Liquid Gold: Energy Privatization in British Columbia

Secure, reliable, and affordable electricity has been one of British Columbia's most important competitive advantages and a key contributor to the province's prosperity. Historically, BC Hydro's prices have been based on the actual cost of producing publicly owned energy rather than the volatile international electricity market. But under recent government policy changes, BC Hydro will no longer produce its own energy: instead it must purchase it from private power developers through expensive long-term energy contracts. Yet despite paying very high prices, B.C. customers get no assets, no price protection, and no guarantee of future security of supply. The government's policies are also triggering an environmental nightmare, as dozens of private power plants are being built on pristine rivers, regardless of their impacts on fish, wildlife, First Nations, and local communities.

John Calvert shows how the government is supplanting B.C.'s successful public system with a deregulated private sector model that will enrich private power developers and undermine B.C.'s ability to control future energy development. In giving away B.C.'s renewable energy future, the government is needlessly exposing ratepayers to the risks of the volatile U.S. energy market. Over time, Calvert argues, the new policies will result in the destruction of BC Hydro, the province's most valuable Crown corporation.

John Calvert is an associate professor at Simon Fraser University, where he teaches public policy. He has a PhD from the London School of Economics in political science and an MA from the University of Western Ontario. He is the author of three books on Canadian public policy and economic issues.

Order from Fernwood Books, Ltd.
PO Box 1981, Peterborough, ON K9J 7X7
Telephone: 705-743-8990
Email: customerservice@broadviewpress.com
Order online at www.rabble.ca/bookstore
Available at independent booksellers.
www.fernwoodpublishing.ca