What are they thinking?

Calgary's mayor, Naheed Nenshi, has been a big supporter of this NDP government.  He spoke at their Calgary convention last year stating he'd "never had such an open, consistent and collaborative relationship with a provincial government" and cheered during Premier Notley's speech to delegates.

What's happened in the short time since that convention for Nenshi to say the Notley government's decisions are "absolutely nuts", "outrageous" and setting a "dangerous precedent" that could scare off investment from the province?  

The answer lies in their approach to power-generation.  The NDP has threatened to tear up legal contracts that have been signed with power companies in their dogged pursuit of an ideological agenda backed by special interests.  Their obsession with shutting down coal-fired power-plants means that prices will have to increase in order to make more expensive (and less reliable) forms of electricity generation worth the massive capital investment required.

The current price of electricity in the province is around 1.8 cents per kilowatt-hour.  The NDP has said they will cap the price at 6.8 cents a kilowatt-hour, nearly 4X the current rate.  In effect this means taxpayers will subsidize power companies to produce less power, increasing the price to a point that "green" technology can be profitable.   The 6.8 cent cap will however decrease the incentive to produce, which will then require more subsidies. 

Their plan is incoherent beyond belief.

There's no need for a 400% price increase or taxpayer money going to private companies.  We're not short on power, and we cannot afford higher prices in the midst of the worst recession in decades - Alberta's deregulated market is working.

Tell Alberta's Minister of Energy to, quit meddling in the market, listen to mayor Nenshi and stop making life even more expensive for Albertan families.

Call or email her office today.


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