Hydra Quebec?

From the Chronicle Herald
Is ‘Hydra’-Quebec eyeing NSP?

By RICHARD SANDERS
Thu. Nov 19 - 4:46 AM
The purchase of New Brunswick Power by Hydro-Quebec, now being debated in the New Brunswick legislature, has implications for electricity security in Nova Scotia, where a similar transaction would complete the transformation of the electricity industry from a publicly-owned utility to a regional monopoly owned by a multinational corporation, headquartered in another jurisdiction.

In Nova Scotia, this metamorphosis from local to absentee control has proceeded without adequate public representation during any of its component transactions, starting with the 1992 sale of publicly-owned Nova Scotia Power Corporation to the private sector through secret negotiations by provincial politicians.

Today, I am concerned that Nova Scotia Power Incorporated’s refusal to deny rumours of private discussions with Hydro-Quebec may mean that private negotiations are currently in play to bring the assets of NSPI’s parent company, Emera, including both NSPI and Bangor Hydro, under the control of Hydro-Quebec. It is not difficult to imagine how such a transaction, coupled with the acquisition of New Brunswick Power, would facilitate Hydro-Quebec’s expansion into U.S. electricity markets.

In this regard, I am not comforted by reports of a provincial law (the 1992 Nova Scotia Power Privatization Act, I assume) which, if not changed, might restrict "non resident" ownership of Nova Scotia Power Incorporated. NSPI is presently owned by the multinational Emera, a fact partially camouflaged by the multinational Emera’s "head office" location in Halifax. If Nova Scotia Power Incorporated can be owned by Emera, why can NSPI not be owned by Hydro-Quebec?

The purchase of Nova Scotia Power Incorporated by Hydro-Quebec, if combined with the planned purchase of New Brunswick Power by Hydro-Quebec, would result in a tectonic shift westward in the control of Nova Scotia’s electrical assets. Like the single immortal head of the nine-headed Hydra in Greek mythology, permanent and ultimate control of all assets of Hydro-(or better Hydra-) Quebec would reside in its (immortal) "head office" in Montreal, even if there were a (mortal, nominal) "head office" in Halifax.

Politicians’ ultimate duty is to represent the public interest, not their own self-interest, not the interests of their family, not even the interests of their cronies and supporters, if the interest of the greater public is damaged. A minimal component of that ultimate duty is to inform the public of government transactions affecting the public interest.

In terms of energy, an informed public is likely to seek electricity security through local control of indigenous renewable generation. Doubly so since Nova Scotia may eventually become an exporter of tidal power.

Few informed citizens would have chosen to convert Nova Scotia’s public electricity utility to a private sector monopoly and fewer still would choose to become gobbelized [sic] by Hydra-Quebec.

Richard Sanders runs Sanders Resource Management, Inc. in Halifax.