Can you want LRT and also oppose the sale of Hydro One?
One councillor says it's a contradiction to accept one and not the other
Anyone who wants to see light-rail transit (LRT) in Hamilton should think hard before they oppose the privatization of Hydro One, says a west-end councillor and LRT advocate. Because the one is happening — at least in part — because of the other.
Coun. Aidan Johnson says the province has been fairly clear that privatizing a large portion of the utility is providing billions to spend on Ontario transit.
That includes $1.2 billion for LRT and GO service in Hamilton, he said. So if you're in favour of LRT, you should be in favour of the plan to privatize 60 per cent of Hydro One, which will raise about $9 billion for the province.
I'm not trying to be insulting, but really, it's moronic.- Coun. Sam Merulla on supporting the privatization of Hydro One
"Supporters of LRT have a responsibility to be honest about where the money's coming from for LRT," the Ward 1 councillor said.
"If you're opposed to LRT, then it's easy and not a contradiction to oppose privatization also. But if you're accepting the money for LRT, then you have to be honest about where the money is coming from."
- Ontario passes budget, approves partial sale of Hydro One
- Premier pledges $1 billion for Hamilton LRT and expanded GO
Johnson made the comments following a long city council debate Wednesday about whether to formally oppose the privatization of Hydro One. Coun. Sam Merulla introduced the motion, saying electricity is an essential service that shouldn't be privatized. Council voted it down 6-10.
"The nonsense surrounding whoever supports (privatizing Hydro One), I must say — I'm not trying to be insulting — but really, it's moronic," the Ward 4 councillor said.
Electricity is an "essential service that basically should never be in the realm of for-profit targets and endeavours."
Premier Kathleen Wynne has been "very clear" that the province needs to sell some assets to fund investments such as transit, said Coun. Lloyd Ferguson.
I didn't know the $1.2 billion came here on the pretense that we have to sell our hydro. That's all news to me.- Coun. Scott Duvall
"The province, two weeks ago, provided us with a grand total announcement of $1.2 billion," the Ancaster councillor said.
"Then two weeks later, we're going to turn around and kick them in the gut for doing something they have to do?"
Mayor Fred Eisenberger dismissed the idea that privatizing Hydro One has anything to do with LRT. Hamilton's LRT system isn't coming from the Hydro One pot, he said. And the Ontario Energy Board sets electricity rates, so he doesn't think the privatization will lead to rate increases.
Coun. Scott Duvall of Ward 7, however, thinks rates will "go sky high."
"I didn't know the $1.2 billion came here on the pretense that we have to sell our hydro," he said. "That's all news to me."
In this case, privatization is the progressive policy choice.- Coun. Aidan Johnson
Johnson says you can argue that LRT and the sale of Hydro One aren't linked from an accounting perspective, but not from a political one.
But with the many benefits of better transit, it's a fair trade, he said. And he trusts the province's analysis that customers won't be negatively affected.
"In this case, privatization is the progressive policy choice."
Who voted to ask the province to stop the sale of Hydro One:
Jason Farr (Ward 2), Matthew Green (3), Sam Merulla (4), Chad Collins (5), Scott Duvall (7), Judi Partridge (15)
Who was opposed to doing that:
Mayor Fred Eisenberger, Tom Jackson (6), Terry Whitehead (8), Aidan Johnson (1), Doug Conley (9), Maria Pearson (10), Brenda Johnson (11), Arlene VanderBeek (12), Lloyd Ferguson (13), Robert Pasuta (14)