New Economy Costs 10% More than Old Economy

Canada is forging ahead in the race to build a new green sustainable economy. And they’re paying for it:

Hydro One is seeking permission from the Ontario Energy Board to raise the delivery portion of hydro bills in Ontario by 9.5% in 2010 and 13.3% in 2011, in an attempt to raise over 250 million dollars to cover increased distribution costs. Much of that cost is tied to its Green Energy Plan for 2010-2014.

This is in stark contrast to Minister Smitherman’s statement on February 23rd 2009, “We anticipate that associated with the investments that I’m speaking about today, [the increase will be] approximately one per cent per year.” – George Smitherman, Minister of Energy and Infrastructure discussing the financial impacts of the GREEN ENERGY ACT.

“This massive increase just deals with the increased cost of delivering wind factory produced energy. We aren’t even dealing with the increased cost of promising wind developers’ a price for their power which is three to five times higher than the current retail cost.” commented John Laforet, President of Wind Concerns Ontario….

Remember, an investment pays an income and will eventually repay the principal, too. An expense is not expected to yield any more than what is bought. Waste is money spent for nothing.

And what do we call an investment which yields nothing, consumes the principal, and requires further wasteful spending? The new economy.