Peterborough Distribution sold to Hydro One for $105 million.
PETERBOROUGH -
The City of Peterborough said Wednesday it has agreed to sell Peterborough Distribution Inc. to Hydro One for $105 million.
The deal requires the approval of the Ontario Energy Board.
According to the city, the deal includes a one per cent distribution rate reduction and a five-year freeze in distribution rates for customers, plus:
- A second five-year period with distribution rate increases limited to inflation and an earnings sharing mechanism to offset rates in year 11 and onward
- Protections for PDI employees with employees receiving employment offers to move to Hydro One
- A sale price of $105 million
- An agreement to develop a regional operations centre and new fleet maintenance facility in Peterborough
“Hydro One was unique in its ability to offer new investment and job creation in our community through the addition of a new operations centre to serve customers throughout the broader region,” Mayor Daryl Bennett said.
“We’re surrounded by Hydro One territory — in fact, we already have Hydro One customers within the City of Peterborough and new subdivisions will be in Hydro One territory. Hydro One will be able to create efficiencies by better utilizing its existing infrastructure, benefiting customers and supporting growth.”
The sale comes after months of negotiations. At one point, it looked like the sale wouldn’t go through, after it was announced that Hydro One had walked away from the bargaining table.
City council approved the sale of PDI in December 2016, despite a strong public opposition.
Related News
Hydro-Quebec adopts a corporate structure designed to optimize the energy transition
MONTREAL - As Hydro-Québec prepares to play a key role in the transition to a low-carbon economy, the complexity of the work to be done in the coming decade requires that it develop a global vision of its operations and assets, from the drop of water entering its turbines to the behind-the-meter technologies marketed by its subsidiary Hilo. This has prompted the company to implement a new corporate structure that will maximize cooperation and agility, making it possible to bring about the energy transition efficiently with a view to supporting the realization of Quebecers’ collective aspirations.
Toward a single, unified Hydro
Hydro-Québec’s…
