With the Ontario government’s announcement of over $100 million to support the expansion of natural gas networks, the government determined that it would use taxpayers’ money and give natural gas companies an unfair advantage.
As you are aware, we have been arguing on your behalf that utilities should not be allowed to make existing natural gas customers responsible for costs associated with expanding into new areas. The Ontario Energy Board (OEB) agreed with us, after holding a series of hearings to establish principles to guide costs associated with expanding natural gas services.
In its November 2016 decision, the OEB stated that it would not be appropriate for existing customers to pay for costs associated with expanding natural gas services. Without subsidies, estimated energy savings for customers are reduced and in practice, this should translate into fewer incentives for them to switch to natural gas. Without subsidies, utilities are less inclined to build networks.
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