Families Face Massive Hudak Hydro Hike

Hudak to Impose a 44% increase during the times families use electricity most

TORONTO, Sept. 19, 2011 /CNW/ - Today, it became clear why Tim Hudak's handlers insist he stick to their talking points and avoid specifics. The first time on this campaign that Hudak went off script, he revealed some of the details behind his proposal to end time-of-use electricity pricing. The result: bad news and significantly higher costs for families who Hudak has deceived into thinking he was giving them a break.

Under questioning from reporters, Hudak came clean for the first time on the formula he will use to replace time of use pricing. Hudak said: "The flat rate is simply set as an average of the other rates." (Media scrum, September 19, 2011)

The average of the three existing rates is 8.5 cents per kilowatt hour. That would represent a:

  • 44% increase in "off peak times" representing 64% of residential electrical usage (from 5.9 to 8.5 cents)
  • 4.5% reduction during "mid peak times" representing just 18% of residential electrical usage (from 8.9 to 8.5 cents)
  • 20.6% reduction during "peak times" representing just 18% of residential electrical usage (from 10.7 to 8.5 cents)

What Tim Hudak has failed to admit is that most residential usage happens during off-peak times, when rates are lowest. It is business and industry who drives up the usage during so-called "peak times."  Hudak's failure to understand this basic fact will result in families paying the price of his ill-conceived policy.

"Tim Hudak is planning a massive increase in the cost of electricity during the times families use it most.  Tim Hudak's policy is ill-conceived. It risks families paying significantly more and would take Ontario off track."
- Brad Duguid, Liberal Candidate (Scarborough Centre)

SOURCE Ontario Liberal Party

For further information:

Ontario Liberal Media Office
416-961-3800 x 328

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Ontario Liberal Party

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