Friday, February 5, 2016

Will BC Liberals Expropriate IPP properties to balance Site C Budgets, before 2017 or afterwards?

In light of the fact that the BC Liberal government has ordered BC Hydro to lock themselves into long term contracts with the Independent Power Producers (IPP), was it done intentionally, to gouge customers now or to take the IPP owners' assets later? or Both.

...... Norman Farrell   In-Sights  explains the How, or is it the Why, BC Hydro are losers while working under the thumbs of the BC Liberals Finance Committee.
In fiscal year 2015, BC Hydro purchased 13,377 GWh of electricity from independent power producers for $1,064,000,000 ($79,540 per GWh). In the same period, BC Hydro sold 14,020 GWh to large industrial users for $748,000,000 ($53,250 per GWh).

In other words, each GWh of power purchased from IPPs was resold for $26,290 less that it cost. However, the loss was not limited to $352 million since the utility had to pay distribution, administration and other overhead costs in addition to the power acquisition price.  
Its possible that the next provincial election results will require the government to revamp the BC Hydro game plan, not by deleting files, not by shredding Freedom Of Information requests, but by stealing legally.

Expropriation, the old way, 1945 vintage!!!!   YES, YES, YES

Social Credit Party leader W.A.C. Bennett (1953) is touted as the GRAND Father of BC Hydro, but in reality it was Coalition Leader Premier Hart who did the heavy lifting, both during the Second World War, and creating the BC Power Commission after the War.  Premier Hart's reward, was to have a Power Station named after him by his successor,  Premier Byron I. Johnson M.B.E, which if you're interested in some trivia before .... 'W.A.C. Who' .... came along:
 Johnson's government introduced compulsory health insurance, and a 3% provincial sales tax to pay for it. It expanded the highway system, extended the Pacific Great Eastern Railway, and negotiated the Alcan Agreement, which facilitated construction of the Kenney Dam, the first major hydroelectric project in the province. The government also coped with the devastating 1948 flooding of the Fraser River, declaring a state of emergency and beginning a programme of diking the river's banks through the Fraser Valley. Johnson is also noted for appointing Nancy Hodges as the first female Speaker in the British Commonwealth.

1949 Annual Report
John Hart at 68 still living in Campbell River.  More power from him
Premier Hart used Expropriation, and it can be done again.

There are two ways of acquiring assets Hydro assets, legally, using OIC.    Singular or Multiple / Plural

Page 8 of 24...... its Properties     plural

It was found on early consideration of rural distribution systems that there was a large potential area which could only be served economically through the acquisition and development of the plant and systems of West Canadian Hydro Electric Corporation, Ltd., and its associated companies.   Authority for this step was therefore requested and by an Oder in Council approved on June 15th, 1945, the Commission was authorized to take by expropriation the power plants and properties - Hope Utilities, Ltd., Alert Bay Utilities, Ltd., and Quesnel Light and Water Company, Ltd., - for the purpose of distribution of power in the North Okanagan, Hope, Alert Bay, and Quesnel Districts.

By an Order in Council approved on June 15th, 1945, a similar application was made and authorization was given in respect to Columbia-Vanderhoof Power Company, Ltd., with distribution in the Golden, Nakusp, Sechelt, William Lake, Smithers, and Vanderhoof Districts.

By an Order in Council approved on June 15th, a similar application was made and authorization was given in respect to Nanaimo - Duncan Utilities, Ltd., with distribution in Southern Vancouver Island and Saltspring Island Districts.

It was later found that Alert Bay Utilities, Ltd., merely held a franchise in the Alert Bay area, but was not operating, and that an associate company of West Canadian Hydro Electric Corporation, Ltd. (Power Pioneers), - the Pacific and WAter Company, Ltd., - actually operated in the area.  An application for authority to expropriate this last-named company was made.   As a result, by an Order in Council approved in July 20th, 1945, a similar authorization was given in respect of Pacific Power and Water Company, Ltd..

All the above-named mentioned plants and properties were expropriated pursuant to these Order in Council.

Page 11 of 24

"Electric Power"

Acquisition of Property

The Commission then proceeded to acquire and organize certain operating properties as a first step in a long-range programme which has for its ultimate objective the supplying of electrical service to any community in the Province whose residents are willing to pay the actual cost of the service.

Two areas within the Province appeared particularly adaptable, by reason of topography and the distritibution of existing and potential customers, for the development of extensive transmission and distribution systems.  These areas ---- Vancouver Island and North Okanagan --- each contain important urban as well as rural communities.  It was therefore decided to acquire the properties of Nanaimo-Duncan Utilities, Ltd., and West Canadian Hydro Electric Corporation, operating in the Vancouver Island areas respectively, as the first step in the development of two divisions, with offices at Nanaimo and Vernon.

As the scope of the "Electric Power Act" is limited only by the Province's boundaries.  To this end electrical properties at Smithers, Vanderhoof, Williams Lake, Golden, Nakusp, and Sechelt were acquired from Columbia Power Company, Ltd., and at Quesnel, Alert Bay ad Hope from West Canadian Hydro Electric Corporation and its associated companies.  At Terrace a limited distribution plant was acquired from Mr. Gordon Kerr.

As a result of these acquisitions the Commission had within five months of its establishment commenced the supplying of power to 13,270  consumers in two large operational divisions and ten power districts centered in small town or villages.  Its gross revenue was in excess of $1,000,000 per year, the undertaking generally being upon a sufficiently large scale to permit setting up a basic operating organization.
Premier Hart; with Anscomb, MacDonald, Carson, Perry   1945 - BC Power Commission
1. 1240-1945

Historical British Columbia Order In Council  "1945  BC Power Commission"


1. 1240-1945 

2. 1030-1945 

3. 1032-1945 

4. 0965-1945

5. 1031-1945

6. 1029-1945 

7. 1167-1945

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