A growing number of Ontario mayors and manufacturers say the province’s energy prices and infrastructure are bad for business.
According to the Association of Major Power Consumers of Ontario, industrial customers pay approximately $85 per megawatt hour in Ontario when all components of the price of electricity is included. That’s more than double the $40 average paid in neighbouring provinces Manitoba, Quebec and the state of Michigan.
Ian Howcroft, the vice president of the Canadian Manufacturers and Exporters Ontario, said energy is a major factor when companies look to invest or expand in the province. “Companies are looking at all costs. It could be a deal breaker,” Howcroft said of energy rates. “Ontario is a high-cost jurisdiction, especially with the high dollar.
“It could be the straw that broke the investment camel’s back.” Howcroft said energy could account for as much as 30 per cent of a company’s expense, especially in mining and foundries. Read article