (3%/year) and HQ has asked for a 6.7% increase for the same time period in Quebec. With no deal, our rates will be 80% higher than Quebec's at the end of four years. HQ will be investing $25 billion in hydro and wind power generation while we're still running coal plants.
With less debt, Graham will, as you say, 'throw money' at highway construction (please do!), as well as hospitals, doctors, teachers, low income assistance plans, new businesses, etc. We wouldn't want any of that, would we?
Your Nova Scotia argument is irrelevant; apples and oranges.
Those are 'the facts'.