Hamilton, Ontario, December 14, 2016: Today, the Hamilton Chamber of Commerce in partnership with the Ontario Chamber of Commerce (OCC) is calling on the provincial government to take bold steps to address the affordability challenge of energy pricing Hamilton.

In its submission on the Long-Term Energy Plan (LTEP), the organization is calling on the provincial government to ensure that future policies regarding energy pricing are affordable, transparent and flexible. One of the submission’s top recommendations includes a call for the adoption of a capacity market system.

It is clear that Ontario is becoming one of the most expensive jurisdictions, where between 2006 and 2015, the total cost of the electricity service in the province grew by 32 percent. Additionally, since 2004, electricity prices have increased dramatically by 383 percent, from a flat rate of 4.7 cents a kilowatt hour (Kwh) to 18 cents a Kwh at peak times. The OCC and the business community at large consider energy to be one of their biggest concerns, consistently undermining their capacity to grow, hire new workers, and ultimately remain competitive globally.

The OCC and the business community at large consider energy to be one of their biggest concerns, consistently undermining their capacity to grow, hire new workers, and ultimately remain competitive globally.

“The Province of Ontario has landed in a tough and unsustainable spot in its planning process regarding the future energy needs of the province. In order for businesses in Hamilton to grow and succeed, it is imperative that future energy policies respect the concerns of businesses and are redesigned with the right market conditions and investments,” said Keanin Loomis, President & CEO, Hamilton Chamber of Commerce

Ontario’s energy system would benefit from the implementation of a capacity market. Under this structure, there would be significant cost-savings for Ontario’s energy consumers through procuring shorter term supply on a cost efficient basis. For a capacity market to be successful in Ontario, the system would feature an auction style process where resources, such as generation facilities, imported resources, electricity storage and demand-side resources, are compensated for the potential energy they could produce.

“As the provincial government seeks to find solutions to the province’s energy challenges, Ontario must strive to balance objectives regarding climate change, renewable resources and maintaining a diverse supply mix without forfeiting the competitiveness and transparency of the capacity market system,” added Allan O’Dette, President and CEO of the OCC. “This will result in increased accountability and confidence in the energy market for Ontario businesses.”

While the Ontario government can be commended for steps towards making the province such as being a world leader in renewable energy resources, the status quo is presently unsustainable for ratepayers.

CLICK HERE to read our full report: Leading the Charge: Submission for Ontario’s 2017 Long-Term Energy Plan.

-30-

For more information please contact:

Huzaifa Saeed | Policy & Research Analyst | Hamilton Chamber of Commerce | 905-522-1511 ext: 230 | e: h.saeed@hamiltonchamber.ca

• Share on Facebook
• Share on Twitter
• Share on LinkedIn