The Written Word: April 15, 2008
By Rafe Mair
British Columbians should be horrified at the Run of River projects proposed by the Campbell government. I’ll leave aside the environmental concerns – which are massive – and just deal with the issue of private power.
The Campbell government is dedicated to privatizing whatever we own. This must be a philosophical thing because it sure as hell doesn’t make any sense from any other angle.
There is a “conservative” view that government monopolies are always wrong. This is nonsense.
Power is something which, by its very nature, belongs in the public sector for three reasons – there is an inevitable environmental price to pay for development of power, profits from public power are used by the government to permit things like schools and hospitals to be built, and power is a source of overall industrial development policy.
Let’s look at these private energy plants. One thing they don’t do is compete with one another in an open marketplace. In fact they are given a fixed price for their electricity which price is set in the Cabinet Room by the premier. No slugging it out for these guys – they get guaranteed immense profits without any need whatsoever to compete.
Under the public power system set up by W.A.C. Bennett, BC Hydro is usually in a position to pay handsome dividends to the public purse to help with public spending, Those dividends, therefore, are paid to you and me.
Private companies send their profits to shareholders of huge multinational companies. Not a penny comes back to you and me.
Public power or private power is not just a philosophical question but in a very real sense asks if we should control our own energy or, in effect, ship it with the environment along with it to foreign shareholders
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