SoVote

Decentralized Democracy

Peter Tabuns

  • MPP
  • Member of Provincial Parliament
  • Toronto—Danforth
  • New Democratic Party of Ontario
  • Ontario
  • 923 Danforth Ave. Toronto, ON M4J 1L8 tabunsp-co@ndp.on.ca
  • tel: 416-461-0223
  • fax: 416-461-9542
  • tabunsp-qp@ndp.on.ca

  • Government Page

No, I thought the point was really good, that he was endorsing it, that it worked and it worked well. I think that’s what we need for people across Ontario, something that works well that they can afford.

Interjection.

He wants to keep heating costs down. Well, look at the evidence. The evidence is that to keep heating costs down, you go to electric heat pumps. The technology is changing rapidly.

One thing that people should be aware of is that in the United States, the Inflation Reduction Act that’s in place now is investing heavily in advancing the technology for heat pumps so that heat pumps that already are quite functional at minus 30 will be even more efficient, more effective in the years to come. Places like Norway—Norway, people know about it, near the Arctic Circle—60% of the households have heat pumps. That’s how they heat themselves—60%. Finland, pretty close, around 50%. Sweden I don’t have the number for, but my guess is it’s in that range. They seem to be able to function, and they’re up by the Arctic Circle. If you want to be practical about cost, if you want to be practical about a system that gives you a more predictable kind of heat or energy basis or security, go to heat pumps.

He was talking about how this decision would discourage developers from using cost-effective and efficient gas. Well, frankly, it would encourage them to use cost-effective and efficient heat pumps. They’re going to put in an electricity line anyway; let’s face it. So if you’re putting in an electricity line, don’t worry about the gas, unless you’ve got a customer who really wants gas. Then you can offer it to them. It isn’t barred by anyone. If Enbridge believes what it says in its filings, in its claims, it’s certainly happy to invest in it. They can do that. They don’t have to come to us, the other gas customers, to pay for it.

Also, the pragmatic approach of the government to energy: Interestingly, the Electricity Distributors Association and the Royal Bank of Canada, who are not noted, again, as particularly radical organizations, both said that when it came to dealing with the immediate crunch in Ontario for meeting demand, it was far more cost-effective and far faster to invest in conservation and efficiency—both of them—and not just faster and more effective, but substantially cheaper. This government has totally ignored that advice. The Independent Electricity System Operator has said numerous times that energy efficiency is cost-effective. It is a great deal. That minister is ignoring the electricity distributors who, frankly, know a fair amount about electricity in this province, and the Royal Bank of Canada, that has an interest in this matter. His own organization, the IESO, has talked about the value of conservation and efficiency in terms of low cost and the ability to deliver quickly the sorts of reduction in demand so that we don’t have any power shortage. So I can’t say that his approach is really that pragmatic.

And just briefly about difficulties in both Alberta and Texas for failure of electricity systems in deep cold: In the most recent problem in Alberta, two gas plants went off-line in the middle of that crunch—two gas plants. They couldn’t be depended on. And in storm Uri in Texas, when they had those blackouts, again, it was the gas system that couldn’t handle the cold. The pumps for the gas systems were frozen. So in both cases we’re talking about problems with the gas infrastructure; that was the biggest issue.

I’m going to wrap up, Speaker. Don’t forget; this is really plain: The government wants you to pay more on your gas bill. It wants to raise your gas bill. It wants to ensure that Enbridge has higher profits. It wants to take money out of your pocket to the tune of 300 bucks over the next four years. Everything else is just smoke. All the other arguments are strange-looking scenery and don’t bear on the guts of it. This government wants to raise your gas bill. That’s it.

The OEB didn’t say, “No. You can’t put your money in and supply people with that 40-year loan.” Go ahead—no sweat. But you can’t take it from the existing gas customers. They are tapped out. So I say to you right now, your government should go to Enbridge and say, “Look, you’ve got big pockets. You put the money out. You try and collect it over 40 years.” Because 25 or 30 years from now, that system will have shrunk dramatically, and whoever is left holding the bag is going to have very big expenses, and I think Enbridge knows that.

830 words
  • Hear!
  • Rabble!
  • star_border

As my colleague expressed, it’s shocking, the thought that a multinational corporation that makes huge amounts of money by squeezing cash out of homeowners and tenants might mislead people. I know it’s incomprehensible to many here but, in fact, it could well be true.

The National Observer reports, “Enbridge has a new fight on its hands as Competition Bureau Canada officially launches an investigation against the gas giant over allegations the company is misleading customers about the role of gas in the energy transition.

“Specifically, Enbridge has promoted new gas hookups as the cheapest way for Ontarians to heat their homes, while branding natural gas as ‘low carbon’ and ‘clean energy.’”

That’s being challenged by the environmental organization Environmental Defence.

The National Observer reports, “‘Enbridge’s dishonest marketing is duping people into’” installing new gas hookups and spending thousands of dollars on new gas furnaces and other appliances, “‘falsely claiming it’s cheaper than heating with electricity, which is just not true,’ said Environmental Defence program director Keith Brooks in a statement.” It’s good that the Competition Bureau has agreed to investigate Enbridge.

“The complaint filed by Environmental Defence, Ontario Clean Air Alliance, the Canadian Association of Physicians for the Environment and a group of Ontario residents” in September, “accuses Enbridge of falsely claiming gas is the most cost-effective way to heat homes. Enbridge has made this claim online and in communities it has pegged for expansion in an attempt to increase its customer base.”

Environmental Defence summarized the situation this way: “Enbridge is misleading consumers into connecting to its gas system using false and misleading representations.... Enbridge is telling potential customers that gas is the most cost-effective way to heat their homes and suggesting”—and this I find totally entertaining—“that it is ‘clean energy’ and ‘low carbon.’ None of these representations are true.” That lack of honesty about what’s real and not real when it comes to home heating is something that people should keep in mind.

But the other issue—and this is a big one because, as the minister has said, we’re moving away from gas heating in our homes: People get caught paying as gas heating fades away. People are increasingly deciding to save money and protect the climate by switching from gas to electric heat pumps. As this process expands, the cost of the gas grid for those who stay with gas is going to increase, and new gas lines, installed to service new customers, will increasingly not have customers to serve. That was a finding by the Ontario Energy Board.

We’ve had these transitions before. This is not unique or novel in the world. Most of you have not followed energy history. I am a strange person; I actually look at the history of energy in this province. About 1958 or 1959, the TransCanada pipeline came through to Ontario from Alberta, bringing natural gas. This opened a whole new way to heat homes that was cleaner, more convenient and probably cheaper than coal. From 1960 to 1970, the portion of homes that used coal for home heating went from 30% to 1%. Within a decade, 30% of Ontario homes no longer used what had been a very popular fuel.

So I want to say to people here that you can have a very rapid transition from one technology to another, frankly, probably, with very little in the way of government programs in this case. People looked at, “Hey, we can spend all this money on coal, or we can go with an option that we don’t have to shovel, that is more convenient, that is just a flick of a switch on a thermostat in the wall. I’m going to go with gas”—a decade. And I have to tell you, just in that same report I looked at, that 1% at the end? Man, they were spending a fortune, because the whole of the coal delivery infrastructure shrank and became a much more expensive fuel to get. I don’t know why those 1% held on, but they did.

We’re facing a situation in Ontario where as we move away from gas home heating, something that the minister has said we’re doing, people who stay on the gas system, who get sold on to the gas system, are going to be stuck with much higher bills, and the pipes that are put in the ground are going to be paid for by those who can’t afford to buy a new heating system, ones whose furnace is eight years old. They’ve got about a 15-year lifespan. If your furnace is eight years old, you’re not going to get rid of it and buy a new furnace. Mostly, people can’t. They only buy when they have to, and they will get stuck with those higher bills. That’s a risk for homeowners and tenants. That is a problem that people are going to face in the future.

Frankly, continuing the subsidy from the existing consumers—and remember, Premier Ford wants to increase your heating bill. He wants to drive up your gas bill. He wants you to pay more so that he can create deeper problems for you in the years to come. I want—

Interjections.

890 words
  • Hear!
  • Rabble!
  • star_border