City Notebook: Hot-potato power blame game
By COLLIN GALLANT on October 21, 2023.
cgallant@medicinehatnews.com@CollinGallant No one wants their power bill to quadruple. You may have heard lately in a Government of Alberta ad campaign. Yeah, we’d be remiss not to note that’s what Hatters have been screaming about for the last three months. But… potentially no longer after a really astounding set of events at city hall on Monday. That includes utility credits, rate discounts and enough vibration to break down a monolithic, once untouchable local rate-setting philosophy. Altogether, the result may be that many Hatters will pay the lowest power rates in the entire country for 2023. Expect more on this next week, but consider the basic math of the package. We’ve long known the extension of the 8-cent power rate in 2022 was worth $60 million in lost income to the power plant. Add $33 million from a relief program and then at least $7 million to lower rates until year end. That’s $100 million, folks. It’s probably more than would be needed had council addressed the coming rate spike in June. A larger review is due next year, which some of the most outspoken critics in the rate debate can take some credit. Others are promising to keep up the heat in the short term. The majority of Hatters will likely cool their jets until rate setting is taken up again in 2024. But, the issue also rises to the provincial power system – the level from which Medicine Hat’s spiking bills played follow the leader up to record levels. The woman who’s promising major changes there was here this week. Premier Danielle Smith said the local remedy puts prices where she’d like to see them across the province. She twice told audiences that local ratepayers should let up on Mayor Linnsie Clark, and in so many words. According to Smith the problem isn’t local leadership or even power companies in Alberta, it’s Ottawa and a sector switching over the low carbon production. Bigger fish? It’s becoming abundantly clear that major changes are en route for the whole province. Premiere Danielle Smith says she wants an examination of default pricing. That’s kind of like asking for a new mirror. It’s merely a reflection of what’s happening in the market. Smith has floated the idea of contracting large amounts of standby power to even out prices, but could something bigger be materializing out in left field? The province that needs natural gas royalties in its budget for the next few decades at least could make an ever bolder move to support the sector. My inkling is that something off the wall will result. A hearty breakfast Redcliff Mayor Dwight Kilpatrick is again the News’s unofficial winner of the Chamber of Commerce Leadership breakfast this week. It’s not a competition, of course (that was a joke). But for two years Kilpatrick has breathed some life and humour into what can be a stiff affair. That’s happened as politics are increasingly no fun and can seem never ending. And politicians usually speak to business leaders about things most people already now, or just simply reiterate campaigns past or future. Even Smith, who’s got a common touch when she gets rolling in a speech or answering questions, fell into a scripted rut at the Desert Blume Golf Club event. Enter Kilpatrick to say during his survey of goings on in Redcliff: “The province is talking about getting rid of red tape. Well, in Redcliff, we’ve got no tape.” Smith appreciated the joke as much as anyone and responded for the record that there should be “some tape.” Standardized approval time tables are what she’s after. A look ahead The city is preparing to discuss long-term extensions of leases for golf courses in the city at Monday’s meeting of the public services committee. The same day is the first expected snowfall of the year. It’s Oktoberfest at the Medicine Hat Stampede Grounds on Saturday. Halloween activities move into full sing heading toward the weekend. And, talk about spooky, we’re one week away from the first session of the Alberta Legislature since the election last May. 100 years ago It happens from time to time that the present eclipses the past in need for space. Also, the Medicine Hat News move to our location on Allowance Avenue has created some confusion as our archives are in transit. Don’t worry, this feature ain’t going nowhere. Collin Gallant covers city politics and a variety of topics for the News. Reach him at 403-528-5664 or via email at cgallant@medicinehatnews.com 35-34
