Collingwood council and its administration are planning to privatize both our water and electricity utilities. All, of course, without consulting you, the public. Some members of council have even stated – with a straight face, mind you – they would ask for your input at a later date. A date long after it’s too late for public input to matter, of course.
They have already engaged in negotiations with outside companies to take over our utilities, all the while pretending they were just “kicking the tires.” They appointed their lawyer to oversee the sale. Consultants made reports painting the existing situation with faux negativity, from early 2015.
In 2012, the former council determined (after considerable public discussion and public consultation) to sell only 50% of its share in the electrical utility, not 100%, and not water, because that would mean a loss of control over services and rates, loss of accountability and openness, plus additional liabilities. This council is determined to give away those controls, reduce accountability and transparency. It will cost taxpayer millions. And they’re doing it all in secrecy.
“I will assure you, no decisions have been made, we are just exploring our options with any interested parties,” Councillor Madigan said last July – facetiously I assume, because by that time, more than 18 months of in camera discussions had been held. Surely he was awake through at least one of them.
Council has acted in bad faith and conned the public about this ever since it took office. No one expects them to be honest or open about it now. Their plan was made evident in 2015 when The Block fired the existing water utility board (a group of talented professionals with considerable experience in water) in violation of the town’s procedural bylaw, and replaced them with five members of their own group – none of whom have any experience in water or wastewater (and none of whom have any talent). That signalled their intentions.
A recent request for proposals (RFPs) for the sale of the town’s share of the electrical utility was sent to utility corps – including, people in the industry lead me to believe, EPCOR, in Alberta. These RFPs belie that pretense that this is just “kicking the tires.” It’s always been a full-blown conspiracy to privatize our utilities. You don’t send out RFPs to corporations just to see if they’re interested. You do it because you intend to sell. Once started, the process is irrevocable. And inevitably expensive.*
But electricity is only part of the plan. All along it’s been a bigger picture: to sell both electricity and water/wastewater services. And let the taxpayer pay for the fallout. As Food and Water Watch documented (in the USA):
Investor owned utilities typically charge 59 percent more for water service than local government utilities. Food & Water Watch compiled the water rates of the 500 largest community water systems in the country and found that private, for-profit companies charged households an average of $501 a year for 60,000 gallons of water — $185 more than what local governments charged for the same amount of water. Investor owned utilities typically charge 63 percent more for sewer service than local government utilities. Food & Water Watch compiled sewer rates survey data from dozens of states and found that private ownership increased sewer bills by 7 percent in West Virginia to 154 percent in Texas.