Ontario faces $300M suit for cancelling gas plant

CTV News
TORONTO— The financing company behind the cancelled gas-fired electrical plant in Mississauga is suing the Ontario government for $300 million for breach of contract.  EIG Management, a Washington, D.C.-based investment company, is seeking an additional $10 million in damages in its suit against the Ontario Power Authority and the province.  EIG alleges it wasn’t given any advance notice the project was being cancelled until Premier Dalton McGuinty made the announcement in the middle of last fall’s election campaign.  Read article

25 thoughts on “Ontario faces $300M suit for cancelling gas plant

  1. Yawn … what’s another $300 million after the billions Premier McWindy has thrown away so far, plus the millions more every month? It’s only taxpayers’ money, and it was awfully important to retain that seat …

  2. Yawn … so what? It’s only $300 million of taxpayers’ money, a mere drop in Premier McWindy’s “green” bucket of foolishness and wishful thinking.

  3. 1. So that liberal seat cost $310 million of taxpayer money.
    2. What is Erin Brockovich’s stand on turbines??

  4. ‘[excerpt] TORONTO— The financing company behind the cancelled gas-fired electrical plant in Mississauga is suing the Ontario government for $300 million for breach of contract. EIG Management, a Washington, D.C.-based investment company, is seeking an additional $10 million in damages in its suit against the Ontario Power Authority and the province.’

    Interesting lawsuit!
    So – what kind of ‘lucrative contracts’ – IS the Ontario Power Authority giving these –
    not needed – not wanted – peaker gas plants?

    This should provide Ontario taxpayers with some
    ‘muchly needed’ – entertainment.
    Secrets revealed – the movie!

  5. I have somewhat mixed emotions about this . Part of me wants McGuinty to squirm on this demonstating his continual incompetence, and part of me sees this as a test case for when the day comes that the PC’s go to tear up every single FIT contract. Even with a settlement,terms will be established and there will be a precedent set.

  6. That is $420.50c per person in Missasaga (pop) 713,443. without the 10million lunch breaks.
    I think the Liberal Party should pick up the tab over 20 years…………

  7. Check out the Global Adjustment on the IESO site at 11:00 am Saturday morning. 7.49 cents/kwh while the spot price for electricity is less than 2 cents/kwh. Does anyone have an idea as to why the Global Adjustment is 3 cents/kwh higher than normal?

    • yes, 2 Bruce units are derated for line maintenance…. so, gas plants are online to pick up the gap in demand. Gas plants demand a larger $ / kw than nuclear, hence the bloated global adjustment

      • yes, but this was a planned outage, consideration was given. The variance in GA is false.

    • Supporting each other is one thing but all Ontarians paying for a seat in parliament is another. If one group of voters gets away with this then others will think they are entitled to the same kinds of political deals.

      • Barbara,
        I understand what you are saying.
        I believe, the majority of citizens are not ‘playing politics’.
        Our elected officials have bent politics – so far to the left –
        there is no happy ending.
        when it comes to ‘peaker gas plants’ – they belong no where in Ontario.
        I would challenge anyone – to a valid argument.
        Stop the ‘peaker plants’ – and you stop the ‘wind and solar’

        Makes me question – why citizens are so blind?

      • So how does one deal with damage control?
        Maybe we should be watching – the money trail.
        – a payout of 300 Million is a lot of money –
        for a ‘non cancelled’ contract.

        In a Liberal press release – Sept. 24-2011 –
        they say the gas peaker plant will be moved –
        not cancelled – but, moved.

        Note to taxpayer: Maybe we should be asking questions before they settle –
        out of court.

      • Demand management. Fovourite of Dictators. And CFLs to be used for carbon trading in poor countries. Must create a market for CFLs in the rich countries so that production can be ramped to make these cheap for those who want to engage in this scheme.

      • Let’s ask a bold question.
        Are we being lied to?
        If the answer is yes – then,
        why are we letting liars – lead, and we follow?

  8. Hmmmm…could be that rumour may have it 😉 😉 the McShifty government is offering to allow the company to place wind turbines on the site instead 😉 😉 as a concession. 😉 😉 As long as all the 550m setback rules and such are met…to avoid the lawsuit.

    • I figure they’d need around 1000 of ’em to match what the gas plant would generate. To hell with the 550m setback as they’d be all classified as participating receptors.

  9. One of the best things I have done was to meet a lovely Canadian Lady, marry her, and come to Canada! But you guys do frustrate me so much! You are just too ‘nice’!
    The GEA and ‘green’ energy is a catastrophe being inflicted on all Ontarians. Even the dumb suburban and city folk who twirl their environmental beads and sing ‘Kumbaya’ will suffer the same inescapable consequences as these turbines and solar arrays pollute more of our agricultural lands and our supposedly protected countryside.
    The GEA is an appalling piece of legislation. It should be repealed.
    Any contracts already approved under it should be cancelled without penalty.
    All future industrial wind and solar projects should be cancelled immediately.
    To even think of seeing the provincial government and the Ontario industrial wind and solar industries as credible, and trying to oppose them as if they are credible makes no sense.
    These guys make the world banks, big oil, corporate capitalists look like amateurs!
    We can’t make ‘nice’ with folk who just don’t give a damn and are only seeing contractual profits guaranteed by our tax dollars for selling a product that we all know is only around 5% or less efficient! Would any of you buy a car that only worked 5% of the time?
    It has to be grass roots and it has to be all out! All our elected Councils have to be made to stand up and fight these projects. We have to get the provincial government and the private industrial wind and solar companies to go on the offensive, something they have so far never had to do!
    And apart from a few local leeches looking for a quick and easy profit most of them are foreign companies who can no longer peddle their failed products in their own countries.
    If you believe in Canada, as I do, then there is absolutely no defence for anyone actively harming
    Canadian citizens purely for profit!
    Make those who continue to attack us take us to court and prove that what they intend to do to us will not, in any single way, health, economic, and environmentally, harm a single rural Ontarian if their IWT and Industrial solar array projects be approved.
    They can’t! We all know that. Why do we still pretend we can deal with them as if they were normal citizens like you and I who ever intended to live in our communities and give them a break?

  10. Exactly!….tell these Wind Parasites to take us all to court!……only then will they have to open their books and try and show the public they have operated “above board” and in “good faith”………..they’ve hidden in the shadows long enough!

  11. Ooops! Sorry, this is about the cancelled gas plants! Again, you Canadians are far too nice!
    2 urban communities who objected successfully and had urban gas plants cancelled. McGuinty politics because he couldn’t afford to lose those votes at the last election. Didn’t he do well!
    The rural vote wasn’t enough to make McGuinty worried so city environmentalists won and rural Ontario lost. Tough! That’s Ontario politics 2011/12, and we only have ourselves to blame for allowing a lightweight such as McGuinty to have a third go at destroying Ontario economically for any foreseeable future and beyond.
    Having said that I think our ‘fearless leader’ should tell the US company to get lost!
    Ontario and Canada is one thing, but why should any private foreign company have the right to recompense from our tax dollars? They committed based on private capitalist investment. That means a gamble. That the gamble failed should not be the responsibility of the Ontario tax payer.

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