Oh Sure, Let's Have Lots of Mercury

Blogger's Note: Something smells in what went down here

NS: Province eases emissions rules after outcry over rate hike
By Staff, Transcontinental Media

Source: The Daily Business Buzz, July 22, 2010

[HALIFAX, NS] — Premier Dexter said on Tuesday that he and his NDP government would consider loosening regulations on mercury emissions as one option to reduce a potential Nova Scotia Power rate hike.

Today, they followed through.

In a media release issued late this morning, the premier announced the government plans to amend its air quality regulations to extend the deadline for achieving the 2010 cap until 2014 and require an even lower emissions cap of 35 kilograms by 2020. By 2020, total mercury emissions will be lower than originally set. Nova Scotia Power will be required to make up for any emissions over 65 kilograms per year and submit a plan on how it will be accomplished.

The NDP government’s move comes a week after it was publicly criticized by business and community groups for not taking action to help mitigate a proposed double-digit electricity rate hike by Nova Scotia Power.

“Nova Scotians said the proposed power increase would have a devastating impact and government listened,” said Premier Dexter. “Nova Scotia Power has agreed to look at a change in their technology in order to reduce costs, make electricity more affordable and ensure the province meets its mercury emission targets.”

Nova Scotia Power released projections two weeks ago about the cost of fuel to generate power which could see electricity rates increase by 12 per cent or more for residential customers and 18 per cent or more for large industries, effective in January.

The utility, however, attributes only about half of the increase to the cost of meeting provincial regulations on mercury emissions, currently set at 65 kilograms per year.

This had some calling “foul” on Wednesday. In Metro News, Liberal energy critic Andrew Younger said slackening the rules wouldn’t solve anything since mercury emissions accounted for only a portion of the rate increase. He accused the government of deliberately misleading the public, calling the emissions standards debate a “red herring”.

“Why not focus the public discussion on what is the long-term solution to all these rate increases, instead of talking about the short-term political gains,” said Younger.