Wynne’s Hydro One Plan A Good Start, But Must Go Further: Globe And Mail Op-ed
Published in The Globe and Mail on March 10, 2015
By: Benjamin Dachis
Benjamin Dachis is a senior policy analyst at the C.D. Howe Institute.
The Globe and Mail reported Tuesday that the government of Ontario is contemplating selling a piece of Hydro One, the province’s wholly owned electricity transmission and distribution company, jolting Queen’s Park and markets. The province is on the right track in looking to privatize its electricity utilities; it could make taxpayers even better off by letting private investors take the lead in creating a private distribution or transmission system.
Hydro One has two main business units. The largest, by value of assets, is its transmission…
Peak Power Problems: How Ontario’s Industrial Electricity Pricing System Impacts Consumers
The Ontario government should scrap its peak-demand electricity-pricing program for large industrial electricity users in order to lower costs for Ontario households, according to a new C.D. Howe Institute report. In “Peak Power Problems: How Ontario’s Industrial Electricity Pricing System Impacts Consumers,” author Anindya Sen suggests that this program is responsible for one-quarter of the […] Railroad Blues: How to Get Canada’s Rail Policy Back on Track
The federal government should not continue to unduly favour grain rail shipments at the expense of other sectors, which include forestry, mines and energy, according to a new C.D. Howe Institute report. In “Railroad Blues: How to Get Canada’s Rail Policy Back on Track,” author Benjamin Dachis argues that recent and potential future government intervention […] How To Free Ontario’s Electricity Market: Financial Post Op-ed
Published in the Financial Post on September 15, 2014
By Michael Wyman
Michael Wyman is the author of the C.D. Howe Institute study “Rethinking Ontario’s Electricity System with Consumers in Mind”.
Right now there is only one price for electricity across the province
Nine hundred million dollars in charges from cancelled power plants. Power prices that will rise by a third in three years. These are among the legacies of Ontario’s recent power system choices.
Ontario’s system for lining up new generating capacity is in dire need of change. If the province shifts course from signing long-term contracts for new plants and moves towards a more nimble market-based approach that has been used…
Rethinking Ontario’s Electricity System with Consumers in Mind
Ontario electricity consumers will benefit from less risk and lower prices if the province moves to a capacity market for obtaining generation, according to a report from the C.D. Howe Institute. In “Rethinking Ontario’s Electricity System with Consumers in Mind,” author Michael Wyman calls for the province of Ontario to adopt a capacity market, in […] Quebec-Ontario electricity trade is smart, but not simple: Globe and Mail Op-Ed
Published in the Globe and Mail on August 26, 2014
By Christopher Ragan
Christopher Ragan is an associate professor of economics at McGill University and a Research Fellow at the C.D. Howe Institute.
Last week, Quebec’s and Ontario’s premiers announced their desire to work together on crucial issues, including climate change, interprovincial trade and infrastructure. It is very positive for Canada when our two largest provinces recognize the benefits of co-operation. We should certainly hope they succeed, but let’s also be mindful of the obstacles in their way.
Especially interesting is the prospect of greater interprovincial trade in electricity. This would be a game-…
For a fairer and richer society, make the polluters pay: Globe and Mail Op-Ed
Published in the Globe and Mail on April 21, 2014
By Christopher Ragan
Christopher Ragan is an associate professor of economics at McGill University and a Research Fellow at the C.D. Howe Institute.
There is widespread agreement that Canadian policy makers should be adopting measures that lead to a better economy – to create higher-paying and more secure jobs, to generate more investment and innovation, and to ensure that whatever prosperity we have today can be sustained and even improved for our children and grandchildren. In fact, this is pretty much a motherhood statement. Who could possibly argue in favour of a “worse” economy?
The disagreement appears when we start thinking about the specific…
‘Shadow’ Carbon Prices Could Make The Real Thing Easier To Swallow: Globe & Mail Op-ed
Published in the Globe & Mail on February 4, 2014
By Christopher Ragan
Several recent news stories, including one in the latest Corporate Knights magazine, have reported that large companies including Walt Disney Co., Google Inc., Exxon Mobil Corp. and Suncor Energy Inc. are now using “shadow” carbon prices when analyzing their investment options. Three obvious questions come to mind. What does this actually mean? Why are firms doing this? And what does this practice imply for any future carbon-pricing policy?
Most North American governments don’t require firms to pay for their emissions of greenhouse gases. Some firms are nonetheless analyzing their potential long-term investment projects as…
Distaste for carbon taxes is bad for the economy: Globe and Mail Economy Lab
Published in the Globe and Mail on December 10, 2013
By Christopher Ragan
The federal government has a well-deserved reputation for being strong on the economy. In general, it pushes growth-promoting policies while avoiding the opposite.
At the same time, the government frequently repeats its commitment to reducing Canada’s greenhouse-gas (GHG) emissions – by 17 per cent below 2005 levels by 2020. A few weeks ago, the environment minister reaffirmed this specific commitment.
There is a subtle disconnect here. It’s not that a strong economy and reducing greenhouse-gas emissions are mutually exclusive – they aren’t. The evidence is mounting, in Canada and elsewhere, that GHG emissions can be reduced…
Who pays for higher corporate taxes? We all do: Globe & Mail Op-Ed
Published in the Globe & Mail on November 11, 2013
By Christopher Ragan
As the federal political parties gear up for the 2015 election, platforms are developed that appeal to the political bases and distinguish the parties from each other. The NDP leadership is once again arguing the benefits of raising corporate income tax rates. Based on public comments, the current federal rate of 15 per cent would be raised to something like 20 per cent (or even higher?) if the New Democrats became the next government.
This is a perfect example of a promise that makes for good politics – at least among an NDP audience – but bad economic policy.
The political appeal is simple. As NDP Leader Thomas Mulcair…
A New Blueprint for Ontario’s Electricity Market
Ontario’s power sector needs an overhaul to address a long list of inefficiencies, and rising consumer prices, according to a new report from the C.D. Howe Institute. In “A New Blueprint for Ontario’s Electricity Market,” author A.J. Goulding presents a blueprint for an electricity market that would be responsive to price signals, reform the role […] Mergers by Choice, Not Edict: Reforming Ontario’s Electricity Distribution Policy
While provincially appointed panels have recommended that Ontario force local electricity distribution companies (LDCs) to merge into a handful of large, regional operations, it is unclear that this would be a better deal for the people of Ontario, according to a report from the C.D. Howe Institute. In “Mergers by Choice, Not Edict: Reforming Ontario’s […]