OEA Questions Ontario Budget


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The recent Ontario Budget contains some good news for the energy industry, including additional tax rebates for alternative and renewable power, a transfer tax exemption to encourage consolidation among public distribution companies. In particular, the OEA applauds the decision to extend tax benefits to self-generation projects to create a level playing field with new merchant generation; these projects can deliver efficiency benefits, cost savings and environmental improvements.

The tax exemption on transfers of assets among Local Distribution Companies will encourage rationalization in the public sector, but the decision to shut out private investors is disappointing. "The energy measures in the budget are positive," said Peter Budd, Chair of the OEA. "The government and the industry must now focus on creating the conditions for progress toward a fully competitive market." Bernard Jones, President and Chief Executive Officer of the OEA, added, "We must put place more predictable and efficient regulation under an independent regulator. Market competition in electricity and fair and reasonable regulation of both natural gas and electricity utilities and marketers will make it feasible to restore customer choice in Ontario, which ultimately is the key to balancing demand and supply at reasonable prices." The Ontario Energy Association's mission is to proactively foster a business environment conducive to a prosperous and sustainable energy industry. We represent the companies that do business in Ontario's energy industry, serving homes, farms and businesses across the Province.

"The energy measures in the budget are positive," said Peter Budd, Chair of the OEA. "The government and the industry must now focus on creating the conditions for progress toward a fully competitive market."

Bernard Jones, President and Chief Executive Officer of the OEA, added, "We must put place more predictable and efficient regulation under an independent regulator. Market competition in electricity and fair and reasonable regulation of both natural gas and electricity utilities and marketers will make it feasible to restore customer choice in Ontario, which ultimately is the key to balancing demand and supply at reasonable prices."

The Ontario Energy Association's mission is to proactively foster a business environment conducive to a prosperous and sustainable energy industry. We represent the companies that do business in Ontario's energy industry, serving homes, farms and businesses across the Province.

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