One of the things I am constantly told is that Ontario is making wonderful use of wind and solar power, but no one bothers to mention that
we are paying up to 40 times the cost of traditional power in order to make this happen. Imagine if all of your electricity came from solar power,
where the government is paying up to 80 cents per kilowatt hour, instead of paying about 2 cents for traditional power such as from a waterfall. If
your hydro bill today was $118 per month for only traditional power, switching to using only solar power would raise your bill to about $4,000 a month,
or around $48,000 per year. No one talks about this, yet it is reality. It is why your hydro bill keeps rising dramatically, because every time the
government agrees to add more solar power or more wind power to the hydro system, the enormous cost of that power is blended in to your
per-kilowatt cost of electricity.
The reality is that even today in 2016, for every $100 of electricity you purchase, only $23 is for the electricity - the other $77
is essentially a tax to pay for the enormous cost of subsidizing solar and wind power, which accounts for just a tiny amount of the power we consume. You should be
paying that $23 instead of $100. Why? Because that is what the Americans are paying right now
when they that buy power from us. The government buys solar power at up to
80 cents per kwh, then sells it to the Americans for around 2 cents per kwh, losing about 78 cents for every kwh they sell. Who pays for the 78 cents they lose? You do
your hydro bill.
This is why you are paying so much money. While I am sure that it was not the intent of the government to subsidize Americans living in
condos, this is the effect, because those Americans are paying about 2 cents per kwh for
electric power, the same power you are paying up to 8 times the price for, even though it is coming from the same Ontario power plant on the same day.
And the Americans who buy our power for 2 cents did not pay anything for building the power plant it comes from - you
paid for it through lots of different taxes.
Every month I also get some piece of paper that tells me I should conserve electricity
. The assumption is that if I cut back on my use
of power, then I am being a good citizen and at the same time reducing my expenses. The reality is that it does not
matter how much electricity you conserve. If a large number of people start conserving electricity, then the per-kilowatt cost of electricity
on your bill will go up to make up the difference so that your hydro bill will stay the same. This is because many producers of power are paid
by the amount of electricity they produce, not for the electricity we consume. So if you cut your electric consumption in half, then your per-kilowatt cost over time will double
so that you pay the same amount as you did before. This is what the government has agreed to through a formula called the Global Adjustment Fee
Electricity, like food, is a staple of life. Many people like me live in a condo or rental unit where all heat is derived from an
electric heating system and all water must be pumped to the floor we
live on. Pumping water to the 50th floor of a building takes a lot of electrical energy, and so
does heating your apartment with a heat pump. The electricity we use is not optional. It
is necessary and mandatory so that we don't freeze to death or die from dehydration. No one can argue that heat and water
are necessities of life.
Yet, in Ontario, some governments have the attitude that using electricity is somehow a luxury that you should conserve and make sacrifices for, even
though any conserved power likely just goes to America at fire sale prices. While I am all for
the benefits of solar and wind power, creating enormous expenses by signing 30 year deals where you agree to pay up to forty times the going price for a readily
available commodity like electricity shows a level of governance that every person paying for electricity should seriously question.
For further reading, please see this article on Global News
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