It seems EPCOR isn’t the most beloved utility service out there, despite the glowing comments the interim CAO made to staff recently. I was given a recording of his hour-long talk (aka sales pitch) for EPCOR and I can only say I hope no one listening fell for it (I’ll review his talk in another post).
Despite his stumbling blandishments, EPCOR’s management style isn’t all that popular. And if you do some searching for unflattering news stories about the corporation, you can find the following online:
Global News had this one on Feb. 2, 2017: Tabor took back their water from EPCOR after a 68% increase in water rates:
Taber Town Council has decided to end its 20-year utilities contract with EPCOR just nine years into the agreement.
EPCOR was under contract to provide Taber with its water and sewage services.
The move to end the working relationship comes after the company proposed to increase utility rates by 68 per cent. All 10 EPCOR employees will now work for the Town of Taber to ease the transition.
Sixty eight per cent increase in water rates in one year! There’s a customer-friendly business model for you. I have no doubt we can expect that sort of increase here once The Block privatizes our water to EPCOR. And yes, it will be privatization, not simply management and a disaster for the town.
Closer to home, Adjala-Tosorontio is also considering outside management for its water and wastewater services. According to a story on Simcoe.Com, dated Feb. 3, 2017,
Two companies, EPCOR and Clearford Water Systems, have submitted bids through a request for proposals (RFP) process to design, build, finance, operate and maintain the system.
In one scenario, where no developer’s contributions are assumed, the wastewater user rate would cost about $2,800 a year if the project was financed by Clearford, or $3,350 a year if it were financed by EPCOR. The figures in the financial analysis were presented in 2019 dollars, which is assumed to be Year 1 of operation for the system. Council said the current rate is a flat charge of $1,313.
A little calculation reveals that under EPCOR’s management, residents’ water rates would go up annually by $2,037! That’s a 155% increase in a single year!
These are just two recent Canadian scenarios, but imagine how YOU, dear reader, will react when The Block sells our water services to EPCOR and YOUR bill jumps by 68% Or worse, 155%! Or more!
And you don’t think it will happen here? Well, read on…