Alberta’s Electricity Deregulation a Colossal Failure

Much has been written lately about the failure of Alberta’s experiment with the deregulation of electricity generation and retail, in light of the rolling blackouts ordered by the Alberta Electric System Operator (AESO) on July 9.

In case anyone doubts what a colossal failure this experiment by the Alberta Government has been, please read this article in the Regina Leader Post. While Alberta swallowed deregulation – hook, line and sinker; Saskatchewan flirted with the idea but abandoned it. SaskPower, a Crown Corporation, supplies electricity to Saskatchewan residents. And what are the respective electricity prices today in Alberta and Saskatchewan?

As written in the Leader Post, “First of all, where are energy prices cheaper? On electricity rates, there’s no comparison. On average, Albertans pay $167.25 per month, some as high as $202 per month, to a handful of private electrical utilities, like EPCOR and ATCO, while the average Regina resident pays $90.90 per month to SaskPower.”

Albertans are paying twice as much for electricity as are residents of Saskatchewan. So much for the increased competitiveness that’s supposed to be inspired by the private sector supply and demand model. And so much for the Alberta electricity consumer benefiting from our deregulated private sector model. We can thank the Alberta P.C. Government for being more friendly to industry than to Alberta citizens.

~ by RETA on July 14, 2012.

 
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