Working without a Net

WORKING WITHOUT A NET

“They seem particularly averse to calculating NET, they are strangers to honest and complete cost/benefit assessments so “sophisticated analysis” is not this government’s strong point.”

This time last year, in a report to the Financial Post, Bruce Sharp, http://opinion.financialpost.com/2012/10/10/the-733-million-gas-boondoggle/ asserted that additional costs in the Liberal boondoggle would exceed $733-million, falling neatly within the $675 to $810 million range projected by Ontario’s new Auditor Bonnie Lysyk. Her total tally of costs to the citizens of Ontario for the Liberal’s gas plant politics in Oakville and Mississauga is several orders of magnitude greater than the 40 million sworn to by the now departed Premier McGuinty. Apparently in cancelling the Oakville plant the government had the legally recommended option of allowing the contract to fail on its own or throwing a billion dollars at it.

The coverup of this scandalous waste of money was doomed from the start because there are still some with basic math skills in this Province. Bruce Sharp was one of many whose industry knowledge informed their own calculations, which he elaborated upon in this boondoggle exposé:

“The Net Revenue Requirement is the key parameter that determines monthly payments made by the OPA to natural gas-fired generators. The Turbine Payment of $210-million suggests the government likely erred in this part of the negotiation by looking at it from the wrong perspective. In reality, the Turbine Payment is far too high – something that would have been obvious had the government introduced a modicum of sophisticated analysis into the negotiation process.”

They seem particularly averse to calculating NET, they are strangers to honest and complete cost/benefit assessments; “sophisticated analysis” is not this government’s strong point. Among the eminently foreseeable consequences of the “Green” Energy/Economy Act was the higher electricity costs, outright bungling apart, this was or should have been a “known”.

Parker Gallant wrote that Energy Minister Chiarelli recently bragged about the reputed $35 billion in new investment attracted to the Province by the Green Energy and Green Economy Act and the 31,000 jobs that it supposedly created. Those 31,000 jobs (most are relatively short term construction jobs) will cost the ratepayers of the Province over $3 million each.

Our previous Auditor General Jim McCarter served the public well when he showed the government the NET loss of jobs resulting from “green” jobs created through heavily subsidized industries. Sadly, despite manufacturing fleeing the escalating electricity rates, the lesson was lost on the Liberal/NDP “Green” Energy alliance. Jobs numbers were invented, inflated and mythologized by a gullible or complicit media.

The 20 year excessively high fixed costs for unreliable generators such as wind and solar means “conservation” has the public pay more for less, the only way to reward conservation is to rob many a Peter to pay Paul. The NET result is social disruption and “energy poverty” will increase.

The Registered Nursesʼ Association of Ontario (they are the “third party intervenor for the wind industry lobby) and Working for Change hosted a Sept 24 event called “Investing in a poverty-free Ontario: A community-led consultation.” at Toronto’s Metro Hall.

Ministry of Children and Youth Services, Poverty Reduction Strategy Team sent, in response to a query as to whether there had been a proper cost/benefit analysis for their program and if there had there had been an audit by the Auditor General, a link to the 2012 Poverty Reduction Strategy update http://www.children.gov.on.ca/htdocs/English/documents/breakingthecycle/2012AnnualReport.pdf – and the 2013 Ontario budget – http://www.fin.gov.on.ca/en/budget/ontariobudgets/2013/papers_all.pdf.

The statement, “The Strategy and progress reports go through the same vigorous analysis that is applied to all policy and program decisions.” and the fact that the section of their update entitled “Recession and Low Income Trends” makes no mention of the potential for energy induced poverty was not at all reassuring.

We have had public money spent on schooling for what amounts to an education to suit an alternate reality based on such myths. A recent government announcement stated:

Ontario has launched a new plan that will help social enterprises start and grow their businesses while supporting the creation of 1,600 new jobs in the sector.

Impact – A Social Enterprise Strategy for Ontario

Ministry of Training, Colleges and Transportation
The ministry launched a new mental health help line for college and university students as part of its Mental Health and Addictions Strategy. College and university students with concerns about student life, health or mental well-being can now call Good2Talk, a Province-wide service that operates 24 hours a day, 365 days a year. This investment is part of the $257 million Mental Health and Addictions Strategy announced in the 2011 Ontario budget. The full release is available online.

Meanwhile Ontario’s rural residents, deprived of local Democracy, the basic human right to sleep and the Constitutional right to peaceable enjoyment of property are living in a crazy-making reality of forced proximity to industrial wind projects.

Memo to our new Auditor General: Please Ms Lysyk, It is URGENT you calculate whether there is a NET societal benefit from “Green” Energy because this government won’t!

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About lsarc

LSarc is grassroots protection of Lake Superior through citizen science and volunteerism.  If you are interested in preserving intact ecosystems and restoring biological integrity of the Lake Superior watershed using the scientific method to test hypotheses and research, then you are LSarc LSarc is proud to be a member of the John Muir Trust and the 60th member organization of Wind Concerns Ontario
This entry was posted in HOEP, Ontario Auditor General, Ontario Debt, Ontario Electricity Sector, Ontario Green Energy Act, Ontario Politics, Renewable Energy, Subsidies, Wind Power and tagged , , , , . Bookmark the permalink.

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