Manitoba considers more private-sector work with Crown-owned energy utility
The Manitoba government says it has no plans to privatize or shut down core functions of its Crown energy utility.
However, it is opening the door to more private-sector involvement in response to an outside report on Manitoba Hydro, and that has the Opposition worried some areas of the corporation will end up in private hands.
"I imagine in the day-to-day operations, the (Manitoba Hydro) board will continue to ask that question -- what is the core mandate of Hydro," Finance Minister Cameron Friesen, the minister responsible for the corporation, said Wednesday.
Friesen tabled in the legislature Wednesday a 62-page response to a report last year by former Saskatchewan premier Brad Wall, who had been commissioned by the Progressive Conservative government to look at the utility's past and future.
Wall's report said lax oversight by the former NDP government allowed costs to skyrocket on the Keeyask generating station and Bipole Three transmission line, which ended up a combined $3.7 billion over budget.
The spending was a key factor in tripling the utility's debt over 15 years, and the corporation's president says the utility is now spending roughly 40 cents of every dollar to service the total debt.
Wall made several recommendations, including selling off or shutting down non-core functions. He also called on the province to consider using private-sector partners for major capital projects to keep costs under control.
The response tabled in the legislature, written by a three-member expert panel, said the government should look at "various subsidiary elements," and if they are deemed to not be core to the utility's mission, they should be sold or closed.
Friesen said no part of generating, transmitting or selling electricity or gas is on the table.
As an example of a non-core function, he pointed to a recent deal with Xplornet to bring high-speed internet service to remote communities using Hydro's fibre-optic network. There's no reason for Hydro to offer that service, he said.
"Manitoba Hydro is not for sale. Our government's plan has always been to strengthen and stabilize Hydro," he said.
The Opposition New Democrats said the statement leaves the door open to privatizing services such as customer call centres.
"I want to know that when my power goes out, that I can pick up the phone and make a phone call and have somebody at Manitoba Hydro ... make sure that my energy is restored," NDP hydro critic Adrien Sala said.
Friesen was willing to commit to Wall's recommendation for more private-sector partnerships, known as P-3s, for major construction projects.
"I think that P-3 approaches are considered in every single Canadian jurisdiction," Friesen said.
"I would say, probably, P-3 approaches have been under-considered in this jurisdiction."
The government is still working through most of Wall's report. It expects to have a new energy framework and new mandate for Manitoba Hydro sometime next spring. That in turn will lead to more details on the utility's future moves, Friesen said.
This report by The Canadian Press was first published Nov. 30, 2022
CTVNews.ca Top Stories
'They needed people inside Air Canada:' Police announce arrests in Pearson gold heist
Police say one former and one current employee of Air Canada are among the nine suspects that are facing charges in connection with the gold heist at Pearson International Airport last year.
House admonishes ArriveCan contractor in rare parliamentary show of power
MPs enacted an extraordinary, rarely used parliamentary power on Wednesday, summonsing an ArriveCan contractor to appear before the House of Commons where he was admonished publicly and forced to provide answers to the questions MPs said he'd previously evaded.
Leafs star Auston Matthews finishes season with 69 goals
Auston Matthews won't be joining the NHL's 70-goal club this season.
Trump lawyers say Stormy Daniels refused subpoena outside a Brooklyn bar, papers left 'at her feet'
Donald Trump's legal team says it tried serving Stormy Daniels a subpoena as she arrived for an event at a bar in Brooklyn last month, but the porn actor, who is expected to be a witness at the former president's criminal trial, refused to take it and walked away.
Why drivers in Eastern Canada could see big gas price spikes, and other Canadians won't
Drivers in Eastern Canada face a big increase in gas prices because of various factors, especially the higher cost of the summer blend, industry analysts say.
Doug Ford calls on Ontario Speaker to reverse Queen's Park keffiyeh ban
Ontario Premier Doug Ford is calling on Speaker Ted Arnott to reverse a ban on keffiyehs at Queen's Park, describing the move as “needlessly” divisive.
'A living nightmare': Winnipeg woman sentenced following campaign of harassment against man after online date
A Winnipeg woman was sentenced to house arrest after a single date with a man she met online culminated in her harassing him for years, and spurred false allegations which resulted in the innocent man being arrested three times.
Woman who pressured boyfriend to kill his ex in 2000s granted absences from prison
A woman who pressured her boyfriend into killing his teenage ex more than a decade ago will be allowed to leave prison for weeks at a time.
Customers disappointed after email listing $60K Tim Hortons prize sent in error
Several Tim Horton’s customers are feeling great disappointment after being told by the company that an email stating they won a boat worth nearly $60,000 was sent in error.