Tim Hudak wants to buy you a coffee May 10, 2011Posted by Maury Markowitz in FIT program, power grid.
Tags: FIT, solar power
When the Green Energy Act first came out I wasn’t exactly a big fan. But once I had smarter people educate me (the world’s most beautiful supermodels, naturally), the brilliance of the plan became more obvious. If, and I’ll admit it’s a big if, the plan creates even a few thousand jobs, then it’s pretty much revenue neutral. And if we get any export business out of it? Ontario for the win!
But in spite of these potential benefits, one has to admit that it’s a hard sell – not hard so much as confusing. In this era of the twitterverse, that’s pretty much death. What will happen is that your enemies will latch onto the shortest, easiest to spit out “problem” and harp endlessly on that point.
So, consider the latest elections. As the Globe and Mail notes, “Tim Hudak vows to scrap lucrative green-energy deals in Ontario”
Why, you ask? Because “The Tories would end the McGuinty government’s “expensive and unsustainable” so-called Feed-In Tariff or FIT programs and its “sweetheart” Samsung deal if they win the election next October, Mr. Hudak pledged.”
Ahh, the sweetheart deal… the one in which “Samsung will receive $437-million in incentive payments over the 25-year life of the deal if it fulfills its obligation to create 16,000 jobs.”
Wait, wait wait… let’s do the math. 16,000 jobs, at say $50,000 average salary, and maybe 15% tax rate that goes to Ontario coffers is $120 million year. And how much will this cost the Ontario taxpayer, directly? $21 million a year. Oh boy, better kill that program, quick!
How much is that $21 million? $1.60 on your hydro bill. A YEAR. $1.60 a year. Hudak wants to cancel the program to make Ontario the greenest province in Canada to save you one medium double double. Go team Hudack!
“Mr. Duguid told reporters he does not know how much in penalties the province would have to pay the consortium if it were to walk away from the deal.”
I know it’s ancient history, 15 years ago or so, but does anyone remember the EH-101 helicopter deal? You know, that one where we scrapped the sweetheart deal we signed to get a bunch of helicopters to replace the ones that were falling out of the sky? The one where we waited another decade, only to end up having to buy a different model of the same helicopter? Sound familiar?
I’ll take my coffee coal-fired, thanks!