To the editor:
North Bay Hydro’s (NBHDL) warning to seniors of bad actors trying to scam them is the ultimate illustration of irony. What we have here is a monopoly that for years has been running a Ponzi scheme and deceiving people regarding electricity delivery charges.
In spite of addressing this issue with the City and Hydro and the Ontario Energy Board (OEB) and the Minister of Energy for the last ten years, their responses have produced no rational arguments or reasonable explanations for this practice that requires electricity users to pay for a return on their own investment with their own money.
When alerted to the fact that the paying of dividends by Hydro to the City was in violation of the company’s shareholder agreement as well as costing customers money, they got to work and perpetuated it by revising the shareholders’ agreement to make it legal.
North Bay Hydro has been adamant that it will continue the practice that allows it to charge customers millions over and above amounts required to deliver electricity.
Check your hydro bills in the section describing what is included in their delivery charges. Let me know if you find anything remotely suggesting delivery charges including income tax or dividends to the City of North Bay.
Or you can contact one of the directors of North Bay Hydro. Oh wait a minute…..there is no indication of who the directors are anywhere on its website … sorry!
The OEB continues to justify the funding system by quoting court rulings from the 1920s regarding independently owned gas utilities. These cases have no bearing on municipally owned distribution companies including North Bay Hydro. No one in this incestuous relationship including NBHDL, its owners or beneficial shareholders, or customers are dealing at arm's length.
The Minister of Energy replied to concerns about the fact that the OEB is in violation of sections of the Ontario Energy Board Act by suggesting contact with the OEB directly., After acceding to his request without any success, efforts to get an additional suggestion have been met with silence.
The OEB is allowing and encouraging this practice with the blessing of the provincial government since it brings in additional taxes to the province. The City is happy to go along with the scheme since it receives millions of dollars in what amounts to back-door taxation. NBHDL, is the recipient of yearly donations of un-allocated revenue from consumers. and is naturally happy with the status quo
This problem needs to be fixed at the provincial level but in the interim it is the duty of the directors of North Bay Hydro Holdings, being North Bay council members, to step up and protect North Bay citizens.
NBHDL’s recent empire-building purchase of Espanola Hydro, a utility over 200 kms away, the obscene level of salaries which average over $160 thousand per year for each of 13 management employees and $110 thousand for 40 others, is further evidence that no one paying sufficient attention to a secretive organization gone rogue.
The recent move by Councillor Lowrey for a leadership review at City Hall is welcomed with open arms and should be extended to NBHDL. Let’s hope this new council puts an end to the last 10 years of foolishness by elected officials.
D. D. Rennick CPA, CA
North Bay
